In a 2001 study published in the Journal of Alternative Investments, a four -year period of Over the Counter Bulletin Board trading was studied for a risk to return ratio. The interesting conclusion they came up with was that OTCBB stocks didn't reflect what the general market was doing at that time. There were some years of extreme bullish overall sentiment, which can be defined as a solid return on the S&P, and the overall OTCBB market lost a lot of money. On the flip side of that, years of extreme bearishness in the S&P, along with the major exchanges, showed positive returns for many OTCBB companies.

So whether you are a safe-bet kind of investor or a fly-by-the-seat-of-your-pants type, there is still a place for you, just off the major exchanges.

Sincerely,

Jim Nelson, Managing Editor Penny Sleuth

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