Question:

If you want to invest in some weird company not on SP, Dow or Nasdaq?

by Guest66137  |  earlier

0 LIKES UnLike

How do you track it to make decisions?

First of all , is some small weird company, most likely a growth stock, recent IPO going to be on a big stock exchange ?

When you go to become an investor will the company tell you where you can track their % change, etc...for the day compared to other stocks, and compared to it's own earnings, or are these things going to be information that will be sent out to the stock investors every quarter?

 Tags:

   Report

2 ANSWERS


  1. Stocks traded over the counter or on pink sheets can usually be tracked daily.  But they do not have the same reporting requirements as stocks on major exchanges, so it may be difficult to find detailed info about them.  Volume can be very low, which can cause wide price swings if nobody is buying or selling.  They can also be subject to "pump and dump" where someone accumulates shares cheaply, sends a flood of e-mails to generate interest, then dumps their overpriced shares to those suckers (er, or new investors).

    So they are speculative and should not be a major part of your portfolio.


  2. If invest in a "weird" company or what they are really called, a stock that trades Over-the-counter (OTC) and many of these are listed in what is called the pink sheets.  You can visit the sheets site at http://www.pinksheets.com/pink/quote/ind...

    Many stocks that trade in the OTC market, very seldom get listed on one of the major exchanges.  Most usually fall by the wayside, and just disappear,

    When you invest in these stocks, and if the stock is held at your brokerage firm, they company will never know you are stock holder,   If the company decideds to send out reports, and they pay a vendor to do it, you will recieve the report since your broker will proved your name to the vendor doing the company's mailing.  (Brokers do not sell names for mailings).

    One of the disadvantages of buying a micro capital company (of an OTC stock) is that information at times is very difficult to obtain,   You can always try to get your name put on the company's mailing list (if they have one)

Question Stats

Latest activity: earlier.
This question has 2 answers.

BECOME A GUIDE

Share your knowledge and help people by answering questions.