I’ll admit it’s hard to see through the “boo-yah’s” and background noises that accompany every episode of Jim Cramer’s Mad Money. However, it seems he's changing: Forget the hoopla because he’s advocating buy and hold forever. His new book Stay Mad for Life is all about investing--not trading.
From BusinessWeek writer Ben Steverman:
"The new book Jim Cramer's Stay Mad for Life is a primer for saving and investing. It advises readers to pay off credit cards, make the most of 401(k) plans and individual retirement accounts (IRAs), and get the right kinds of insurance. The subtitle of the book, written with Cliff Mason: Get Rich, Stay Rich (Make Your Kids Even Richer)."
"Most people actually won't get rich by buying individual stocks," Cramer says. "Unless you do your homework, namely spending an hour a week researching for each stock you own, you won't beat the market, and you'll probably lose money," he writes.
In my experience, it takes a lot more than one hour a week to successfully trade individual stocks. Obviously, the more you research a company the more you'll understand and feel confident making a move; however, sometimes you have to get a little lucky too.