Tire Recycler an Opportunity but High Risk

Dec 10th, 2008 – Comment

Hi Lou, I am a novice when it comes to all this stock market stuff, but I am trying to learn more especially with the global economy concerns that most of us have. I am thinking of exploring some stocks that I may be able to invest in without breaking the bank. I received an […]


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MDOR has held up better than most but isn't without risk

Hi Lou,

I am a novice when it comes to all this stock market stuff, but I am trying to learn more especially with the global economy concerns that most of us have.

I am thinking of exploring some stocks that I may be able to invest in without breaking the bank. I received an email to consider for MAGNUM D OR RESOURCE (OTC BB: MDOR.OB).

Wondering if this is something you may suggest to buy, or even worth looking into further?

Happy Capitalism to you as well!

Gareth

Hi Gareth,

Congratulations on wanting to improve your investment knowledge! It’s the best way to take advantage of opportunities and reduce risks.

The shares of Magnum d’Or Resources Inc., MDOR NASDAQ BB, trade on the NASDAQ Bulletin Board, which in my experience is a higher risk environment. There are limited listing requirements and that can lead to an increased risk for investors.

I’m not sure who sent you the email but if it is not someone you know than I would also suggest that you consider the source. There are lots of schemes out there looking to fish the waters and whatever they drag up in their net is sent to the processing plant if you follow me.

Having said all that, MDOR is in the business of recycling old tires and creating a solution to those mountains of old tires that occasionally get set on fire and cause a huge mess.

There could be some opportunity for the company and it looks like the stock has held up better than most in the current environment. But as a novice should you be chasing a penny stock on the NASDAQ Bulletin Board?

I think that there have to be lower risk environments and opportunities.

Happy Capitalism!

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