Why Trade Penny Stocks?
Penny stocks are low-priced securities that are currently trading $5 or less per share and are traded outside of the main markets, such as NASDAQ, AMEX and NYSE. Frequently these stocks have dropped from much higher prices and now trade relatively small with low volume. And because they are commonly maneuvered independently and are extremely cheap, penny stocks have been often labeled as nothing more than a beginner’s game for inexperienced investors.
Now, before a broker-dealer can ask or sell a penny stock, SEC rules and guidelines need the firm to first let and permit the customer for the transaction and receive from the customer a written agreement to the transaction. The firm should provide the customer a document demonstrating the possible risks of investing in penny stocks. After that, the firm should tell the customer the current market quotation, if any, for the penny stock and the compensation the firm and its broker will get or receive for the trade. Then, the firm must send monthly account statements describing the market value of each penny stock held in the account of the customer.
So, why try trade penny stocks? Penny stocks allow a speculator to buy a large number of shares with a relatively small amount of money. The speculator, then purchase the best penny stocks, which hopefully will yield or create a large return on their initial investment. Now, if a speculator has a strategy, it can possibly work; but then, the odds of succeeding at this game are slim to none though.
To effectively and successfully trade penny stocks, there are a few instructions you should consider.
First, contact a broker if you are looking for some advice on how to get started but never expect a professional to take over a portfolio based only on penny stocks. Because the potential for profit is small unless of course you are willing to invest huge amounts of money, a broker is unlikely to be interested. Once you learn the fundamentals, however, you must be able to trade over the internet or phone no longer needing help from a middleman.
Second, you should always remember that penny stocks are very high-risk investments. While they are more likely than any other type of stock to lose value over a long period of time, increasing their value to double or triple is a possibility.
Third, consider where your local over-the-counter (OTC) market is best situated. And since penny stocks are typically not traded through the stock exchange market but instead through side exchange sites, locating a direct contact is needed.
Fourth, you should understand and learn the bid and ask price connection. Why? It’s primarily because penny stocks are being sold not by single unit price but by estimated values. So when you decide to purchase a penny stock, you are actually paying the ask price, which is what the seller considers a fair value for the stock. Of course, this is not necessarily the true value of the stock. Often times it is inflated by at least 25 percent. A spread is called the difference between the bid (real) and ask (selling) price and is the base in which you will have to compute your potential earnings.
Fifth, you should use a broker if you plan to purchase stocks in sets of 100. Typically, these are being sold by people called as market makers, who are responsible for handling penny stocks and organizing their sale in a way almost identical to an auction. And since you are only allowed to purchasing 100 stocks, you can always choose to back out if it gets too pricey on subsequent sets.
IENT- Is ThrillerNewMedia The Next Microprose?
A great brand new company is about to emerge in the $8 billion online global games market, the fastest growing sub-segment of the $41 billion worldwide games business. And it’s going to be a real-world techno Thriller!
“We’re going after the Tom Clancy’s of tomorrow,” Stealey said.
Why did they have so much confidence to be able to get a slice in such a fastest growing segment of the 41 billion USD global video games industry – the eight-billion-dollar-a-year online games market? They will tell you with great pride. Many members of the Thriller New Media team have strong roots in military video games, spy games, FPS action games and online multiplayer games going back to circa 1985-92 MicroProse, one of the most successful game brands of all time. The team’s goal is to once again build a world-class, worldwide, online game company in the tradition of MicroProse with long term franchise value.
Note: They sold Microprose to Hasbro for $70 Million in the early 90’s.
Company Highlights
-iEntertainment Network, Inc. Acquired Thriller New Media, Inc. Jan. 13, 2010.
-Thriller New Media will operate as a subsidiary of IENT and operate all of IENT’s current and future military online and retail games, novels, and movies
-Signed contract with New York Times bestselling authors. They would have got time Clancy but Fred Schmidt signed them to ubisoft when he was working with them.
-Thriller New Media signed contracts with Hypernia Hosting Corp, the leader in online hosting services and solutions for the interactive entertainment industry
-AS= 50 million OS=42 Million Float= Less than 12 million
-Trading over $10 a share at its peak, with millions in revenues, and more than 75 employees.
-Insiders control 41% of OS, CEO owns 36%
-In 2002 IENT signed an exclusive distribution deal with Activision
-New game is expected to hit local stores in February 2010 “DogFights” “First in Store Release in 5 Years”
-I went to ThrillerNewMedia and noticed their website now redirects to totalsims.com, so I’m expecting to see a new website appear in the near future.
-Thriller New Media has contracts with three best selling New York Times authors. We are expecting to hear the name of one within the next month. Of course, the biggest military author, Tom Clancy (who signed his first game deal with Fred Schmidt, Now Thriller New Media’s CEO), has been claimed by Ubisoft
- Thriller New Media has also developed a concept of an online military destination community portal, known as ThrillerHQ, where members can play massively multiplayer online military games, can get real time information and news about military issues around the world, and can purchase a variety of products including retail games, books, DVDs, and movies
- IENT Owns a Revolutionary Patent for Online Gaming
IENT Owns a Revolutionary Patent to Make Online Gaming Much Faster. Which is a Must for Today’s Demanding Games. “The Company is the holder of United States Patent no. 6,042,477 – a method of and system for minimizing the effects of time latency…on interconnected computers.”
Huge Companies Try to Claim IEntertainment’s Revolutionary Patent.
“Another recent patent lawsuit was brought by iEntertainment Network against Epic Games, Atari, Valve Corporation, Sierra, Sony Online Entertainment and various Sony offices. As reported by Gamasutra, the suit was in connection with use of a method relating to “…latency in online games. The original patent, which seems to have been filed in 1996 by Dale Addink while working on early online flight sim title Warbirds, revolves around ‘minimizing the effects of time latency in multilayer electronic games played on interconnected computers’ by including ‘time dependent attribute information’ in the packets. Patent owner iEntertainment, which was founded by Microprose co-founder JW ‘Wild Bill’ Stealey, demanded unspecified damages regarding the patent.” This litigation was ultimately settled.”
-Together these three launched Microprse and sold it to Hasbro for roughly $70 million. After MicroProse made it big, Bill, Fred and Jim all went in different business directions but have always stayed in touch and generally remained in the games business which they all love. After 20 years of this pursuit, rather than retire like most smart folks would, these guys have decided to come together again to build yet another great company/brand of quality game products and related media.
- they are actively reassembling a lot of the best talent they have ever worked with in the industry and using that extended network to further build a top-rate development and publishing organization.
- Thriller is a recently formed online game company founded on more than 100 years of senior management experience in the videogames, technology and entertainment industries.
-IN a 2003 PR JW Stealey discussing the delisting from the NASDAQ, he said we would be back on the capital markets in the future!! Looks like our time is near, after 7 years of silence JW Stealey is rebooting the company! http://www.allbusiness.com/company-activities-management/company-structures/5699577-1.html
-Since the delisting IENT has achieved the following accomplishments:
History Channel Battle for Brittan, Warbirds series up to 3, FlyBoy Squadron “Had Contract with Movie,” Helbreath, Dawn of Aces 1 and 2, Armored Assault, Total Sims Series, Online Gaming/Prize Website, won patent lawsuit against major companies “IE:Sony, Valve, etc.,” and there’s more!
Games, won lawsuit, prize website, warbirds still going, etc..
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