Comments on: Penny Stocks: Cheap, But Sometimes You Get What You Pay For http://moneysmartlife.com/penny-stocks-cheap-but-sometimes-you-get-what-you-pay-for/ Money Tips for a Better Life Tue, 16 Mar 2010 11:20:03 -0400 http://wordpress.org/?v=2.8.4 hourly 1 By: Victor http://moneysmartlife.com/penny-stocks-cheap-but-sometimes-you-get-what-you-pay-for/comment-page-1/#comment-150707 Victor Wed, 03 Jun 2009 00:30:48 +0000 http://moneysmartlife.com/?p=1699#comment-150707 I agree with you 100%. You have to look at potential growth on this type of stock in terms of %return and not necessarily a $ amount. If you were to purchase a $3 stock that then went to $6, that is a 100% return. Compare that to a stock that you bought at $35. It's all risky, and like going to Vegas, you must be prepared to lose it all if you want to win it all. I agree with you 100%. You have to look at potential growth on this type of stock in terms of %return and not necessarily a $ amount. If you were to purchase a $3 stock that then went to $6, that is a 100% return. Compare that to a stock that you bought at $35.

It’s all risky, and like going to Vegas, you must be prepared to lose it all if you want to win it all.

]]> By: Will Lux http://moneysmartlife.com/penny-stocks-cheap-but-sometimes-you-get-what-you-pay-for/comment-page-1/#comment-150706 Will Lux Wed, 03 Jun 2009 00:24:16 +0000 http://moneysmartlife.com/?p=1699#comment-150706 Another problem is that it just doesn't happen. Rarely will you ever see a stock jump up from say 3 dollars to 100 dollars. That kid of growth is unheard of. I agree that the pay off could be exponential, but what some investors don't understand is exponential might not be as large as they think. Another problem is that it just doesn’t happen. Rarely will you ever see a stock jump up from say 3 dollars to 100 dollars. That kid of growth is unheard of. I agree that the pay off could be exponential, but what some investors don’t understand is exponential might not be as large as they think.

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