Are You Diversified?
Published: Wednesday, 31 Oct 2007 | 7:59 PM ET
A Halloween tale from Cramer: Once upon a time, there was a man with an undiversified portfolio. He thought he had it all figured out, got greedy and lost everything. He took a job as a Wal-Mart greeter, and didn't retire until he was 107. The end. The moral of the story: There is nothing more frightening than a fickle, unpredictable market. So the wise investor stays diversified.
It's one of Cramer's cardinal rules. The wise investors always spreads out his risk.Investing can be confusing. Luckily, Cramer has mapped out some road rules for all you Home Gamers trying to navigate the jungle that is Wall Street. Think of it as "Mad Money 101" –- some fundamental advice to keep in mind as you play the market. Whether you're a first time investor or a seasoned financier, it's always good to remember the basics.