Here are some guidelines given to a 24-year-old novice investor with $10,000 in her bank account who asked about penny stocks (like junior mines), because they’re so cheap, but who is also nervous about investing in them.
My advice is to avoid penny stocks for now. Even before you start researching stocks as potential investments, you have to start with the basics. First, remember that there is no free lunch. If you are serious about investing, then you will need to start from ground zero and build from there.
