Friday, March 17, 2006

But bam! he's entertaining! 

I have a number of friends who watch Jim Cramer's show. I've watched it myself a few times, but frankly watching Law&Order: SVU re-runs is more my style when I'm killing time (particularly the Alexandra Cabot years, for purely professional reasons I assure you, Mrs. S!) But in both cases it's entertainment. I don't take legal advice from actors, and I sure as hell don't take financial advice from entertainers. Here's why.
The problems with following Cramer's 1885 calls on 876 unique stocks giving an average return of basically zero, you'd do just as good throwing darts at the newspaper stock listings and then flipping a coin to see if you wanted to go long or short. If you do buy or sell a stock, there's no clear indication on what to do with it later. And of course each time you trade you pay the broker.
That's why they make those football betting shows they play on Saturday mornings, too. But those guys aren't interesting enough to get on MSNBC.