{"id":523776,"date":"2022-07-23T04:46:03","date_gmt":"2022-07-23T08:46:03","guid":{"rendered":"https:\/\/financhill.com\/blog\/?p=523776"},"modified":"2022-07-12T10:58:41","modified_gmt":"2022-07-12T14:58:41","slug":"is-jim-cramer-any-good","status":"publish","type":"post","link":"https:\/\/financhill.com\/blog\/investing\/is-jim-cramer-any-good","title":{"rendered":"Is Jim Cramer Any Good?"},"content":{"rendered":"
\n

Is Jim Cramer Any Good?<\/em> There is no shortage of opinions about when and how the market will move and no shortage of people willing to share those opinions with investors. In some cases, a handful of investors are invited to become members of an exclusive fund or investing club for a fee. In other cases, opinions are broadcast to anyone who is interested through television, social media, and print.<\/p>\n

Jim Cramer offers the second kind of guidance. Anyone can access his popular television program, Mad Money<\/em>, and he provides his insights online at no charge. Cramer\u2019s followers speak highly of his skill and expertise in understanding and explaining the stock market, and many credit Cramer for their financial success.<\/p>\n

So, is Jim Cramer any good? Does Jim Cramer\u2019s track record measure up to his reputation? If so, what stocks is Jim Cramer recommending given current economic conditions?<\/p>\n

How Jim Cramer Got Started<\/h2>\n

Jim Cramer hasn\u2019t always been a television personality. He was interested in investing long before he launched Mad Money<\/em>. In fact, Cramer\u2019s fascination with the stock market began when he was just a child. He created and managed a mock portfolio, developing a surprisingly sophisticated understanding of investing fundamentals along the way.<\/p>\n

At the age of 21, Cramer graduated from Harvard University and began a career in journalism. However, after a few years, he determined that his career path needed some tweaks. He enrolled in Harvard Law School<\/a>, and while he was there, he began studying the stock market again. His old passion for investing returned with renewed strength, and he decided to try his hand at managing an actual portfolio.<\/p>\n

Cramer\u2019s first client was Martin Peretz, editor and owner of The New Republic<\/em> and a member of the Harvard Law School faculty. Cramer did so well with Peretz\u2019s portfolio that he was hired by Goldman Sachs right after he obtained his law degree. Three years later, Cramer was ready to launch a hedge fund of his own.<\/p>\n

Jim Cramer founded Cramer Levy Partners in 1987, and the firm racked up impressive returns for its clients. Within a few years, Cramer\u2019s annual income topped $10 million.<\/p>\n

That success, coupled with Cramer\u2019s journalism experience, led to a new partnership with Martin Peretz<\/a>. In 1996, the two started a financial analysis website called TheStreet.com<\/em>, and Cramer\u2019s audience grew. His insight and perspective were in such high demand that he added a syndicated radio show to his resume in 1997 – Jim Cramer\u2019s RealMoney<\/em>.<\/p>\n

By 2000, the combination of managing a hedge fund and keeping up with his media projects became too much. Cramer left Cramer Levy Partners to focus on writing and radio, but those channels became so popular that writing and radio weren\u2019t enough. In 2005, Cramer moved into television with the premiere of Mad Money<\/em>.<\/p>\n

Why Is Jim Cramer So Popular?<\/h2>\n

Jim Cramer is a polarizing figure. People love him or hate him, and there is no in-between. That\u2019s due in large part to his eccentric style of presenting his analysis of the market.<\/p>\n

Unlike traditional business programs that feature dry, professional talking heads in business attire, Cramer is enthusiastic and animated. He rolls up his sleeves and raises his voice when he gets excited.<\/p>\n

Cramer makes his points through unusual demonstrations and analogies. They are highly effective but insult those who prefer a more traditional approach. Cramer\u2019s critics suggest that his track record is poor, and his recommendations aren\u2019t appropriate for his audience.<\/p>\n

The very points that detractors use to discredit Cramer are the ones that make him so popular with his large fan base – and Cramer isn\u2019t about to change his style. He\u2019s proud of the qualities that get and keep his viewers\u2019 attention. In one interview, he said:<\/p>\n

I sometimes play a clown, too, and I’m proud of it… So even though the purists think I can’t be rigorous because I have sound effects and props, I’m going to keep up the humor, keep up the education and keep trying to help you make money.<\/em><\/p>\n

Clearly, Cramer is doing something right. At the start of the pandemic, new investors flooded into self-directed online brokerage firms like Robinhood<\/a>, and they turned to Jim Cramer for advice on how to invest. Mad Money<\/em> averaged 287,000 viewers each time it aired.<\/p>\n