Penny Stock, why it is risky for investors

Earlier stocks which traded for less than a dollar per share were regarded as penny stocks. The U.S. Securities and Exchange Commission (SEC) have modified the definition now by including all shares that trade below $5. Penny stocks usually trade outside of the major market exchanges at a very low price and have low market capitalization. Typically they trade over-the-counter through pink sheets and OTC Bulletin Board (OTCBB). Highly speculative in nature, investing in these stocks is generally considered risky because of its illiquidity, large bid-ask spreads, smaller number of shareholders and limited following and disclosure. Despite several risk factors, investors buy penny stocks with a hope of getting large returns quickly. If you do it the right way then investing in penny stocks can even make your fortune. You should get to know market stock adviser and know about the risk factors before investing in these stocks.

  1. Lack of enough information:

The key behind any successful investment strategy is to acquire enough information for making right decisions. In case of micro-cap stocks, it is difficult to get reliable information. Companies who are listed on the pink sheet do not require filing with the SEC. So they are not as publicly scrutinized or regulated as the stocks on New York Stock Exchange and the NASDAQ stock market.

  1. No minimum requirements:

The penny stocks companies are not usually listed on the major stock exchanges of the United States so they do not need to fulfil the minimum standards requirements that listed stocks require. The Over-the counter Bulletin Board (OTCBB) requires firms to file timely reports with the SEC but the pink sheet companies have no requirements like this.

  1. Lack of History:

Most of the companies which own penny stocks are either newly formed or on the verge of getting bankrupt. Usually they have poor track records or no records at all. Naturally the absence of historical information makes it really difficult to determine the possible potential of such stocks.

  1. Low liquidity:

When a stock has low liquidity it becomes difficult to find a buyer to sell the stock. Sometimes you might even have to lower the prices of your stocks for getting a buyer. Often some traders apply pump and dump scheme to manipulate stock prices. In pump and dump scheme, investors buy large amount of stock, boost it up and then sell it to investors who find it attractive.

Only investors who have a high tolerance for risk should consider buying penny stocks. Usually they get to know market stock adviser to understand what precautions should be taken by them. If you are a new investor, then you should not get lured by the hype of these stocks. You can easily fall for scams. Do not get under the illusion that by investing in penny stocks you can get a very high return in a short period of time. Do remember, investing in penny stocks almost always go wrong. If you are not favoured by luck then you could lose it all.


Improving Your Finances Can Be Simple if You Know Where to Start

Getting on top of our financial situations is sometimes difficult, but thanks to the Internet, our efforts to remain in as little debt as possible are much easier these days because there are now companies that allow you to list and view all of your financial accounts so that you can get a better picture of the debt you are in. Whether you have only a little debt or you are maxed out on your credit cards and other debt accounts, these websites allow you to view your situation at any time so that you can get to work on improving your finances. Companies such as Plenty even offer free financial advice, which is an excellent way to pay off your debts sooner so that you can become debt-free in less time. The more debt you have, the harder it is to feel like you are in control of your life. However, these websites help you with each and every aspect of your financial health, which means that sooner rather than later, you can become debt-free and more in control.

Start at the Beginning

Online companies that help you improve your financial situation help you list all of your accounts and then develop a plan of action just for you so that you can pay off your debt that much quicker. They even help you stay on track with that personalised plan and offer tools that include free financial advisers, tax and investment recommendations, and regular reviews of your financial plans to make sure you are on track with your goals. Regular meetings and appropriate advice and recommendations mean that you will always know exactly where you stand, and if you want to change anything, an adviser will help you do just that. Best of all, companies such as Plenty offer numerous payment options and plans, with the lowest one starting at free. Regardless of how much you pay them each month, however, that figure is extremely low compared to knowing that your financial situation will continue to improve as long as you are using them.

Advantages of Using a Professional

Why use a professional financial planning company? One of the main reasons is that it helps you stay focused on your financial situation, in part because you feel accountable to someone: in this case, the financial planners who run the site. Working with a third party always helps you focus on the finances in your life, and on knowing that you are working towards an admirable goal that will quite naturally become much easier because of these online companies. Few feelings are better than knowing that your finances are improving because with a negative financial situation you pay higher interest rates, get turned down for loans more often, and will be less likely to be ready for retirement. Another asset to working with one of these companies is that the process is much faster and simpler than trying to do it on your own because, let’s face it, when it comes to improving our finances, few of us know exactly what we are doing.


5 Investment Apps and Sites for Millennials

It’s no secret that millennials corner the market on technologys and how to use it to make life easier. Shouldn’t be surprising, then, that millennials prefer to be assisted in their investment decisions with apps and websites. This is often because they feel more at ease with technology than they doing sitting down with a financial advisor. As such, using an app online puts millennials in control of the process, says US News and World Report.

Here are some of the best apps ansd sites for millennials when it comes to investment assistance.

Finmason provides fast, easy and understandable retirement investment portfolio analysis and risk tolerance assessment. Not only that: it’s completely anonymous and free. You can calculate your unique FinScore, see how it compares to your other investments, and shop around for others that may be better suited to your financial goals. Your privacy is protected via encryption protocols, plus you can constantly reassess that you’re on track to meet desired retirement goals.

Acorns allows you to automatically invest your spare change via a mobile platform for commission-free investing and portfolio management. Simply link your credit and debit card purchases to the app, so that they can be rounded up to the nearest dollar and invested in six different funds based on your level of risk tolerance. You’ll only pay $1 a month for accounts under $5,000 and 0.25 percent of your annual assets for accounts that have more than $5,000.

Robinhood is a simple brokerage service offering $0 trading, perfect for young people just dipping their toes into the investment pool. With free stock trading, you can make investment choices with confidence with Robinhood, a member of FINRA. This app uses state-of-the-art security measures when handling sensitive personal information, which is fully encrypted and securely stored. The best part about this app is that it streams market data from exchanges in real-time, unlike some brokerages that delay quotes up to 20 minutes.

Openfolio uses the power of social networks to create a space where users can observe the investment strategies of people they know and trust, while sharing their own. Rather than dollar amounts, portfolios are shared in terms of percentage allocations. Instead of facing the murky, confusing waters of investments alone, users can benefit from the knowledge of more than 70,000 real investors.

Wealthfront is the ideal app if you’re looking for the most tax-efficient, low-cost, stress-free way to invest.Managing more than $2 billion in assets, Wealthfront starts it all with a green screen button where you can enter your age, annual income and cash/liquid assets. With fully diversified and automated online investment accounts, it’s easy to access Wealthfront at any time from a computer, tablet or smartphone.

Millennials may still choose to have financial advisors and use these apps to augment their decisions. It’s also wise for millennials to be smart about their brokers, too, so they should have the name of a stock fraud lawyer handy.


How To Select The Finest Payday Loan Lender?

Unexpected or sudden financial crisis or emergencies may upset anyone. It is due to the difficulty and stress associated with the process of making arrangements to fulfil such monetary requirements. The condition becomes worse when there is no one to lend money to us immediately. That is why the concept of payday loan came into being. Numerous companies such as Loan Pig payday loans are operating at various places globally.

These are financial institutions that make available loans on short-term basis to those who are in urgent and emergent need of money. The borrowers have to repay such loans within specified time period in instalments. Since there are so many lenders around for payday loans therefore you must be wise enough to select the best out of them. Here are some important considerations for the same.

Immediate availability of loan

Since payday loans are meant to fulfil some emergent or urgent needs of the borrowers therefore the concerned companies must be able to make available such loans immediately. There must be ready availability of money with the lender to be chosen by you. It helps you to fulfil the monetary needs well-in-time without any delays.

Low rate of interest

Definitely, most lenders of payday loans charge high rate of interest from the borrowers. It is due to the reason that such loans are paid off in short span of time. The lenders earn money from the rate of interest on the principal amount of the loan. Hence they charge considerably high. You must check out in the market and select a genuine lender such as Loan Pig payday loans. It implies you must choose a lender that offers short term loans at low rates of interests. At least the rate of interest should be easily payable by you.

Freedom from hidden charges

While selecting any payday loan lender you must check and confirm beforehand that there are no hidden charges. Numbers of lenders ask for additional charges apart from the principal loan amount and the rate of interest. It results in unnecessary financial burden on the borrowers. Therefore you must double confirm this point with the concerned lender and get it in written that no hidden charges will be asked from you at the time of repayment.


The trustworthiness of the concerned lender is also very much important. It means the lender must be operating legally. It must have proper authorization or authentication from the concerned authorities. It helps in assuring that you are getting the loan in a legal way.


Again it is very much important to check and confirm about the reputation of the concerned lender. The lender must have good reputation in the relevant field. It assures you of fair dealings, timely financial support and satisfactory services. The old clients of the lender may be contacted to confirm this point.

Alternatively, prefer reading online reviews to have an idea about reputation of the concerned lender.
Taking these points into consideration, you may select the best payday loan lender and fulfil your urgent financial needs.


Steps to take after flood damage

If you encounter a flood, there are some important points that you need to consider in such a situation. The first and foremost thing is to save yourself and other people around you. Things can be retrieved later but the most important thing is to think about you first. Adopt all the precautionary measures and find a safe spot. After that, you may attend to other things. First of all, you need to cut the electricity supply. You may face electric current in the presence of water. So, cut off the power supply. After that, start removing the items present in the house.
Extreme care is required as a little carelessness may make you slip and break bones. Remove electrical appliances as they are most vulnerable to water.

A little exposure of water to these appliances may damage them. Furniture also needs to be removed but do not lift heavy furniture alone. When wet, furniture may damage easily because wood is wet at this time. So, take care while lifting the furniture. Proper drying of every part is necessary as drawers and cabinets swell up after coming in contact with water. Open the drawers and cabinets to allow the air reach every area and dry the furniture completely. All the floor coverings need to be removed including carpets, rugs and cushions. After removing all the items, you need to dry the water. But again, be careful while doing so as there are chances of falling.

Before the professional flood restoration services arrive, you can use clothing and wiper to remove the water. After they arrive, make sure that water has been removed properly because its presence may cause humidity and mold production. In summer, you can also open all the doors and windows to let air pass thoroughly. It will also help in the drying process and prevention of mold production. Once you have taken care of the house, it is very important to dispose of the damaged things. There is no use to keep the damaged furniture as it may catch mold and if this infected furniture is lying in your basement, it may cause mold to spread in the basement and eventually into the whole house. You may also take help from the companies that provide these facilities. It is very important to select the best flood restoration services as saving a little money may lead you to go for average service providers.


Should You Outsource Your Accounting Department

An accountant is responsible for managing the funds of a company. The accountant doesn’t get to decide where the money will be spent, but they are responsible for making sure that all transactions made by the company are properly recorded. The accountant is responsible for releasing the balance sheet and other financial statements of the company, such as the cash flow statement and the profit and loss account numbers.

These financial statements can be used by investors and stakeholders for determining whether to invest more money in the company or to withdraw their investment. However, hiring an accountant isn’t a wise move, especially considering the exorbitant salaries that you might have to pay. Instead, outsourcing the accounting services to another firm is a much better move.


One of the biggest reasons why so many business owners outsource their services to accountants in Kent is because they are so affordable. Rather than paying such a hefty salary each month, you just need to pay a small fee to the company for managing your company’s accounts. The outsourced accountant will create all bank reconciliations and also prepare the tax returns for the company. This minimises the burden on your company’s monthly payroll expenditure.

Professionally Trained Accountants

When you outsource your accounting department to another company, they will assign professionally trained staff to ensure that all accounting records are accurately kept. You don’t need to worry about wrong double entries or missed transactions. The company will also reconcile the deferred tax treatments and make sure that the tax returns are properly filed at the end of every period. Outsourcing these services to another company can help small businesses in many ways. Rather than hire an experienced chartered accountant for an exorbitant salary, use an outsourced accountant who can help you grow your business without having to spend too much money on paying salaries.


How About The Small Business Insurance Experts

You are an entrepreneur and you also know your business well. But, the million dollar question is: do you really know the right type of business insurance bespoke to the type of your business and the level of cover that you are looking for? The answer is plain and simple – a huge NO. In other words, you need an expert to guide you here. Thus, small business insurance experts, for instance, come to your rescue.

With the growing population and the complex business environment around the world, business insurance has been extremely important for every business. However, an insurer has the privilege to set forth the terms and conditions of the insurance in accordance with the laws of the land. The crux is that a business insurance can be customised according to your exact need and you may not know the nitty-gritty of a business insurance.

Internet revolution and the growing pace of e-commerce activities on the move with the help of smartphones actually have brought a paradigm shift in business activities around the world where experts such as the small business insurance experts have taken the centre stage. All these put together indicates that insurance experts are increasingly playing a pivotal role for businesses. So, the challenge is to find an efficient insurance expert for your business. Here is a list of points to consider while choosing an insurance expert for your small scale business.

● Ability to quantify the need: As an entrepreneur or a businessman, you have a clear mindset about your insurance requirement. Having said this, we mean that you have a fair idea on the coverage you want. Now, the insurance expert must be able to translate that requirement into exact figures bespoke to your needs as well as the budget. It is equally important to find an insurance solution for your business that fits into your budget as well.
● Critical coverage option: Every business is unique in some way or the other. Hence, not every business insurance will be apt for your business – be it in terms of cost or your exact requirement. While evaluating your requirement and your budget, you cannot afford to give critical coverage options a slip. For instance, your business of perishable items would need a critical cover for the loss of goods in transit.
● Knowledge: Only a knowledgeable insurance expert can productively guide you in the matters of business insurance. The irony is that most of the self-proclaimed experts will fall to living up to your expectation. In other words, your expert for the business insurance should better be prepared well in advance
● Reputation: Reputed experts by default deliver satisfactory results to their customers since they remain equally concerned about their own reputation in the market.
● Testimonials: Testimonials are actual users’ personal experience and statement on a product or service. Whenever you go for a selection of small business insurance experts, always keep that in mind.

On top of all these, things like an easy access and round the clock service come as a unique opportunity on a case to case basis here.