Demise of penny stocks?

I read with interest on an article on the lack of interest in penny stocks by investors. A stockbroker interviewed swore that he will never touch penny stocks again as he has been burnt till all his fingernails are gone. He even vowed that he will tell his children never to buy penny stocks. I laughed at his funny remarks and remained optimistic about penny stocks.

Currently, I hold 2 penny stocks called Lee metal and AEI. Both have good track record and the management has done well for shareholders even in this 2008 credit crisis. For Lee metal, the company has been paying dividend for the past 5 years and the last dividend payout has even increased in this crisis. This speaks volume about the strength of the management. The lack of interest in penny stocks may be a good thing for us, as we can accumulate at reasonable prices. I am confident the management of these two companies is above mediocre and will continue to do well as proven in the recent crisis.