Gold Mining Penny Stocks | Junior Stock Review

A Quick Guide to Penny Mining Stocks

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We've all heard stories of people striking it rich when they've invested in a little known penny stock. Especially for those just getting started with investing, there's great appeal to buy stocks that (in most cases) cost less than $1.

Of course, penny stocks investing isn't without risk. Whether they're mining penny stocks or stocks from another sector that have a low share price, they tend to be highly speculative because of their small market caps, lack of liquidity and disclosure. That said, you can invest a rather small amount of capital into penny mining stocks to hold several thousand shares, a position which could set you up for a pretty significant percentage return, if the value of the share increases by just a few cents. The same is also true when the share price drops - you could lose your entire investment pretty quickly.

This is really just a broad overview of penny stocks, but if investing in companies with penny mining stocks in Canada, the USA or any other part of the world interests you, there are some great resources that can give you a better foundation.

Check out the following books and reviews on gold mining and other penny stocks:

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