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  • Forum National Investments Ltd (OTC: FMNL) Continues To Post Massive Gains! 0 comments
    Jun 20, 2012 3:52 PM | about stocks: FMNL

    Forum National Investments Ltd (OTC: FMNL) is making one of those legendary runs that we so love to report on. Currently trading at $2.15, the stock is up an incredible 800% from where it started at around a quarter.

    The Company is in the Life Settlement business operating through their wholly owned subsidiary; The American Life Settlements (ALSS) Specializing in Life Settlements and Life Settlement structured financial products, FMNL has been trading on the OTCBB since 1998 and used to do some fairly significantly revenues.

    However in the past years, the high revenues and asset base that the Company maintained dwindled significantly. Interesting that they chose this time to launch a multi-million dollar stock promotion campaign via hard mailer and online landing pages.

    The copy on in the adverts is quite optimistic, for example they say: "As demand for life settlements increases, FMNL is well-positioned for explosive growth in 2012. Shares could soar and give you a chance to cash in on the biggest trade of 2012!

    While the stock has certainly seen explosive growth and continues to post major gains I don't think the Company is really poised for explosive growth in 2012. If they were, they would probably be focused on building that growth and they would not be spending millions to market the stock.

    Currently trading at a market valuation approaching $70M I would be wary that the top is near. Stocks like this are fun while they are going up however smart investors know all too well that these explosive gains will not last for long and one day soon, the bottom will fall out.

    OTCMAGIC is quickly becoming the preeminent destination for up to date information on the hottest stocks in Penny stock World.

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

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