Rob Booker and Lou Bassanese released a new product called Micro-Cap Advantage — or MCA for short. I got my hands on that product, and in this article:
- I’ll show what exactly this product is.
- What you can expect when you invest in this product.
- And whether this product is for you or not.
What Is Micro–Cap Advantage?
You might have seen the videos with Rob and Lou driving around in a Delorean. Yes, that is the car from “Back to the Future.” It’s a really fun video — you should watch it!
Now let’s talk about the product they are promoting: Micro-Cap Advantage.
I got my hands on this product, so let’s take a look at it together.
Micro-Cap Advantage is a research service that gives you specific buy recommendations for micro-cap stocks.
So what the heck ARE micro-cap stocks? — These are companies with market caps of $500 million to $2 billion — and according to Rob and Lou, these companies have outperformed large-cap stocks by a wide margin.
They say that they only focus on investment opportunities with minimum profit targets range from 500% to 1,000% on each trade.
Now, that’s a big claim, and in a moment, we will check if they deliver on this bold promise. Let’s take a look at how exactly this service works.
How The Service Works
Once a month they publish a report on a new investment opportunity. When the report is ready you will get an email.
This email contains a link that will take you to a password-protected area that looks like this:
In this member’s area, you can view and download the latest report.
Let’s take a look at the latest one. It’s an 11-page report.
It includes detailed research and data about an investment opportunity. And at the bottom, there are instructions on how to invest in it.
Rob and Lou say that the majority of their reports will focus on long-term “buy and hold” investments, so you can expect to hold the stock for a few months, maybe even years.
I think that’s reasonable since they are not looking for price moves of 10% or 20%. They are aiming for 500% to 1,000% windfalls, dos 5x, or 10x the purchase price.
In addition, they also give regular updates on all of the companies they recommend.
These updates include news about their existing positions so that you know what’s going on together with very specific actions to take.
They also alert you when they recommend selling a position. Let’s take a look at it:
Ok, so there are some decent gains. But it’s not the 500% — 1000% they are aiming for.
So let’s see what their last picks did. I’m checking the SELL ALERTS, and let’s tally it up:
Micro Cap Advantage (MCA) Performance:
As you can see, most of the trades are not reaching the 500% — 1000% that they are claiming but making 200%, 300%, 400% is not bad at all, is it?
And based on my research going through their alerts, I didn’t see any losing trades (yet).
Now, as you know: losses are part of your business as a trader, and I’m sure that Rob and Lou will have losses, too. Every trader has.
But as long as you keep your losses small, you will be fine.
Is Micro Cap Advantage Worth It?
Now the key question: Is this service right for you?
First of all, this service is great for traders with small accounts, because most of the stocks they recommend are priced below $10.
So even with a small $500 account, you could trade 50 shares, but you have to say “goodbye” to these $500 for a few months because as you have seen, most of the recommendations require you to hold the stock for several months.
The good news: After a few months, you could double or triple your investment, based on what I have seen thus far.
Trading Futures, options on futures and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. The lower the day trade margin, the higher the leverage and riskier the trade. Leverage can work for you as well as against you; it magnifies gains as well as losses. Past performance is not necessarily indicative of future results.