Friday, March 13, 2009

Cramer vs. Cra..Stewart

“How weird is our world that Jim Cramer is on TV baking pie and Martha Stewart is the one who went to jail for securities fraud?”

--Jon Stewart on Jim Cramer's recent appearance on The Martha Stewart Show

Did anyone else watch Jon Stewart rip Jim Cramer a new one on last night's The Daily Show? The real American idol Stewart went on a rampage last night against Cramer and his backer, CNBC, and all he could do was cower and take it like a man. Now, while I certainly don't condone Cramer, and on a wider scale, CNBC, for "cheerleading" the market when they had information to the contrary, I think it's a bit unfair that Cramer has become a whipping boy during this recent economic meltdown. I mean, the guy is a television personality for God's sake! Can you really accept anything he says at more than face value? To that end, I thought he was a good sport, he acknowledged his missteps, and didn't come off as a defensive prick which he easily could have done.

Investing is gambling. Period. No one crucifies the CEOs of Harrah's or The Borgata when morons gamble their kids' college funds away. Nor do we indict the heads of companies (who make millions of dollars) for peddling flim-flam products like those ridiculous Japanese foot pads, Airborne, and other purported "health remedies." And seriously, if you're naive enough to buy stocks based on the recommendations of a guy who throws rubber animals around on a program backed by a self-interested, profiteering financial network, then you need to get your head checked anyway!!!

That being said, Jon Stewart is still my hero.

Click here to watch the full interview


WeightStaff said...

Wow. Look at TheWeight getting all politico. Interesting. I like that we adapt to the times. Who needs to keep a music blog as a music blog, right? I mean, if Jim Cramer, who was a SUCCESSFUL fund manager (only one down year in 14 years) can become a tv personality, than we can dip our toes in the water of what is on everyone's minds these days. No, I'm not talking about the Trey and Page at the Beacon last night. It's the economy, stupid. (Sorry for the hate...just borrowing the phrase).

Anyway, I take offense that investing is gambling. Investing is RISKY but not gambling. And we expect to get good returns for taking that risk. Yes, Day Trading IS gambling. AND investing by merely following the stock picks of a tv show or predicting a market bottom because a magazine told you so is irresponsible. But thoughtful, diversified investing in a wide variety of securities over a long time horizon is Risk Taking to get outsized returns above what it available in "safe" investments. CDs are returning 2%, savings accounts 0.2%. That ain't gonna cut it if you ever want to retire. Invest, but be wary and get educated. That is my advice.

We now return to your regularly scheduled music banter.


WeightStaff said...

According to The Cambridge English Dictionary:

1 [I] to do something RISKY that might result in loss of money or failure, hoping to get money or achieve success:
(their example) Anyone who GAMBLES on the stock exchange has to be prepared to lose money.

I think we're saying the same thing, your version just sounded more like a Charles Schwab commercial ; )