Raleigh, NC (PressExposure) March 09, 2012 -- In his new penny stock report, "Pennies to Fortunes," penny stock analyst, author of "Invest in Penny Stocks," and publisher of the Peter Leeds Penny Stocks newsletter, Peter Leeds provides his top 3 tips for investors to protect themselves from risks.
Adding weight to other media channels which have encouraged investors to be cautious when buying thinly traded penny stocks, such as CNBC and the Motley Fool, Leeds elaborates on some exact steps investors can take to dramatically improve their odds.
The report, "Pennies to Fortunes," is publicly available for free, and readers are also encouraged to share the information or the entire report with anyone else they feel might benefit, or who may be interested in penny stocks.
"Penny stocks are not for everyone, and a good investor will know when to avoid penny stock companies," says Leeds. "With penny stocks, there are more lackluster investments, but it can be very profitable to buy into those penny stock companies that have solid fundamentals."
In "Pennies to Fortunes" Leeds provides his top 3 "don'ts" for investors looking to get into penny stocks:
1. Don't trust free penny stock picks
2. Don't trust free penny stock websites
3. Don't buy shares in any Pink Sheet penny stocks
By adhering to these 3 "don'ts" of penny stocks, Leeds states that investors will be avoiding 90% of the risks that cost many penny stock investors their money.
"Free penny stock picks are promoted by people who get paid by the companies they tout," explains Leeds. "Free penny stock websites profit by tricking people into buying. Besides these two don'ts," adds Leeds, "you should stay away from Pink Sheets stocks, because they are on balance very fundamentally awful companies, and there are very low listing requirements or regulations, which attracts the worst companies."
The "Pennies to Fortunes" special penny stocks report can be viewed at http://pennystocks.com/content/pdf/pennystocks.pdf