Comments on: Jim Cramer’s Mad Money: Other Investing Advice http://www.thesimpledollar.com/2007/02/14/jim-cramers-mad-money-other-investing-advice/ Simple, applicable personal finance advice for the modern world Sun, 22 Nov 2009 01:08:33 -0800 http://wordpress.org/?v=2.8.4 hourly 1 By: John http://www.thesimpledollar.com/2007/02/14/jim-cramers-mad-money-other-investing-advice/comment-page-1/#comment-6305 John Thu, 15 Feb 2007 21:37:06 +0000 http://www.thesimpledollar.com/2007/02/14/jim-cramers-mad-money-other-investing-advice/#comment-6305 This isn't advice for an investor, it's advice for a trader. Using this guide you'll be making a lot of transactions, generating a lot of commissions for a broker (which comes directly out of your profits), and leaving yourself very open to impulse plays rather than careful, reasoned study. Buy and hold/dollar-cost averaging doesn't sell a lot of books because it's not sexy, or mysterious. But it's a lot better (and easier!) way to amass a small fortune without paying giant broker commissions. -J, ex-trader, now investor - and doing MUCH better. This isn’t advice for an investor, it’s advice for a trader. Using this guide you’ll be making a lot of transactions, generating a lot of commissions for a broker (which comes directly out of your profits), and leaving yourself very open to impulse plays rather than careful, reasoned study.

Buy and hold/dollar-cost averaging doesn’t sell a lot of books because it’s not sexy, or mysterious. But it’s a lot better (and easier!) way to amass a small fortune without paying giant broker commissions.

-J, ex-trader, now investor – and doing MUCH better.

]]> By: Trent http://www.thesimpledollar.com/2007/02/14/jim-cramers-mad-money-other-investing-advice/comment-page-1/#comment-6289 Trent Thu, 15 Feb 2007 16:12:16 +0000 http://www.thesimpledollar.com/2007/02/14/jim-cramers-mad-money-other-investing-advice/#comment-6289 Typically, Cramer doesn't speak about specific dollar amounts too much. His only real guideline is that your portfolio should be a minimum of $2,500, with $500 in each of five holdings. Typically, Cramer doesn’t speak about specific dollar amounts too much. His only real guideline is that your portfolio should be a minimum of $2,500, with $500 in each of five holdings.

]]> By: Dave http://www.thesimpledollar.com/2007/02/14/jim-cramers-mad-money-other-investing-advice/comment-page-1/#comment-6286 Dave Thu, 15 Feb 2007 14:41:21 +0000 http://www.thesimpledollar.com/2007/02/14/jim-cramers-mad-money-other-investing-advice/#comment-6286 <i>Let’s say you have 100 shares when a stock is at 60. If it goes to 100, you should sell 40 shares and have 60 shares at 100.</i> Heh, just don't forget that the change of stock price from 60 to 100 might take abit of time and isn't something that can happen instantaneously. Just out of curiosity, since I haven't read the book yet (btw thanks for the cliff notes version), how much... I don't want to say pocket cash, but more liquidity is he starting with to be able to move into positions of that size? Let’s say you have 100 shares when a stock is at 60. If it goes to 100, you should sell 40 shares and have 60 shares at 100.

Heh, just don’t forget that the change of stock price from 60 to 100 might take abit of time and isn’t something that can happen instantaneously.

Just out of curiosity, since I haven’t read the book yet (btw thanks for the cliff notes version), how much… I don’t want to say pocket cash, but more liquidity is he starting with to be able to move into positions of that size?

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