'Stop circling the wagons around index funds here,' the 'Mad Money' host said.
on Thursday laid out two buckets of stocks that he recommends investors consider adding to their portfolios." host admonished index investing in this volatile market environment.Investing in index funds, a passive investment strategy, is a low-cost financial instrument that gives market players exposure to a diverse range of companies. Cramer often warns that indexing over stock picking leaves investors exposed to the good performing stocks and the bad.
"If you want to invest right now, you have to own some stocks from the second bucket — the Covid winners — and whenever the market gets slammed, you can buy members of the first bucket, the big businesses with deep pockets," he said. The first basket of equities that Cramer suggests picking among includes firms that are "big enough and deep pocketed enough" to weather the economic impact of the coronavirus crisis. The companies are investible through an economic downturn for their healthy balance sheets during an economic downturn.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Marriott plans to spray disinfectant in guest rooms, sanitize keys to stop COVID-19Guests may notice some changes from the moment they step into a Marriott property: Furniture in public areas will be rearranged to promote social distancing.
Read more »
Stop Acting Like You Won't Get A Bad Case Of COVID-19 Because You're YoungThe risk from COVID-19 can be serious or fatal for anyone. Here's how ignoring that fact can be dangerous.
Read more »
Stocks of 'good corporate citizens' such as Chipotle, Netflix are thriving, Jim Cramer says'Turns out rewarding your employees and protecting your customers is good for business,' the 'Mad Money' host said.
Read more »
Victoria's Secret's woes are a microcosm for shopping malls, Jim Cramer saysDepartment stores are in trouble and the coronavirus pandemic is pulling the curtain on vulnerabilities for shopping malls, the 'Mad Money' host said.
Read more »
Meet the Blues Singer Who Won't Stop Brightening Seniors' LivesBlues singer Pat Cohen was displaced by Hurricane Katrina, then her house burned down. But she never stopped believing in kindness, and now she's brightening seniors' lives with socially-distanced nursing-home gigs
Read more »