Investing in smaller companies can be fun as long as you are aware that the risks are usually very high. For years the Alternative Investment Market (Aim) has been home to oil and mining companies that have promised great riches, but have often ended up burning investors with big losses.
If you are going to buy the shares of these companies, then you must be prepared to lose a large chunk – if not all – of your money. However, while there’s a large speculative element at play here, not all Aim-quoted oil companies are akin to spinning the roulette [...]
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