Welcome to my review of Microcap Insider.
This is an expensive program and before buying it I'm sure you want to know if it's a scam or not.
Well you're in luck..
I went through every aspect of this newsletter to determine just that.
You'll get a lot more answers about Microcap Insider too.. like some background information, how much it costs, who the creator is.
So clear a few minutes from your schedule and make sure to read everything.
Let's get started!
4 Things To Know About Microcap Insider
Before we get into what exactly this newsletters is offering let's take a look at some background information.
Here's what I think is most important to know about Microcap Insider:
1) It's Run By Alex Koyfman
Alex Koyfman is the creator of Microcap Insider.
After doing a little digging I discovered Alex didn't take the traditional route to the stock world.
Instead of getting a finance degree and working at an investment bank, Alex studied law at the University of Maryland.
This does happen from time to time.
For example, I did a review where one guy had a degree in molecular biology and became a trader.
The investing world attracts all kinds of characters to it.
Eventually Alex started trading stocks in his free time while also practicing law.
After finding some success on the stock market he switched careers and started writing for Angel Publishing.
He also worked for K Street Financial.
In 2014, he came back to work for Angel Publishing and runs Microcap Insider now.
Alex isn't the most the most experienced guy on earth.. he's6 not like Marc Chaikin or anything like that.
But he does have enough experience to know what he's talking about.
2) Angel Publishing Owns The Newsletter
Angel Publishing is the creator of Microcap Insider and they're pretty well known.
They offer over 10 premium newsletters that invest in various sectors.
Some focus on technology, dividends, IPO's, energy and more.
They also have a free newsletter called Wealth Daily and Alex is the senior editor for it.. it has over 500,000 readers.
However, Angel Publishing doesn't have the best reviews in the world and some customer complaints are very alarming.
The most serious complaint is the company randomly charges people's credit cards for a lot of money.
Here's an example of that happening:
If this was the only complaint of this happening it wouldn't be that big of a deal.
But many people are saying the same thing:
A lot of people weren't able to get their money back when they went for a refund either:
It seems Angel Publishing has a serious customer service problem.
That or they're actually scamming people out of money.
3) What Are Microcap Companies?
Microcap companies are very small companies that have an opportunity to grow a lot in the future.
Many people also call them penny stocks but the term has really bad connotations.
In fact, Microcap Insider used to be called Penny Stock Millionaire but Alex changed the name.
Here's a couple of each:
Pro #1: Massive Growth Potential
Penny stocks and microcap stocks are cheap.. as their names infer.
However, many great companies start out as penny stocks and experience massive growth.
For example, Pier 1 imports started out at $0.10 and got all the way up to $25 a share.
Monster Beverage traded under $1 for a long time and recently has traded upwards of $100 per share.
Same with Blackberry.
So you can find some awesome penny stocks if you're lucky.
Pro #2: You Need Less Money
Many of the programs I come across require a lot of capitol to get started with.
For example, I did a review last week where you'd need around $1 million for it to be worth it.
Penny stocks require a lot less money because they're so cheap.
You can buy 1 share of monster today for $100 but years ago could of had over 100 shares for $100.
These investments don't require thousands of dollars to make a lot of money.
Con #1: Many Scams Found Here
A big problem with penny stocks is they're ripe for fraud and pump and dumps.
A pump and dump is when an investor loads up on a stock before getting others to invest in it.
Once a bunch of people invest in it the price superficially goes up and the scammer pulls his money, making a big profit.
However, the price will drop when this happens and the late investors lose their money.
This happens all the time and no stock is more prone for it to happen to then penny stocks.
The SEC put out an article detailing the risk involved with these investments.
Con #2: Brokers Don't Like These Stocks
Many brokers don't like to deal with penny stocks and won't let you trade them from your account.
Those that do can charge a higher than normal rate to trade them as well.
This will eat into your profits and make your chances for success less likely.
4) The Teaser Is Always Changing
The core offer of the product is always the same.
You get the newsletter with some bonuses.
However, the pitch to join this newsletter, along with a teaser for a certain stock is always changing.
This is basically just for marketing purposes.
For instance, in the past the teaser for Microcap used to be "AirTesla Electric Flight To Create More Millionaires Than Tesla."
The stock he was teasing was called Joby Aviations (JOBY).
Alex puts out these teasers as a way of enticing people to buy Microcap Insider.
Basically he's saying buy Microcap Insider and I'll reveal this secret stock with big upside.
There's a new teaser every couple of month.
JOBY didn't do so well when started pushing it, though (red arrow is around when the teaser was released):
The teaser before this one was titled "Plastic Killer Set To Go Vertical."
The stock Alex was alluding to in this instance was NEXE Innovations.
This stock had a slight bump after the teaser but has since plummeted:
The current teaser for Microcap Insider is "Most Technologically Advanced Non-Lethal Handgun Ever."
There's a chance there's a new teaser by the time you read this but as of 1-28-2022 this is the official teaser.
The stocks Alex is alluding to in this marketing campaign are Byrna Technologies, Wrap Technologies and ShotSpotter.
All three of these stocks are down since the teaser went out.
So yeah.. Alex's secret stock picks aren't doing too well.
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What Does Microcap Insider Offer?
Microcap Insider has a few different components.
Here's what you can expect from this product:
- Microcap Insider Newsletter: This is the core part of the offer. Once a week you get an email of Microcap Insider with stock picks and analysis.
- Price Information: You won't get just picks but all the important details with the pick. This includes entry price, exit price and target prices.
- Research: Every pick comes with full research. You'll learn why Alex likes the stock, who leads it, revenue and what to expect.
- Bonus Report #1: The first bonus report is the signs a penny stock is about to take off. It looks at different stocks in the past that have done it.
- Bonus Report #2: The second bonus report details how to get started with penny stocks.
- Special Report: The special report is just the teasers that change every few months. It details some stocks that might have big growth in the not so distant future.
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My Microcap Insider Takeaways
There's a lot to unpack with Microcap Insider.
Here's my main takeaways about it:
Way To Expensive
The whole point of investing in penny stocks is because they're very cheap.. you can get started even if you don't have a lot of money.
It makes no sense to have this newsletter be so much.
I review a lot of these programs and $3,999 would make it one of the more pricier out there.
I mean if you just look at the special report picks you'll see Alex's selections aren't the best.
Another thing to consider is every dollar you invest in this newsletter is a dollar you start in the red.
Remember.. this price is YEARLY.
That means every year you're going to have to pay $3,999 for the product.
Penny stocks are hard enough to succeed with but starting $3,999 in the hole is just going to make it harder.
Good Refunds Policy.. If You Can Get It
On the sales page Alex makes a very good offer..
You can try Microcap Insider and you have 90 days to see if it's right for you.
If you're unsatisfied you can get a complete refund, no questions asked.
90 days is an awesome refund policy and gives you plenty of time to test the picks.
You can also test out the service to see if you like it.
BUT.. like I mentioned earlier Angel Publishing seems to be bad with refunds.
Many people seem to ask for refunds and never get them.. or they just get some automated email response instead of actually talking to someone.
However, with Microcap Insider you get "VIP service."
With this you get a special number you can call to talk to the "VIP team" at Microcap Insider.
Perhaps this will bypass Angel Publishing and allow you to get refunds easier.
Harder Than It Sounds
The sales page is full of promises of massive returns and the possibility to turn little money into millions but it's not likely to happen.
Penny stocks have way more negatives than positives.
Sure you might hear of a sensationalist story of someone investing a small amount and becoming a millionaire but the odds aren't in your favor.
The failure rate of a penny stock is nearly 100% and there's a reason these stocks are so low.
Many of these stocks have bad leadership, horrible financials or are outright scams.
It's going to be so hard to pick the right one.
Go back and take a look at the stock picks in the teasers I mentioned before.
All 5 picks lost money when Alex suggested them.. and these are supposed to be the picks Alex is most excited about!
It's too hard to predict these stocks.
It truly is a gamble and if you do hit on one it's going to be complete luck.
Investing Long Term Will Always Be The Best
The penny stock world is full of hucksters and snake oil salesman.
The most famous is probably Timothy Sykes.
You'll see a lot of people promise fast returns with these stocks.
Even Alex makes this pretty ridiculous statement on the sales page of Microcap Insider:
I wonder how many people have turned $500 into a retirement nest egg from penny stocks?
I guarantee it's waaaaaaay less than 1%.
The truth is investing is a good way to earn money over time.
And investing in quality stocks will always be the better option.
These penny stocks are so volatile and almost guaranteed to fail.
Customer Reviews Aren't Great
There's a decent amount of customer reviews out there about Microcap Insider.
To be honest most of them are not positive.
A total of 51 people voted on this newsletter and the average score was only 2.6/5:
This is extremely mediocre and shows the newsletter is nothing special.
It's been this way for years too.
Back in 2017 one customer claimed their picks for the year had been performing awfully:
The S&P was up 20% in 2017 and tech stocks were up almost 30%.
Had you just taken a safe investment strategy of investing in these stocks you would have made a lot more.
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Microcap Insider Pros And Cons
Microcap Insider Conclusion
Well that's the end of the review!
Hopefully you learned a lot from this post and all your questions are answered.
If you asked me if you should buy this investing newsletter I would tell you no.
The biggest problem I have with Microcap Insider is it's just so damn expensive.
It's kind of ironic Alex pushes stocks that are so cheap and are perfect for people with little money.. but then makes the program $3,999.
If this newsletter was like $99 or $199 for the year then MAYBE I'd recommend it.
I'd still tell you tell you to be very careful about how much you invest and still warn you about penny stocks in general.
But we're not even in the same ball park as the prices I'd recommend it at.
On top of that the teaser picks just aren't doing well.
If he was hitting homeruns with these special reports I'd perhaps say go for it.
But again these picks lose money every time he recommends them.
The truth is penny stocks are impossible to predict.
I'm sure if you flipped a coin you'd have the same results.
Here's A Better Opportunity
I'd personally pass on Microcap Insider.
The good news is there's plenty of investing newsletters out there that are high quality AND won't cost an arm and a leg.
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