The truth might surprise you...‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ 

SPONSORED Could This Tiny Box Power Your Home? It doesn't require sunlight. It doesn't require wind. It doesn't require power lines connected to a coal or nuclear plant. Find out why the billionaire lead investor behind Google and Amazon is calling it "the largest economic opportunity of the 21st century." Editor's Note: In today's Financial Literacy piece, Chief Income Strategist Marc Lichtenfeld debunks some of the most common myths about penny stocks. These low-cost investments are notorious for their risk. And while they are different investments, microcap stocks often share this reputation. But Alexander Green, Chief Investment Strategist at our sister e-letter Liberty Through Wealth, suggests that this is a mistake... You see, microcap stocks are often more established. Rather than representing an unstable financial history, their low trading prices reflect their low market capitalizations. And with "5 Microcaps to Accelerate Your Wealth Starting Today," Alex hopes to set the record straight... He believes that regular folks investing in a select handful of these companies could see the chance at as much as 100% every single month. Click here for all the details. - Mable Buchanan, Assistant Managing Editor FINANCIAL LITERACY Debunking 5 Myths About Penny Stocks Marc Lichtenfeld, Chief Income Strategist, The Oxford Club Friends and family often ask me where they should put their money now. I always answer, "Penny pot stocks..." And then emphasize that I'm kidding. But people do love themselves some penny stocks. Investors dream of buying a stock in the low single digits and watching it explode to double digits, making many times their money. However, there are a lot of misconceptions about penny stocks... So once and for all, I'm going to let you in on what is true and false about them. Myth No. 1: Penny stocks have greater potential to double or triple than larger stocks do. Investors believe it's much easier for a $2 stock to become a $4 stock than it is for a stock trading at $100 to rise to $200. Tell that to owners of Tesla (Nasdaq: TSLA)... The stock traded at $211 in September 2019. It climbed to more than $1,000 this month and currently trades well over $900. A stock's price will have no effect on whether it can rise 10%, 20% or 100%. What matters is how much supply and demand there is for the stock. If a small company makes a big announcement but no one is following it, it might be hard to drum up interest in the stock. On the other hand, when an unknown company like Inovio Pharmaceuticals (Nasdaq: INO) suddenly finds itself in the spotlight, the stock can rise from $2 to more than $30, like Inovio did in the past nine months. Myth No. 2: All penny stocks are tiny companies with little revenue or profits. There are quite a few energy companies whose stocks trade for pennies, such as Noble Corp. (NYSE: NE). There are also companies like Acorda Therapeutics (Nasdaq: ACOR), which should have at least $100 million in revenue this year. Sirius XM (Nasdaq: SIRI) has a $1 billion market cap and generated nearly $8 billion in revenue last year. It trades for less than $6. SPONSORED IRA Experts: Recent SECURE Act a "Disaster" for 401(k)s and IRAs. Myth No. 3: Investing in penny stocks gets you in before Wall Street's big players. This is partially true. Many mutual funds and other institutional investors have their own rules against buying stocks that trade below $10 or $5. But many others do not have those restrictions. There are plenty of hedge funds and other institutional players that own penny stocks. Myth No. 4: Penny stocks don't pay dividends. Most penny stocks don't pay dividends because many are still young companies in their early growth phase. But some do... Sirius XM pays a dividend. So does Manhattan Bridge Capital (Nasdaq: LOAN), which trades for less than $5 and pays a 9% yield. Myth No. 5: All penny stocks are risky. A lot of penny stocks are garbage companies. Many others are priced low for a reason. But there are plenty of quality companies - businesses that are just beginning to gain some traction, undiscovered by Wall Street - that make for great investments or short-term trades. If you trade penny stocks, make sure you understand the risks, the potential profit, why you're making the trade you are and what strategies you have to limit your risk, such as trailing stops. Penny stocks can be lucrative as long as you know what's true about them and what's myth. Good investing, Marc P.S. I'll throw in one more for you... Myth No. 6: Marc Lichtenfeld won't consider low market cap stocks. This simply isn't true. If you know me, you know that I'm all about a stock's fundamentals - not its size. In fact, my good friend and colleague Alexander Green recently got The Oxford Club's attention with his "#1 Microcap for 2020"... A stock that he considers the first step toward earning as much as triple-digit returns every 30 days. Click here to learn more. Leave a Comment MORE FROM WEALTHY RETIREMENT Build Your Own Financial Aha! Moment The Latest Science on Aging The ONE Index You Need to Track Facebook Twitter Email Share SPONSORED Top Three Coronavirus Stocks to Buy Now The panic-driven selling on Wall Street has created the ultimate buying opportunity. Get details on the three best coronavirus stocks to buy right here. You are receiving this email because you subscribed to Wealthy Retirement. Wealthy Retirement is published by The Oxford Club. Questions? Check out our FAQs. Trying to reach us? Contact us here. Please do not reply to this email as it goes to an unmonitored inbox. Privacy Policy | Whitelist Wealthy Retirement | Unsubscribe © 2020 The Oxford Club, LLC All Rights Reserved The Oxford Club | 105 West Monument Street | Baltimore, MD 21201 North America: 1.800.589.3430 | International: +1.443.353.4334 | Fax: 1.410.329.1923 Oxfordclub.com The Oxford Club is a financial publisher that does not offer any personal financial advice or advocate the purchase or sale of any security or investment for any specific individual. Members should be aware that although our track record is highly rated by an independent analysis and has been legally reviewed, investment markets have inherent risks and there can be no guarantee of future profits. The stated returns may also include option trades. We expressly forbid our writers from having a financial interest in their own securities recommendations to readers. All of our employees and agents must wait 24 hours after online publication or 72 hours after the mailing of printed-only publications prior to following an initial recommendation. Any investments recommended by The Oxford Club should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company. Protected by copyright laws of the United States and international treaties. The information found on this website may only be used pursuant to the membership or subscription agreement and any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), in whole or in part, is strictly prohibited without the express written permission of The Oxford Club, 105 W. Monument Street, Baltimore MD 21201.