5 Essential Rules For Penny Stock Investing

Some penny stocks are able to beat the odds and become massive, respectable corporations that reward investors with hefty returns. But for every success story, there are dozens (perhaps hundreds) of penny stocks that don't go anywhere. "The best way for people to make a lot of money on penny stocks is to quit trying to get rich off of whatever's in the media," Peter Leeds, publisher of Peter Leeds Penny Stocks, told Benzinga. "When you see something in the media -- whether it's Bitcoin or marijuana stocks or binary options -- typically it's too late at that point." Leeds is the author of Penny Stocks For Dummies and Invest in Penny Stocks: A Guide to Profitable Trading. Click through the slideshow to see his five essential rules for penny stock investing. Disclosure: At the time of this writing, Louis Bedigian had no position in the equities mentioned in this slideshow.