Pink Sheets and Wall Street have long since appealed to gamblers and investors. Wall Street’s version of the unwanted stocks has become big business. Investors are looking to what is commonly referred to as the “pink sheets” which list the stocks which are too small and often too much trouble for the boys on the Street to notice.
Enter into the picture a man by the name of Coulson. Cromwell Coulson bought the stock quotation service, Pink Sheets in the late nineties and since then, he has been quoted a few times as referring to the Pink Sheets as the “Las Vegas of Wall Street.” And here’s why. Companies which are relatively small with little trading action being realized have virtually no appeal to the New York Stock Exchange.
The Pink Sheets lists not only the smaller companies but also the foreign stocks. The stocks aren’t listed on the exchange and are certainly considered very volatile stocks.
Day trading quickly became known as the investor’s way to gamble years ago. Now, with the growing popularity of the Pink Sheets, investors can really go double or nothing with stocks which are more than just a little risky to the investor who needs some excitement when they are building their investment portfolios.
What investors need to realize when choosing to jump on board with Cromwell Coulson, CEO of Pink Sheets LLC, is that not only are the stocks listed on the Pink Sheets listed there for a reason but there is a very real and legitimate reason that these stocks aren’t on the more notable exchanges. Either they couldn’t make it while on the big exchanges or they weren’t there to begin with.
As one might expect, Pink Sheet stocks offer investors, for the most part, mediocre financial information on the company. Further, bleak financials of the companies listed on the Pink Sheets are often camouflaged or extremely difficult to find.
What’s more, day traders who love to jump in and out of their chosen stocks and tend to love volatile stocks will be less likely to trade on the Pink Sheets with much success if they “play the market” on these stocks as they would the stocks on the NYSE, for example.
Day traders will find the pendulum swinging both ways on stocks found on the Pink Sheets. They’ll be drawn to them because huge profits can be earned. They will definitely need to do their homework and recognize the fact that if a stock is listed on the Pink Sheets