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Another tip is to always be looking at growth, if a company isn't growing the market will not respond favorably. I'd put it up there with: 1.Multiple Streams of Income: How to Generate a Lifetime of Unlimited Wealth. Understanding Sector Rotation is brought up on multiple occasions. Second Edition2.Rich Dad Poor Dad: What the Rich Teach Their Kids About Money-That the Poor and the Middle Class Do Not., 3.Think and Grow Rich: The Landmark Bestseller--Now Revised and Updated for the 21st Century4.Real Estate Riches: How to Become Rich Using Your Banker's MoneyJim says Picking Winners: A Horseplayer's Guide is actually the best investment book he ever read so I'll picking that up soon.I actually read this before reading Confessions of a Street Addict, but I was so enamored with "Real Money", I began watching Jim on TV. He advises you to not hand your money over to a broker unless you have a 1/4 of a million otherwise they are just not setup to manage it effectively. I also learned a lot about "cheap" stocks. While there is some broad theory in Real Money there are some actual steps you can take away, this is not just a story like "Rich Dad Poor Dad" I'd put it more along the lines of "Multiple Streams of Income" where the author says do this, and then gives concrete examples.
I always wanted to buy Sun Microsystems because it hung out around $4 so I thought it was cheap. Since reading the book I have started trading options on many of my positions, as Jim says you need to "GET IN THE GAME". However, after reading the book I now understand that the stock's price is essentially meaningless. I look forward to his follow up that just came out Jim Cramer's Getting Back to Even.
This is one of the top 5 books on Personal Finance and Investing I have ever read. The common theme among all the books listed above is that there is no short cut to riches. Jim hates "buy and hold" strategy, but loves "buy and homework" advising you to put at least an hour of work into each stock you pick and try to stay around 5 stocks for an average investor to have a balanced portfolio. Most brokers get paid based on how much they manage not how much they make their clients. P/E ratio is like the line in sports betting. Plus it was easy to read as Jim comes from a journalism background, making many easy to follow analogies to sports and everyday living. I liked him on TV so much I went back to the beginning to read his first book detailing how he got into Wall Street, of which I have also reviewed and highly recommend. In fact I liked the chart on Page 114 about sector rotation so much I made a copy and put it next to my desk so I could keep an eye on it every day.
I now understand P/E ratio is much more important metric to pay attention too. It lets you see how much investors are willing to pay for each $1 a company earns. I can't state enough how great this book is and wish someone would have given it to me five years ago as this knowledge is very valuable. No one will ever care as much about your money as you, so pick up this book you won't regret it.
Cramer's bombast and antics on television annoy me, but in his books he shows his real gift as an educator.I've been investing for twenty years, but I still liked it. Tired of being ripped off by the "professional money managers" on Wall Street. This is the book you need to read. Cramer explains what has changed in the marketplace and I've made money ever since I started following his principles. Check it out in the library and if you like it, get a copy.
It's basically a risk management model to be applied to your portfolio. I'm a viewer of Jim's Mad Money show. Now, I have a professional understanding of having a well-reasoned "thesis," when I buy and sell stocks. In his book Lichello outlines his "AIM" method of buying low and selling high. I'm now a believer of "buy and homework.""BOOYAH" Jim Cramer Robert F. Jim devotes an entire chapter to creating your own "Discretionary Portfolio." Then he tells you how to trade this group of stocks to your best advantage, buying and selling according to market conditions.
I believe "core position trading," it to be a good way to control your portfolio risk and maximize your returns in a controlled method.I appreciate and admire Jim Cramer's show and book. Jim's Real Money book is a great adjunct to the show as it explains the detailed insights every good investor needs so as to manage their own portfolio.Jim's book provides examples outlining the discipline and steps needed to arrive at buy or sell decisions for individual stocks. The fact that Jim preaches core position trading reinforces my confidence in Jim. Jim calls this "trading around a core position." I'm always trying to build a better portfolio. Last year I researched "core position" trading and found that it was not a new concept, but a method pioneered by Robert Lichello in his Book, How to make a Million in the Stock Market. Jim has helped me to become a better investor.
McLaughlin AIA, NCARB
Well done audio book. Cramer's energy alone makes the most novice investor want to go take the stock market by the horns. His best lesson through the entire book is have a plan and do the homework if you are investing in individual stocks.
The key in the stock market is to make money and not to waste your money and time on foolish concepts that don't work. not even he himself makes money with it.
He makes virtually all his money with his TV show and book sales, but doesn't make money in the market. Jim Cramer doesn't know much about modern-day trading or investing although he claims he does.
the FAS had appreciated by 658% from the March '09 lows to the September '09 tops.Although Cramer has a following of unprofessional hobby traders, rarely anyone can make money with the sum of Jim Cramer's highly questionable stock picks,. His stories about him being once a hedge-fund manager are questionable.
As an example Jim Cramer doesn't recommend leveraged ETFs for trading, but instead attacks these valuable vehicles constantly, even though e.g. So don't get fooled thinking you're getting fresh revelations in his books that haven't been already shared over and over again in tons of other books.
Learn from the professionals and from folks who put their money where their mouth is and don't listen to guys like Cramer who just have a big mouth trying to sell books and are constantly exalting themselves, and who have been wrong regarding every major market move for years.
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