>> dan >> i like these call calendars if you're looking to play for upside >> thank you for joining us. >> i love when you have me on. one of my favorite shows on the network. >> our time is expireded have a great weekend "mad money" is up next my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends. i'm just trying to make you some money. my job is not just to entertain but to educate and teach you so call me at 1-800-743-cnbc or tweet me @jimcramer. nobody, repeat, nobody likes to be disciplined. they don't like to be

admonished, and they don't like to follow the rules. i don't blame them i was a ram bing shoubunctious f but when i learned the rules i spurned them because i didn't believe they could help or because they cut off my upside, even if they cushioned the inevitable downside. in other words, the rules kept me from making a huge amount of money to keep me from losing big money when things went badly >> the house of pain >> the rules i'm discussing tonight keep you in the game, even when things are tough and you make those mistakes. [ buzzer ] the rules protect your own bad judgment about what's going on in the companies you own or whatever is happening in the market overall but if you're going to make money using stocks because you can't just get much of a return anywhere else these days, that's pretty much the case, you're going to have to work harder with your money to do so

and that requires discipline discipline because once you start buying and selling stocks, you can make more mistakes than if you just do nothing with your money. but if you do nothing with your money, you'll have a whole lot of nothing to show for it. that's why we're doing a show tonight on how to trade and invest responsibly to make your money work for you how to tend it, what kind of gardners of money tonight. a lot of you practice it i want you to do it right. before we dig into the ways to make your money grow about being hands on about it, i want to delve into the psychology of stock ownership. one question i'm asked repeatedly, i go back and forth from the street to squawk on the street and wall street or they ask me on twitter is, don't you worry about your stocks now, it is true that i don't own any individual stocks.

i invest just for charity with all profits and dividends given away to charity. but believe me, i still worry, as i want to be able to give as much money to charity as i can plus, as i disclose everything i own and tell you and explain what i do before i do it, you bet i am concerned it can be down right embarrassing when i get it wrong. yep, i'm always worried about the trust stocks, especially when they go down. i'm doubly worried when they go down when the market as a whole is going up. that's a sign to me that something is wrong, someone knows something that i don't know and i better find out or i won't be able to take advantage of the weakness to buy more that's the chief reason i'm bugging you about reading the news, going over the conference calls, the guidance, and going to the websites for more

information. you can't be informed if you don't try to inform yourself i know that those who don't know what they own and can't articulate what they own, and don't know what a company makes or sells, don't know why it would be going down either so they don't know whether to buy or sell into a big selloff we are talking about psychology here the psychology of the mimpblnd that homework doesn't pan out. it is frustrating. when we select a stock on this show, we do a massive amount of work every single time it is difficult to see it go down, but there are plenty of times when there is say something you can't detect chicanery. there's times when there's puffing by management and you don't know the truth i talked many times about press releases that make things sound much better than they are. the ones that start by saying sales increased by 12% and it sounds good except the

consensus of analysts is it was looking for 20%. which means that 12%, you've got a hideous shortfall. >> boo >> or when you own a stock and someone knows the truth and you don't. maybe someone found out about the truth playing golf with an executive. you know that stuff goes on. maybe a hedge fund is paid under the table who gets the truth, as we've seen many years. many ended up in jail for doing it in other words, the insiders had the call you didn't there are also times when we own too much stock in the market versus what the market is going to do. we call this being too long. you are too long as the professionals say and you can't buy anymore more stock on the way down so you're going to huz money, at least on paper, or you were borrowing money to finance your portfolio, which is a terrible idea. stocks aren't houses

they just get taken away >> sell sell sell sell sell. >> so what do you do how do you manage a portfolio under conditions where things go wrong with the stocks you own all the time and things go wrong in the market all the time, wholly apart of what's going on with the individual companies with which you own shares? there are no magic bullets, but when in doubt, this one principle is key discipline trumps conviction memorize that term discipline trumps conviction i stared at a yellow post-it with those words for many years when i was managing money professionally to remind myself that things go wrong and you need to have a scheme to help you deal with those situations when things go wrong, as they inevitably do. i put a discipline trumps conviction sign on my personal

computer to remind me of what to do in the stock market when things go awry one of my best forms of protection is to recognize that if you're not tough on your own decision making and you like all your stocks equally or at least you pretend you do, you can't change up when thingsgo wrong. that's bad, team that's why i've come up with a system of ranking my stocks when things are good, as he-- these e hedges against yourself. when it's calm out there, you can do some good decision making not all stocks are created equally. when things go down, you have to circle the wagons, just like a wagon train going out west in the 1800s. why does this matter so much because we must expect correction, and we must expect decline as a matter of course. more on that later in the show we must anticipate the day where is we wake up and see the good people on squawk box saying the

futures are down they're down a great deal. and the market looks to open down a half percent. you've heard that so many times. we've learned so much over the years about what triggers corrections. more on that later, too. but the most important thing is to have a game plan, when you know when you've done all the homework and have the tremendous conviction, discipline dictates you must assume there is something you don't know going on with your individual stocks or that there is something happening in the world beyond the control of your accumen and you're just being victimized by the events of the moment my ranking system will get you through the chaotic time, allow you to stay cool and methodical about your money, when those around you are deciding they can't take it anymore and have to get out of dodge at the worst time so here's the bottom line. in order to deal with the decline in your stocks or in the stock market as a whole, you have to accept that something is wrong if the companies you own shares in that you might not know about or maybe there's

something happening in the stock market that you didn't foresee therefore you must be ready with a game plan that can bail you out short term and keep you in the market longer term to your money works for you and not against you in a time you need it most. frank in new york. frank? >> caller: jim, i understand why a company goes public, to raise capital for various different reasons. why would a company want to go private? >> this is a great question. typically they think it's worth a lot more than what the stock market is currently paying for it that is key. when you see a company go private, that is because the owners, the managers of the company recognize there's so much value and the stockholders and buyers don't they take it private, make it look better and bring it public again. ann in california please, ann. >> caller: hi. i ham curious if you have any wy to tell when a company is going to split their stock

>> no, there isn't companies tend to be close to the vest about it. when you split a stock, you get a two for one split, so it doesn't necessarily create wealth at all. when stocks do split, some of the smaller investors get a chance to buy. that they didn't have otherwise. so i am pro split, but it does not create any wealth and they tend not to signal when it will happen discipline isn't fun, but it is necessary if you want to make big money in the stock market. when there's a decline, you have to accept the fact and have a game plan away on "mad money" tonight, there are trades and investments i'll explain why understanding the difference will save you a world of hurt. and investing on their every word will have you drowning in a sea of red plus, a correction is always lurking around the corner. i'll help you protect yourself

so stick with cramer >> don't miss a second of "mad money. follow @jimcramer at twitter have a question? tweet cramer at #madtweets send an e-mail at madmoney@cnbc.com or give us a call at 1-800-743-cnbc miss something head to madmoney.cnbc.com. ♪ we're drowning in information. where, in all of this, is the stuff that matters? the stakes are so high, your finances, your future. how do you solve this? you don't. you partner with a firm that advises governments and the fortune 500, and, can deliver insight person to person,

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♪ tonight, we're going over the rules. the rules make it so losses can be palatable especially when others are freaking out i used to talk about these rules all the time when i was managing money, until they became second nature to me but that was years ago now, and when i think about it, it's usually in response to a tweet that asks a question that the rules answer that's why i dust them off here, make sure people realize i'm not ducking their question, just looking for a better format to flesh them out than 140 characters where i can't be thoughtful i want to be thoughtful on

twitter, but it's really hard. this is the format so here's a typical question someone will mention a stock that has had a hideous decline they'll ask what do i do now i often ask why do you buy nit the first place? they tend to regard that answer as either arrogant or flip but what i'm really trying to do to figure out if they bought it as an investment, which means it might be fine for a longer term horizon or did they do it for a trade and perhaps they should cut their losses why does this matter a cardinal rule is to never turn a trade into an investment if there's one concept to take away from this show, never, ever turn a trade into something that it wasn't meant to be, a long-term investment so first, let's talk about the pluses of buying stock, the checkdown that you must do before you pull a trigger. when i decide i'm going to buy an oil driller, i have to

declare up front to myself whether i am buying it for a trade or investment. what's the difference? a trade means i'm buying it because of the specific catalyst, a reason that will drive it higher. that might be a data point, a recommendation, a belief that things are better than expected when the earnings come out or news about restructuring a breakup into several pieces. in other words, there's a moment to pull the trigger. a moment to -- >> buy buy buy >> perhaps because you think that oil is about to spike because of the shutdown of the spigot in russia or problems in the middle east. and then there's a moment -- >> sell sell sell. >> the vast majority of you will buy a stock for a reason and the reason occurs and nothing happens to the stock, so you then decide darn, i'll just call it an investment and buy morei it goes down or perhaps the reason never

occurs that you bought it for and you decide to hold on to it because what's the worst thing that could happen? the answer is plenty and almost all of it is bad. the answer is that you would never bought it in the first place if you didn't think the reason was going to occur. so now there's no reason to own it in the first place. i have seen a myriad of investors turn trade into investment that's because they don't make the distinction between a trade and investment if the reason i bought the oil company is higher oil prices doesn't materialize, i can't say i'll hold on to it because it has a swell dividend for all we know the only thing that saves that dividend from being cut is higher oil prices now, when i want to invest in a company, not trade, invest in a company, i buy a small amount of it to start and hope the market will knock down the stock so i

can buy more at a better price that's right, when i invest, i want the correction. which is always the way you want to be thinking if you're trying to start a new investing position the sto there's nothing like a nationwide, market wide sale to get you better prices on your buy. trading is the opposite. i put the maximum on at the beginning, because i believe the data point of the event is about to occur i never buy anything for trade, just hoping it will go higher. i buy down, lower prices, when i'm investing. i cut my losses immediately when i'm trading. it's t if the reason i am trading the stock doesn't pan out. if you buy a stock for trade, not an investment, and it goes against you in a meaningful way,

perhaps a decline of 50 cents is meaningful, you may have a problem on your hand i'm extremely disciplined to the penny when trading i cut my losses quickly and get over them quickly. so my first loss is my best loss all other losses tend to be from lower levels and bigger costs to me if i don't operate on this principle. can you feel the trade going awry because of ego, pig headedness they don't want to heed the thunder and they stay in, only having to panic out at lower levels when the catalyst doesn't occur and the whole reason to own the stock evaporates so please, don't fool yourself cut your losses quickly when you put a trade on and it goes awry. just a fact of life. all the studies i've made, the bottom line, never turn a trade

into an investment better to take the loss, because believe me, the percentages say that you will most likely lose money. and if you do so, do it earlier rather than later to save some bucks. stop fearing the big score and fear the losses, because it's the latter that can wipe out the juice yis gay gains. much more "mad money" ahead. chasing doesn't always have a happy ending i'll let you know if it's ever right to run after a hot stock and don't miss my take on how to prepare yourself for the inevitable plus, it's easy to get attached to your holdings but holding on too long can burn you in the end i'll let you know when to cut the chord. stick with cramer. for your heart...

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jim cramer, you're one of my heroes >> i hook forward to your show every weeknight. >> thank you so much for helping beginning investors like me. >> when you talk about the market, i believe you're spot-on. >> i love it thank you so much. every night we watch you i have learned and earned. ♪ that have gotten me to this point in my career where i can play for charity instead of

trading in my own hedge fund but the lessons of the hedge fund are very much with me, and i'm going over them tonight to help you with your portfolio believe me, it takes only one or two losers to wreck a portfolio. i devote far more of my time analyzing my loser stocks than the winners. not because of some sort of masochistic reason, but stocks telegraph declines ahead of time lost control is the paramount concern for all those in the market, because the winners, the good stocks, they take care of themselves take the loss before it gets hideous. don't buy into the notion that you can't sell until it comes back and then you promise not to do it again. how many times have i heard that one? that's how losers think. you need to think like a winner, not a loser. so you want one of those people whom i answer, focus on twitter. because you were obviously unfocused and undone by the

market of course, the flip side is true, too. you don't have a profit. listen, you do not have a profit until you sell the stock and nail it down >> sell sell sell. >> it's not a profit, people constantly confuse book gains, real gains that you can take to the bank or, of course, to get yourself a cashmere sweater in a department store, with phony paper gains that are meaningless, because they can be taken away in a heart beat those people are reluctant to ever book a profit because they don't want to pay taxes. if i can just rewind the tape to january of 2000 or july of 2007, when people were sitting on trillions of dollars in unrealized gains because they don't want to pay taxes, we would be able to drill this point home enough. gains not taken can be losses that will be taken gains taken never become losses. it's that simple i stress this point because we

have all been brainwashed not to sell somehow we think it's sinful it's trading low it's common sensical to sell and may be the only way to get rich in a choppy business but when it comes to stocks and human nature, you have to learn to counter it. it's so often hard to resist, though i get it i can't tell you how many times i've had my heart in my throat pounding because i didn't own enough stock in a rising market. i didn't have enough exposure. i can't tell you how often i felt i had to play i had to be big in stocks, because the market was going higher and it was going higher without me almost every time i had that feeling, that instinct almost every time, i had that "i can't miss this action drama playing around in my head," do you know what happened? i lost money discipline is the most important rule of winning investing.

we're doing winning investing, that's what we're teaching sometimes that means admitting that you missed the opportunity and it's already too late. i almost always feel like i've missed something near the top of the market, the top of the move. when i was a hedge fund manager, are you sitting down for this one? i turned that sentiment into a profit center by betting against myself and the market when i thought i was missing the upside that heart stuck in the treat feeling correlated with the tops of moves, not the bottom i made money saying there's that pain again, sell the best time to buy is when it feels most awful, not when it would relieve the pain of fearing that you're going to miss the next big rally, xwimpb that the rally has already occurred and protect yourself against overtrading. there aren't that many great ideas to act on. you always have to think about when you are -- when you're prone to this. for instance, when i go on

twitter, i'm amazed at how people want me to opine on a stock that just reported and just do it in one headline alone. i find the business wires that report these numbers are almost always wrong in their quick takeaways, because business is a lot more complicated than the press release, which often on few skates what's happening. the reality is, it's a jungle. headlines that present problems through such a number are the types of headlines that always punish the quick draw mcgraw traders. there's some other metric that's more important i think you have to read the whole story and listen to the conference call. which part is most important the portion right before the q and a, when the company lays out guidance for the future. that moment, and not what the headline writer is responding to, is what you will see will make the stock move.

that's when you get the accurate move from. everything else, guess work. we can't do much with guess work except get in trouble. so many of you want to get in trouble, because you want to get right trading a headline theelectronic trading you can move too fast and often many do. it's like your car goes too fast for you. learn the whole story. if this is a great opportunity, you will not miss it by taking the time to inform yourself. be sure to know what to look for and what matters you might want to have a grid of what all the analysts have been saying about what is about to occur. that way you won't be fooled by the first move taken by people less informed than you are most important, i understand the headline for many companies' earnings doesn't even tell you how the company is doing on the key metrics. with hotels, what are you looking for? revenue per room airlines, revenue per seat, not

earnings per share i've seen numbers only to learn that the company is guiding down expectations in the conference call or the key estimate wasn't beaten, even though the headline says it was. the bottom line, don't let gains turn into losses and never trade because you fear the market going up without you or a stock rallying off a headline that may be wrong as they so often are ed in california, ed >> caller: boo-yah, jim. jim, i would like your opinion on a strategy i've been using, going out anywhere from six to 12 months on stocks that you recommend. this is to avoid volatility in the market >> this is exactly what i want ed is doing what i want. i talked about this in getting back even. a 100 page chapter i tried to cut back and couldn't. he's doing stock replacement, taking the risk out of common stock by declining -- stopping the decline and getting upside big percentage gains you are the man, ed.

you know what i have to say about that you have horse sense jacob in california. jacob. >> caller: jim, how are you? boo-yah. >> boo-yah >> caller: hey, jim, i love the show >> thank you >> caller: i love the advice it's phenomenal. jim, as an official first-time investor, what is your recommendation and how many positions one should have without going over their head? >> i think more than a dozen, and an individual who may not be as sophisticated as we are is going to end up making mistakes. larry in massachusetts larry. >> caller: you know, i'm a cramaniac. when does a core holding start longing long in the tooth? what kashg ris tacharacteristica core holding -- >> first of all, thank you so much here's what you look for

when everybody knows what you know, when there isn't a single analyst that doesn't love your stuff, when you constantly hear that that company is great and the ceo is great, you know what? it's long in the tooth got fomo yes, momo. don't trade because you fear the market going up without you or you fear a stock rallying off a headline that may be wrong there is overtrading by the way. i'm here to help you out sure, correction also come, but you don't have to suffer when they strike. i'll show you how to prepare for the painful days >> the house of pain >> we all want our stocks to succeed, but getting too attached can be a portfolio killer plus, i'm taking on your tweets. stick with cramer.

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tonight, we're going over the rules and disciplines that i've learned in, holy cow, four decades of investing rules that i want you to know and just kind of learn by heart like i have. not just like the usual twitter, 140 character stuff. this is real stuff here. a lot of people don't think a correction is ever going to

occur. you get lulled into the market doing -- during good times a lot of people get involved when there's just been months of good times when bad times hit, they're eager to pin blame or be shocked in disbelief instead of just expecting corrections and not being fearful of them. when a correction occurs, many investors decide they want nothing to do with the market. that the correction signifies something is wrong with the market as a whole, as if these aren't stocks of companies and therefore, the market can't be touched that is a really big mistake that's made constantly corrections happen all the time. they typically happen after big runs they're to be anticipated. i witnessed year ago, peter lynch said anticipate these. you can't write off the market when they happen i always like to put things in sports analogies i tell the story of joe my maggio

his 56-game hitting streak, amazing. when he failed to hit in games 57, should you have cut him or traded dimaggio? was he finished? is that smart thinking same with the market corrections are to be accepted as a matter of course. especially after 56 great days of the market, you're going to get something like that. when they happen, they're not a reason to panic. they can be great opportunities. even as people insist that the market is done because the charts are bad, taking out the 200 day moving average, a death cross, a hindenberg cross or the market is unpalatable. some claptrap i hear every time, you hear the bears that come out of hibernation they like to be right that day given so many don't expect corrections, here's something that seems common sensical

lots of people wrongly believe in being fully invested at all times. lots of managers think they're supposed to be fully invested every day. this is nonsense lots of times the market just stinks, so you want to have cash on hand. pretty good. a lot of times there's nothing to do except have some cash. in fact, one of the cheap reasons i outperform every manager in the business during my 14-year run as a professional money manager, there were blocks of times i had a lot of cash i was largely in cash including the 1987 crash, when the market dropped over 500 points in one day. cash is such a great investment at times even when it earns little or nothing, as it has for ages. i regard it as a perfect hedge, because the market keeps going higher as it did in 1999 or the year before the great recession

in 2008. you can face devastating losses and continue to stay overvalued and climb and climb and climb. i think cash may be the single most underrated of investments, because nothing feels as good as cash when the market comes down. always great to have a big cash position when the market gets hammered if you follow my method how to trade around a stock, you'll know as the market spikes, i take stock off, trim here and there. yes, to get ready and reposition myself for the next correction close viewers of the show know i sell strength and buy weakness when the time is right, i almost always had that cash to put to work, because i believe so strongly in cash as an option. if you don't raise that cash, here's what could happen you might sell your winners to subsidize your losers. that is another common mistake people make. so many befuddled individual

investors sell their best stock to hold on to the worst stocks you can always tell when you see this pattern you'll review a portfolio as i used to before my rules prohibited giving individual investment advice, and you'll say what happened to all your blue chips, the stocks that can weather the tough times, allow you to come out smiling on the other side they said i had to sell those and buy more of these other stocks many on twitter have this problem. i have counseled enough professional investors that were in trouble to know the first thing that gets sold are the best stocks because they can be sold there's always a bid for the good stocks, a ready buyer that's willing to put up capital while the bad stocks fold under any pressure when some of the more admired professionals have a handful of good stocks, they don't sell the bad ones they're probably going lower

do not subsidize losing stocks with winners if you own companies with deteriorating fundamentals, please sell the bad ones, take the loss, reapply the proceeds and go to the good ones. move on. don't feel bad for yourself. lot the company which you have invested may have done business in russia, which could have been great before sochi, but with the fight over ukraine, it may have changed dramatically perhaps a slowdown in the economy has caused shoppers to run towards private label goods which happened in the depantering of america or perhaps a terrific drug company like pfizer, the generic competition crushed their margins. investors bought more of these

stocks and subsidized the losers with the sacrifice of winning stocks get ready for the correction it's coming. when it happens, don't sell the good ones to subsidize the bad "mad money" is back after the break.

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before it ends. choose from the is turbo, es 350 or nx turbo for $299 a month for 36 months if you lease now. experience amazing at your lexus dealer. bulls arules are a drag, art they but they'll help you navigate the tougher times. if you went preparedmentally, you won't be tough enough to handle these moments and you'll pl flee instead of thinking about what is right to do. emotions have to be checked at the door in this business. i often hear people say "i hope a stock goes up," or they ask, doesn't it have to go up

implying a question that's like doesn't a team have to win a game sometime? people, this is not a sporting event. we have no room for hoping or rooting. we buy stocks because of the fundamentals and we're avoiding stocks where the underlying business is bad and getting worse. where should hope fit in nowhere. people treat this business at times like a religion. they believe if they pray, things are work out. maybe they will. or they fall in love with these miserable pieces of paper with the idea that love will be requited be realistic, hope, pray, love, these are all enemies of good stock picking. i can still recall the ringing in my ears when i would get off the desk with karen cramer, and she would say what is the deal with this memorex. i would say, i'm hoping it gets a big contract she would scream hope hope we need hope to make this work

sell it and get me something where we have more in our favor than just hope man, what a beatdown many times she didn't even ask, she just sold it after i used the word hope. i didn't buy it back, because i was hoping something would happen and once it was sold i felt relief. sometimes the stocks of good companies do nothing for ages. i remember when berkshire hathaway did nothing for ages. if you're a professional investor, this waiting can be unnerving. you have partners calling you regularly, asking what you're doing with their money individuals have no such pain. individuals can sit on stocks as long as they want. when i counsel patients, many get antsy. i say some of the best stocks require some incubation. do you know how patient i was owning intel, one of the

greatest stocks of our generation for 18 months, i watched intel do nothing, paint dry, paymeint dry, but i believed. i had only a few partners. a common strain of those who would call regularly to ask how i was doing. later in my career when partners hounded me daily, i would have never held on to an intel that way. lots of turn arounds take 18 months to two years. when you buy a sfok and recognize that it could take a long time to turn, market it as such in your mind so you don't get tired of it and just sell it, you give up. here's something really important to remember. stocks that are stuck in the mud a long time tend to romp like thoroughbreds when they're freed from the gate. they're mudders. if you don't have the patience, let someone else invest your money. one of the most despicable traits of amateurs is second guessing you make a call, you buy

something, and something has a patent issue, or you sell dupont the day before it goes up. get it together. the market requires you to have the right head on at all times you have to be ready to see the ball right from the next pitch, okay there's no time to get down on yourself do that for fantasy. if you want to be constructive, bracket some time at the end of a quarter to assess your strategy and your stock picking abilities. but to second guess your strategy is to put yourself in a loser mindset. i want the pain felt when i thought one of the younger people in my office made a mistake that was lostly coste i made them wear the symbol of the stock on a post it on their forehead for the day i even sent them outside karen cramer always believed

women are much traders than men, because they lack the second guessing instinct she thinks men have far more than women whatever she did teach me to steel myself and to come in the next way without themental baggage of a screwup. this business is not about hope, it's about the fundamentals. don't root for your stocks to go higher just pick shares in good companies, and they will, unless circumstances change zdra matt clay, to go higher be patient on the good ones. clear your head. get out there immediately and find out the next big winning idea there's just no room for should have, would have, could have and stick with cramer.

favorite part of the special, we go for what you want that's right, we got some tweets that you've been sending me. so let's get right to it our first tweet comes from mark richard. really easy call a huge percentage of the gains that people have in the stock market over the years come exactly from dividends reinvestment come pounding is the secret behind great wealth. reinvest here we have jamie, who wants to know who first came up with the way you say bristol-myers. that happened to be an old broker when karen cramer and i traded together, we had a broker who often recommended bristol-myer . he always said it that way, so i decided that must be the way it's pronounced. next tweet here, who asks which

is smarter, add to a holding that's been hurt or initiate a new position if you do not want to buy more of that stock lower, then just sell it. because if you liked it higher, you should love it lower so the answer is buy more of the lower one or get rid of it up next, at what percent for profit should we sell shares this is really important there's no firm rule but what i like to do is when a stock goes up about 50%, i like to sell some of it but the ultimate goal for all great investing, you play with the house's money. that's the way to do it. always try to fight to get to the point where you're playing for the house's money. and yes, stay with cramer. >> let's go to jessica in georgia.

jessica? >> hi.

money" how about more "mad money. follow "mad money" on facebook, twitter, and instagram to go one on one with cramer >> what other questions do we have i always tell people you've got to start with an index fund, because i need you to be diversified. >> get more with guests. and go behind the scenes with the most interactive show on television >> if you can't explain in three bullets why you're buying a certain stock, don't buy it. >> follow "mad money" today.

a bull market somewhere, and i promise to find it for you right here on "mad money." i'm jim cramer, and i will see next time. take control with your financial future cramer's exclusive ceo interviews, full episodes, analysis, even your own sound board. plus, special access to "mad money" 101 with rules and

techniques to break down the market for all investors it's everything you need, right when you need it the new madmoney.cnbc.com. >> narrator: in this episode of "american greed"... the romano brothers of long island are working the phones, selling $75 million worth of coins to eager and naive investors. >> the salesmen knew who they could trick and confuse, and they kept going back to the well. >> narrator: but when the family's arrested for mail and wire fraud, joseph romano wants payback from the ones who put him away. >> a total of $40,000 would be paid for the killing of the judge and the prosecutor. >> narrator: prison cameras catch romano plotting with a hired killer.