Longtime readers know I’m always looking for an edge… A way to bring life-changing gains to my subscribers’ doorsteps.
That’s why I’ve spent so much time with my “boots on the ground” research. My personal network spans the globe, and my industry contacts range over just about any high-tech sector we can think of.
And I’m always in learning mode…
Heading Back to the Classroom
In 2019, I celebrated turning 50 by going back to school. I was admitted into Yale University’s School of Management for postgraduate business studies for a 10-month program. I graduated that October. It was one of the best things I’ve ever done.
Here I am on graduation day with Handsome Dan, the university mascot.
I regularly attend the best universities in the world for continuing education and professional certificates. It keeps me on my toes and ensures that my network continues to grow. And I’m always generating new ideas.
Back in February 2020, I attended an invite-only weeklong class at the University of California, Berkeley, School of Law and earned a professional certificate – Go Bears!
It was a great week. We dug deep into early stage investing and many of the nuances, both business and legal, that affect these kinds of investments.
Now, I’m not telling you all this to “brag.” It’s true that I find these studies very rewarding. But I also do it to benefit my subscribers.
Being on “the inside” of conversations around high technology and early stage investing allows me to pass on insights to my readers. These are topics that 99% of investors would never have the chance to learn on their own.
And during my travels, I uncovered something important…
VC-Like Returns for Everyday Investors
I’ve been on a personal campaign to find a way to empower nonaccredited investors to gain access to the highest-reward asset class in the world… Early stage technology companies.
It is unfair that our government and the Securities and Exchange Commission (SEC) are okay with nonaccredited investors literally gambling (something that has a nearly 100% certainty to lose money over time).
But they don’t allow investors to make educated investments into private technology companies (which is the best asset class for extraordinary returns).
And I know I’m not the only one who feels this way. Last August, SEC Commissioner Hester Peirce spoke out about these rules.
And I love what Peirce had to say: “Why shouldn’t mom and pop retail investors be allowed to invest in private offerings? Why should I, as a regulator, decide what other Americans do with their money?”
She went further saying, “A person’s economic status may demonstrate an ability to withstand losses, but it certainly does not demonstrate financial sophistication.”
She’s absolutely right. It’s not fair…
A Different Route to Early Stage Gains
While the Jobs Act of 2012 was meant to help, it did almost nothing to address this problem. Regulation Crowdfunding deals (Reg CF) and Regulation A or A+ deals are now possible. These types of raises allow investments from nonaccredited investors. But they’re far from perfect.
Fees, restrictions on the amount these companies can raise, and some pretty extensive regulatory filings and disclosures make Regulation A deals a difficult path for most early stage companies.
Of course, there are exceptions. Some great companies are pursuing Regulation A and Reg CF routes. And the SEC’s increase of the limits these companies are allowed to raise has made these options more attractive in recent months.
But there are still far too few opportunities for nonaccredited investors to take part in exciting early stage investments.
And that’s why I looked for a different route to gain access to early stage companies…
In fact, I spent over five years developing a system that could pinpoint early stage technology stocks with incredible potential… A small number of IPOs can greatly outperform the rest.
And I found these companies in a small sector of the tech market. They’re what I’ve been calling “Penny IPOs” because, unlike hyped public offerings such as Uber – which went public at a valuation over $74 billion after almost a decade of being private – these early stage tech stocks go public while they’re still tiny… While they have their biggest growth ahead of them.
That’s why I’ve been doing even more “boots on the ground” research on these rare opportunities… By going back to Silicon Valley.
There, I’ve been digging into these Penny IPOs, looking for the best ones to add to my list.
The crazy thing is, 99% of investors have never heard about these stocks. Because they’re so small, they don’t often show up in the headlines on news websites or achieve the “hype” other popular stocks drum up.
Yet because they’re public, any retail investor with a brokerage account can invest in them. They’re not restricted to accredited investors. There’s no gatekeeper preventing investors from profiting from these companies.
And that’s why I want to put them on my readers’ radar. So tomorrow, June 23, at 8 p.m. ET, I’ll be hosting a very special event… Silicon Valley “Unlocked.”
I hope to see you there.
Editor, The Bleeding Edge
P.S. At Silicon Valley “Unlocked,” I’ll be giving away the name of my top private Penny IPO as a thank you to everyone who tunes in. So make sure to RSVP so you don’t miss out!
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