Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : PENY - Combined Penny Stock Fund -- Ignore unavailable to you. Want to Upgrade?

To: P.E. Allen who wrote (13)	2/11/1999 7:19:00 PM
From: David Sirk	Read Replies (1) \| Respond to of 39

I was able to dig up part of a news article from 96. It does not give a number or an address but it does lend credibility of this being a going concern. WARNING! If you have a heart condition, stop reading this story!! Ticker-troubled read-ers who go beyond this first paragraph do so at their own risk!!! Okay, we're exaggerating a bit. Still, it's tough to overstate the risk of Combined Penny Stock, a closed-end fund that's one of the more unique offerings in the mutual fund universe. As its name implies, Combined Pen-ny Stock invests in “pen-ny” stocks, variously defined as stocks un-der one, five, or ten dollars – it all de-pends on who's doing the defining. But there is a common theme; for the most part, penny funds own stocks that are very short on value and very long on speculative potential. If investing were a horse race, these ponies would rate 100 to 1 odds. Of course, the flip side of this ex-traordinary risk is extraordinary profit poten-tial. For example, between September 1992 and September 1993, Combined Penny Stock's net asset value doubled, earning 25 times the return of the S&P 500 and topping every oth-er fund. Impressive? You bet. But before you call your broker, you should get to know more about this Penny Stock Funds Here's a way to play the most speculative segment of the stock market. FEBRUARY 1996 MUTUAL FUNDS 55 BY J E F F BE N KO E Rick Lee Photographs