The best penny stock mutual funds
Have you seen the news about penny stocks?
I have seen hundreds of emails, ads and even faxes explaining the virtues of penny stocks. In most cases a claim is made that a stock is about to explode in value giving the investor 2000 percent gains. I have had a lot of co workers talk about buying penny stocks. They seldom talk about selling them and when they do they have lost their money.
I am not an individual stock picker, let alone pick penny stocks! I am a big believer in selecting the best mutual funds managed by the best managers to invest my hard earned money. Given the fact that penny stocks can allegedly give great returns I set out to find the best penny stock mutual fund to invest my money. The results were astounding.
The best penny stock mutual funds are:
There are no best penny stock mutual funds in fact I could not find any mutual funds that claim to invest in penny stocks. If penny stocks were as profitable as advertised one would believe there would be hordes of mutual funds dedicated to investing in penny stocks with tremendous returns. The truth is there are no mutual funds that invest in penny stocks because such a fund would yield such poor returns that the fund would soon cease to exist.
I can tell you from personal experience that investing in penny stocks is one of the fastest ways to turn nearly a thousand dollars into a value meal or perhaps a cup of coffee. Penny stocks should not be part of your investment plan. Penny stocks simply stated are one of the biggest mistakes an investor can make.
Please avoid penny stocks. Develop your own asset allocation and invest in the best funds in those asset classes. Penny stocks are not a wise part of any asset allocation. Once the investor has their asset allocation select the best small cap, best mid cap, large cap, bond, global and even concentrated portfolio funds for their portfolio.