TINY TREASURES
Penny stocks are low-priced shares of a relatively small company (think micro-cap & small-cap). These securities are mostly offered by companies with lower market capitalisation rates.Therefore, these are also called nano-cap stocks, micro-cap stocks, and small-cap stocks, depending on the company’s market capitalisation. However, most investors consider shares below Rupees 20 penny stocks. As a result, the liquidity of many penny stocks is questionable; investors should take this into account prior to purchasing shares.
On the other hand, the fact that penny stocks are underfollowed also provide tremendous opportunity. With all of the large Dalal Street firms focusing their research efforts primarily on blue-chip companies, penny stocks tend to be overlooked – which can result in mispriced
securities. Investors witty enough to take advantage of these mispriced securities can go on to make incredible returns which are unheard of in the blue-chip world. Although the potential loss when buying penny stocks is 100%, the upside can be many times higher.
One thing we cannot emphasize enough is taking your time and exploring what advisors have to offer. Remember that there is a good reason that penny stocks are trading at the valuation that they are, mostly because they’re highly speculative and many companies could be unproven at this point. Don’t be afraid to “paper trade” and use practice tools that brokers provide to get your feet wet if you’re new to penny stocks. And most importantly, no matter which advisor you choose, never, ever put a penny in an account that you can’t afford to watch
evaporate before your eyes because penny stocks are high risk plays.
At the end of the day, here’s what we do as we put clients on a firm foundation to a strong financial future: we show people when and how to invest. And we’ve been quietly successful at it over the years. But it’s the way we go about it that sets us apart. Sure, we handle various requests for wealth management and financial planning, but mainly we’re a group of advisors obsessed with knowledge and laser-focused on data. Our business model rests on a foundation made up of strong relationships and knowing the aspirations and goals of our clients. Only the can our investment strategies offer peace of mind and strengthen our allegiances with them.
Our service is suitable for Retail investors and HNI’s having long term outlook. The details are as below:-
• Number of recommendations : 1 a month
• Number of reports: 1
• Category of stocks: Penny and micro-cap
• Holding time : 2-3 years
• Expected returns : 1-2x (average, annually)