Red flags in the Wild West of investing

Investing on the smaller companies exchange, Aim, can be very profitable, says Chris Boxall, so long as you know the warning signs.

Despite its "Wild West" reputation, investing in stocks listed on Aim can be very profitable if you choose wisely. Many of the serial underachievers of old have now departed the market. But whether investing on Aim or the main market, it pays to be alert to signs of danger. Below I look at two Aim stocks that have run into trouble and highlight the red-flag warning signs that could have saved alert investors a lot of grief.

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Chris Boxall, Fundamental Asset Management