roboadvisors are the rage, why they’ll never pick penny stocks!

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Penny Stock Research The Truth About Penny Stocks

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Page 2: RoboAdvisors are the rage, why they’ll never pick penny stocks!

Welcome to Penny Stocks Research. Every day we bring you the unbiased truth

about Penny Stocks. For more information on penny stocks please visit

our website

PennyStockResearch.com

Page 3: RoboAdvisors are the rage, why they’ll never pick penny stocks!

Hi, My name is Aaron and I‘m with Penny Stock Research, today were

reviewing our recently published article…

Page 6: RoboAdvisors are the rage, why they’ll never pick penny stocks!

One of the hottest topics in investing today is the use of RoboAdvisors.

What are RoboAdvisors?

Good question…

Page 7: RoboAdvisors are the rage, why they’ll never pick penny stocks!

A RoboAdvisor is fancy branding for a simple computer algorithm. Somebody built a piece of software that takes some

of your vital information and spits out what stocks you should buy. (most often the recommendations are ETFs or Funds)

Page 8: RoboAdvisors are the rage, why they’ll never pick penny stocks!

There are so many flaws with this idea, I don’t know where to start…

So, let me start with the good stuff…

Page 10: RoboAdvisors are the rage, why they’ll never pick penny stocks!

So what’s good?

RoboAdvisors are good if you’re not saving for retirement. If you’re not saving

for the long haul… than maybe a RoboAdvisor is useful.

Page 11: RoboAdvisors are the rage, why they’ll never pick penny stocks!

The RoboAdvisor can encourage you to save… and set up with automatic

investments, automate the investment process!

Anything that gets the lazy American up off their couch and saving is a great idea.

Page 12: RoboAdvisors are the rage, why they’ll never pick penny stocks!

Another area RoboAdvisors can help is investing.

Some investors are paralyzed. They’re so afraid of doing the wrong thing, as a

result, they do nothing…

Page 13: RoboAdvisors are the rage, why they’ll never pick penny stocks!

They miss years and years of financial growth and profits… investing gains that could push them from eating tuna fish…

to steak and lobster in retirement!

The third reason RoboAdviors are good – low fees.

Page 14: RoboAdvisors are the rage, why they’ll never pick penny stocks!

I read about a RoboAdvisor company that was charging $10 a month for their

services… if you have a few hundred thousand to invest… that’s a ridiculously

low cost.

But despite the benefits, some things are not good…

Page 16: RoboAdvisors are the rage, why they’ll never pick penny stocks!

For investors who are actively investing on their own, RoboAdvisors are a tragic

mistake.

Let me explain.

Page 17: RoboAdvisors are the rage, why they’ll never pick penny stocks!

These computer software systems are simply using historical market data to

pick investments for people. Not a bad way to go… but every piece of investment literature has the famous saying… “Past results not indicative of future returns.”

Page 18: RoboAdvisors are the rage, why they’ll never pick penny stocks!

In other words… the future will be different from the past.

That’s problem one… driving by watching the rearview mirror is never good.

Problem two. RoboAdvisors stick to the mainstream.

Page 19: RoboAdvisors are the rage, why they’ll never pick penny stocks!

This is what kills me about main stream investment strategies. These systems are set up to use the most popular and

widely traded investment vehicles… ETFs, Mutual Funds… and rarely blue

chip stocks.

Page 20: RoboAdvisors are the rage, why they’ll never pick penny stocks!

The problem is they miss out on growth.

Go back in history and you’ll see what I mean.

The biggest gains in the stock market have been delivered by the smallest companies. Companies that start off tiny… and become the 800 lb Gorilla!

Page 23: RoboAdvisors are the rage, why they’ll never pick penny stocks!

Apple is now one of the largest companies in the world… but 10 or even

20 years ago, it was a small upstart.

Years ago, It wasn’t tracked by the big indexes… it wasn’t followed by the

biggest mutual funds… Nope. This was a company too small for many to invest in.

Page 24: RoboAdvisors are the rage, why they’ll never pick penny stocks!

Companies like this don’t get selected by RoboAdvisors until they’re huge. That

means your investment dollars miss out on massive returns.

Page 25: RoboAdvisors are the rage, why they’ll never pick penny stocks!

RoboAdvisors will never pick out penny stocks to buy…

As if that’s not bad enough… there’s a third problem with RoboAdvisors.

Page 27: RoboAdvisors are the rage, why they’ll never pick penny stocks!

This problem is a bigger one for the untrained investor.

A RoboAdvisor can’t hold your hand or share with you his experiences.

Page 28: RoboAdvisors are the rage, why they’ll never pick penny stocks!

Look, if the market starts to rocket skyward… or turn south… or one of your stocks gets some strange news… your

RoboAdvisor doesn’t care.

He can’t explain what’s happening… or what action you should take.

Page 29: RoboAdvisors are the rage, why they’ll never pick penny stocks!

As a matter of fact, from my understanding, RoboAdvisors set it and

forget it when they invest.

Great if you’re cooking a chicken… but you’ll end up with Burnt Bird in the real

world!

Page 30: RoboAdvisors are the rage, why they’ll never pick penny stocks!

Here’s the thing… RoboAdvisors have traction. They’re attracting investors of all

types… and the money placed in their hands is growing.

They won’t go away…

Page 31: RoboAdvisors are the rage, why they’ll never pick penny stocks!

But that doesn’t mean you should embrace them either.

What do you think of RoboAdvisors? Do you use one?

Good trading…