mike >> sell the 155, 160 call spread collect $2 sfwl dan >> all these three points i had about the gdx trarks >> all right looks like our time is expired 'lg.ks for watchin wel see you back next friday "mad money" starts right now 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. every night i come on here for two big reasons. the first is obviously i like the attention. but the second and more important reason is i want to

help you build and preserve your wealth we live in a world where it's difficult to become rich if you weren't born that way. and love it or hate it, i believe that the stock market is the best ladder we have in this country for social mobility. there are millions upon millions of people in this country, but there aren't that many jobs that pay you a salary fat enough to actually make it rich. even if you're a total cheap stake and save nearly every penny you earn if you want to become really wealthy in this country, that means planning your financial strategy for a lifetime. as long as you can save a decent chunk of your pay check and invest it wisely year after year, you can make your wealth grow to the point where you welcome, if not filthy rich, in the very at least, financially independent, meaning you don't need to worry about your job security or where your next paycheck is going to come from

and you can retire easily without relying on social security which may not be around when some of our younger viewers hit retirement age so tonight i want to help you figure out the best way to manage your money in order to help achieve real financial independen independence but we need to talk about the concept of generational investing. the kind of investing that makes sense in your 20s are very different when you're middle age or a senior citizen for that matter we don't talk about that enough on "mad money. tonight's different. but there's one constant when it comes to managing your finances, that's the fact that you'll never get a better opportunity to make your money work for you than by investing in the stock market even when we're in a bear market, and it feels like stocks go down every day, when you take a long-term view, the stock

market is by far the most effective method of wealth creation it might crash like it does on occasion but if you take the long view, the very long view, stocks tend -- excuse me -- stocks tend to go higher and i don't say that asa polyanna when i got started in the business in the '80s the dow jones average was trading in the 8 800s despite several bear markets, it stands well above that market. that represents a fantastic amount of wealth creation. that's why i'm so add manlt no matt matter how old you are, you should have some put in the stock market and for those that think it's too unreliable, can i give you some historical perspective?

if you go all the way back to 1928, before the great stock market crash that preceded the great depression, through the end of 2014, the average annual return for the s&p 500, including dividends, is about 10%. show me an asset class with a better average return. you can't do it. stocks aren't just the best game in town. they're the only game in town if your goal is to grow your wealth for some of you that want to get rich quick, see what i did there? that 10% average annual return for s&p 500, i know, it may not seem impressive, some of you are probably saying thanks for nothing. you're just wrong. forget the fact that it's more than double what you can expect from a 30-year treasury. let's examine that 10% figure in absolute terms when you're taking a long-term view, which is what we're doing tonight, planning for your

entire lifetime, racking up a 10% return from a simple s&p 500 index fund, which you know i prefer, starts to seem pretty darn impressive. sure, the market is going to have its up and down years, but ov ov to understand a value asset class that gives you a 10e% average return, you need to view this through the lens of compound interest. sometimes i'll talk about this as the magic of compounding. if you invest $100 in the s&p 500 and it gains 10% in the first year, you have $110. a third year, gives you $133 the gains keep getting larger and larger eventually you'll double your money in seven years for those of you who are really

young out of college, waiting seven years to double your money seems like an eternity i've got more risky ways of growing your capital however, the truth, is as you get older, an investment that can consistently take your money up in seven years time and double it, i'll tell you, it becomes incredible you have more time for your money to grow when you're young. but young people are the least impressed by that kind of appreciation that's why bernard shaw said youth is wasted on the young so let me do my best to make these numbers sound more impressive i'm going to walk you through it suppose you're 22 years old and you're just entering the workforce. you've got more than 40 years before you retire. so let's say you invest $10,000 in an s&p 500 index fund right now. and let's suppose that the next

40 years aren't too different from the last 40 years in that case, the average return of the s&p 500 holds steady at 10%, in four decades, your $10,000 investment will turn out to be worth more than -- $450,000 that's enough to send multiple children through college, grad school, buy a nice house, pay for a chunk of a ritzy retirement and that monster multiyear gain didn't require any kind of stock picking. it doesn't require you to trade or time the market or even do any research into individual companies, which i know is hard for most of you. you just need to invest your money in a low cost s&p 500 index fund and then you wait grant it, you're waiting 40 years. but $450,000 when you're

approaching the age many people retire, seems more than the initial $10,000 and had your entire work life ahead of you to make money the regular way so i'm begging you, think of it like this, a little money saved and passively invested in the stock market is the easiest way possible when you're young to turn into a massive fortune when you're old and have all sorts of additional costs and responsibilities and all you have to do after you initially save that money is let it sit on the sidelines. ideally a 401(k) man or i.r.a. so you don't have to pay capital gains taxes. the same logic apply it is you're 30, 40, or 50 but if you get more if you start younger. which brings me to the bottom line even if you don't have time to do homework, the stock market is still the best tool out there for growing your wealth and thanks to the magic of compounding, the earlier in your life you start investing in the

market, the bigger your long-term capital gains can be and of course, it's not just capital gains but dividends. everything gets reinvested let's go to brenton in new mexico >> caller: jim cramer, big boo-yah from the land of enchantment. how are you, sir >> i am good how about you? >> caller: doing fine. general question, mutual funds and index funds, minimizing single stock risks, but inherently isn't it fair to say mutual funds and index funds have other risks that you would avoid with a single stock portfolio? >> absolutely. and i think these why i always suggest that there be two portfolios there should be that capital preservation and appreciation fund that is going to be put aside for retirement and that should be in the diversified fund, preferred to

be in an index fund. and the rest should be mad money, a sliver of it. that's why we wall to show "mad money. i don't want the bulk of your portfolio in individual stocks, but i want you to be able to pick stocks. brian in oklahoma, brian >> caller: thanks for having me. first-time investor. how do you value a company's -- one company verse another? >> well, we spent a lot of time talking about that what you're really trying to do is measure the future earnings streak and if you measure the future earnings stream, you can pay now. if you take a longer term view, you can get a feel for what that stock might give you for dividends and capital gains. dividends is for preservation, and the capital gains is for the appreciation stream.

i want you to have a little bit of both. but you've got to think about what a company can earn in the future that's what dictates stock prices this show is about building and preserving wealth, and the stock market is the best tool to do that a lot more "mad money" inhead, including the four header word of tin vesting world what sit and why the conventi conventional wisdom is all wrong. plus, what you must not be doing in your retirement account and i'm unveiling the rules you need to navigate the bear market so stay with cramer. >> don't miss a second of "mad money. follow @jimcramer at twitter have a question? tweet cramer at #madtweets send jim an e-mail to madmoney@cnbc.com or give us a call at 1-800-743-cnbc miss something head to madmoney.cnbc.com.

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or young or somewhere in between. as much as many of us might not want to admit it, the rules in this game can be different depending on what age you are. nobody would suggest a retiree pour all of their money into speculative stocks that could go all the way to zero and absolutely wreck your portfolio. but just because some of this may sound straightforward doesn't mean that it's obvious or standard, which is why i'm taking the time to go over the differences depending on where you are in your life cycle now, i always tell you that you need to have your retirement portfolio, and should be invested through a 401(k) or i.r.a. and your mad money portfolio where you can take a few more risks with your money once you've topped out your retirement fund. no matter how old you are, retirement objectives must

always come first. i love to play with the mad money side of things, but the truth is, a bet on your retirement is a bet on your longevity. you want to live for a long time and you shouldn't have to work your fing toers ters to the bon. that means planning for retirement the moment you get your first check no matter who you are, the first $10,000 you invest in the market should go straight into a low-cost index fund or etf that mirrors the s&p 500. it's a fabulous way to get exposed to the stock market gains without putting in the time or effort that's necessary than what we do around here, picking individual stocks. and if you don't have the time to pick individual stocks, all of your stock market exposure can come via the index fund. i'm fine with that there's no reason this needs to be complicated but like i mentioned earlier today, it's important that you get yourself some exposure to the market because no other asset class can grow your wealth the way equi

equities can do. remember, anything less than five stocks in five sectors, you aren't diversified you invest in individual companies, it's only once you've saved a large enough amount for retirement, once you maxed out on all the benefits of your i.r.a. and 401(k) that we talk about that discretionary portfolio where you can afford to take more risks i want to make this point, because a lot of people feel all i want you to be is in individual stocks. that's just wrong. index funds, and then individual stocks now, when you're younger, your two portfolios might not look that different younger investors can take all sorts of risks that we old guys can't. that's true for a host of reasons. when you're in your 20s or 30s, if you invest in something risky, you've got a lot of time to make the money back you've lost your whole working

life, you have years and years of paychecks however, if you're approaching retirement and you lose a fortune in the stock market, that's a real problem and you're going to have little time to fix it which brings me to my first rule of generational investing. not only can younger people afford to take risk with their money that older folks can't, but those of you in the younger demographic, it's imperative you take those risks you should absolutely devote some part of your discretionary portfolio to betting on these high-risk long shots i know i'm out there saying this stuff, but i'm believing in this smaller, less well known companies with massive upside potential. the classic examples here are the biotech stocks, which can fly through the roof where just a piece of positive data on a

drug years away from hitting the market but they'll get slammed if there's any negative news. they don't have any kind of dividend or earnings protection. but we're looking for good opportunities that can work regardless of whether we're in a bull or bear market. and there are companies that have nothing to do with the drug business why do i insist that younger investors speculate, take risks that might scare older people? because the gains here can be stunning ♪ hallelujah and it would be foolish to pass up the opportunity to own the winners. when you're in your 20s and 30s, you should be investing like a young person, not an old man that means taking a few risks. let me give you an example when "mad money" came on the air back in 2005, our first ceo interview was with dr. len

shlifer, ceo of a company trading $5 a share it had been kick around for 17 years without ever really developing anything noteworthy that could move the needle since then, the company is a power house, with the stop taking off, based on a drug called ilea, a degeneration formula and continuing to roar in a number of other breakthrough technologies. fast forward to 2015 and the stock traded up to $592 before getting slammed by a market wide selloff. but for the sake of using round numbers, let's just call it $500, ten years ago. could have bought it speculation, $5. what would happen with that $500 for buying at $5 how about this a gain of rough lly 9900%

not a double or triple or quadruple. it's a ten bagger. but you never could have gotten in on that gain if you hadn't taken risk in 2005 and bought a company with no profits, no products on the market and only the promises of the ceo that things would work out. of course, it worked out in a major way, but many similar caps have done nothing or lost enormous sums. you won't be able to identify who is the winners in this space, but that's okay as long as you cast a wide net if you take small positions in ten of these biotechs, say nine of them go to zero, as long as the tenth was regeneron, you still would have made a massive gain the risk-reward of trying to find these speculative winners makes sense when you're young. for older investors, speculation is a much more risky gain and i

only recommend playing with excess cash that you can afford to lose. here's the bottom line, remember to speculate while you're still young enough to take the hit if something goes wrong as long as you're disciplined and only make a small part of your discretionary portfolio, it's absolutely worth hunting for the next regeneron without hesitation much more "mad money" ahead. i've got the answer to the question, stocks or bonds? the able-old wisdom you've heard is wrong and i'm about to rewrite the script and the game plan you need to follow when the bear market strikes. and it's the most important piece of advice about financial health many of you will have to take action tomorrow. don't miss this. stick with cramer. what's better than "mad 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 you have to start with an index fund because i need you to be diversif 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. we, the people, are tired of being surprised with extra monthly fees. we want hd. and every box and dvr. all included.

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♪ it's time to address a major issue that i have to admit i don't spend enough time discussing on "mad money." i'm talking about the question of stocks versus bonds now, there's good reason you don't hear me rending that you invest in bonds very often it's not just because this show is about stocks. the fact is, ever since the great recession, interest rates have been held down to incredibly low levels and bond

yields like you get from owning u.s. treasuries have been pal try, by historical standards and versus what you can get from dividend safe paying stocks. even when the stock market has been getting absolutely pounded, bonds simply haven't represented very good values versus equities that's why i've so often castigated you about the idea that excessive prudence can be the most reckless strategy of all. because if you invest too much in safe virtually risk-free u.s. treasury bonds, you've been ensuring you'll get a low return on your investment for many years to come. all in all, if you want to grow your capital, and after all, that's what investing is supposed to be about, then like i've said before, stocksare still really the only game in town, even after -- what can i say, so many years however, i don't want to make it sound like i'm poo pooing bonds

all together there's a place for bonds in your portfolio, especially as you get older. here's the crux of the issue even though stocks are the best way to grow capital over the long-term, when wen yields are at low levels, stock and bond investing are about two different things stocks are the tool you use for capital appreciation, turning your money into more money but bonds are about capital preservation they give you a nice and steady, slow return to offset inflation. you invest in stocks so that you can risk your wealth that you have to generate even greater wealth that's what it is. you invest in bonds to protect whatever part of your wealth you can't afford to lose there it is. which brings me to the generational investing aspect. depending on how old you are, there's a huge difference of how

you should approach the idea of putting into bonds i've explained how people in their 20s and 30s can get away with risky investing, because you have the rest of your working life to make back any losses but as you get older, you'll have more wealth and you can't afford to lose it, especially in your retirement accounts bonds are a staple of saving for retirement most financial expert also tell you that you need to own a lot more bonds a lot earlier in your lifetime that i think is truly necessary. you'll never get rich from owning treasuries, though. even 30-year treasuries, our government's highest ye esest yh lower terms don't produce much in the way of capital appreciation let's say 30 year treasury bonds are yield ing 3.5% with that 3.5% yield, as long as you reinvest your coupon

payments back into treasuries, you might double your money in 20 years the average historical return for the s&p 500 is 10% annually, which would let you double your money a little more than seven years. so if you're under the inof age3 and you owe a bunch of bonds, you're being way too cautious. i know that puts me out there, but that's how i feel. even in your 401(k) and your i.r.a., you want to be weighted towards stocks while you're young. these retirement vehicles, a lot of them avoid paying dividend taxes, allowing your gains to compound tax free year after year but as you get older, owning treasuries becomes essential because unlike the stock market where you can lose enormous amounts of money in the blink of an eye, bonds are safe once you've used the stock market to make yourself financially independent, you want to funnel more into u.s. treasuries, where you know your

investment won'tvanish overnight. ideally you do that by putting into the cheap bond fund so let's get down to brass tacks. precisely how much of your retirement portfolio should you keep in bonds versus stocks? that depends on how old you are. i don't think your retirement fund should have any bond exposure whatsoever until you turn 30. if you own bonds at the able of -- able ge of 25, you're wastig your youth in your 30s, you can keep 10% or 20% in bonds once you're in your 40s, i think you can go up to 20% or 30% bonds. in your 50s, i say 30% to 40%. in your 60s, as you approach retirement age, all right, take it up to 40% to 50%. that's right, 40% to 50% even if you're retired, you should keep a substantial chunk in the stock market.

post retirement my recommendation is that you increase your bond exposure to 60% to 70% once you stop working, you can't afford to take too many losses with your investments. especially since you're going to need to start spending the money in your retirement accounts. excuse me. but that said, i still think keeping roughly a third of your money in stocks makes sense. you're going to be living off your investment for the rest of your life. so some part of your portfolio should be trying to create more wealth in case you live longer than you expect and need more money to support yourself. going all in on bonds once you retire is a bet against your own longevity. who wants to take that kind of a bet? here's the bottom line, for younger investors, putting your money in bonds is a fool's game. as you get bolder, increase your bonds exposure where 50% is in bonds by the time your in your

60s. but eaven if you retire, keep owning some stocks so some piece of your capital can continue to appreciate over the long-term. best case, you live a very long time and that extra money comes in handy let's take some questions. nessier in pennsylvania. >> caller: boo-yah, jim. >> how are you >> caller: good. big fan of the call. i love your book >> thank you >> caller: i'm looking for advice today on how to term an entry price for astock, especially if i'm looking to start a core position, given how the cost basis averaging is. >> this is a great question, because there are a lot of people that feel like they want to draw a line in the sand they want to make a statement buy or be in a position where they got rid of it they bought it and put it away that's why i say take into account human frailty. the most i ever like to buy at

one point is half of my position i prefer to buy a quarter. if the stock goes higher, somewhat a terrible high quality problem. i hike to buy in stages. in all my books i talk about stain buying because i don't want to be overconfident don't you be overconfident do it in stages. brian in new york, brian >> caller: hey, jim, how are you? >> i'm fine. how are you? >> caller: i have a 401(k) from a previous employer and i'm trying to decide whether to put it in an annuity account mansagd by an insurance company or a traditional i.r.a. >> i want you to run it yourself the annuities have fees. i'm not against anything that makes it so people can build wealth but my experience has been a lot of annuities have fees that eat things up. i believe in self-directed investing when it comes for that and if you have to, you can put it in an index fund.

but i do like to take control of my investments listen, investing in stocks and bonds are two very different things as you get older, gradually add exposure to bonds. but young investors, you don't just belong in bonds much more "mad money," ahead, including a playbook for when a bear market takes a bite and if you want a strong retirement, listen to my advice and take action tomorrow morning. and i'm answering the questions you've been sending me on twitter. so stay with cramer. >> mr. cramer, love the show >> we appreciate you out there >> boo-yah from my kids. >> boo-yah, mr. cramer slgsz i know you hear this all the time, jim, but thank you, thank you, thank you so much >> this has been my best year by far and away in the market >> i just want to thank you for looking out for the regular guys out there. >> i am trying to teach people to be better investors and i'm doing my best.

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♪ snebl tonight, rather than focusing on the day-to-day of the stock market, i want to help

you take a longer view and investor a lifetime. that means taking a longer time horizon than when we usually discuss. i'm talkingabout a 20, 30, 40, even 50-year view. there's no such thing as a stock that you can buy or hold the next decade or two i wish it was that easy. it's not regular viewers know my mantra, it's buy and homework. you need to keep checking on a company regularly, make sure nothing is going wrong however, just because you can't pick a few stocks and ignore them, that doesn't mean it's impossible to take a long-term view you just need to zoom out a bit. when you examine stocks over a multidecade time horizon, if you know what you're doing, a bear market can simply be a different kind of opportunity. that's right, when stocks are getting slammed, when they're getting hit everywhere you look, when it seems like the losses

will be endless, when the shares of companies can't mount rallies, you have to recognize that you could be getting a terrific opportunity to pick up some high quality stocks for the long run into the weakness i'm not giving you a license to p buy stocksis d iis -- stocks in n -- indiscriminately, it makes more sense to buy stocks rather thanselling them, as long as you're willing to take short term pain for long-term gain when you buy during a bear market, be very careful. never buy a position all at once that's pure arrogance, and you're just asking yourself to look liar a moron. instead, buy small chunks of your position incrementally on your way down. humility, please in a bear market, usewider

scales, meaning after you make a purchase, wait for that stock to go down meaningfully and substantially before you buy more over the long-term, you have taken advantage of a terrific opportunity that most people were too afraid to pounce on, but i need you to think longer term you don't believe me just look at this chart of the s&p 500 over the ten years starting in the fall of 2005 look at those hideous declines during the financial declines in 2008 and 2009. if you use that to gradually buy a position in a cheap s&p 500 mutual fund, within a couple years you made a killing how about that nasty bear from 2011 we snapped back from that more rapidly. warren buffett has enough money he can afford to take any level of short term pain to get his hands on long-term gains if you have a shorter time

horiz horizon, if you're a hedge fund manager that needs to be up for the year or even the day for that matter, you can't approach a bear market as a long-term buying opportunity you'll lose enough money in a short enough period of time that the thumb will go you believed read "confessions of a street addict" when things got tough for me the vast majority of you are not running hedge funds. you don't need to make money every day or year. you need a long-term strategy to let you rake in multiyear gains over your lifetime so you have enough money to retire and send your kids to college so you don't need to be concerned with short term performance. this is not an excuse to hang on to loser stocks because you hope that one day eventually it will turn around. my point is that the ugliest market that sends everything down, the good with the bad, they'll always create opportunities for smart investors, as long as you're patient enough to take advantage

of them slowly because if you pounce too quickly, you'll byway too close to the top if you're not playing with an s&p 500 index fund, you have to be careful about what stocks you pick during a bear market. do the homework and make sure you own the stocks of companies doing well, good balance sheets or these the companies doing okay but could do better in a strong environment you must not buy the stocks that are right in the blast radius of whatever is causing the decline in a bear market think of the banks of 2008 and 2009 oil and natural gas, resource plays that started going down in the fall of 2014 you don't want to own the companies that are causing the weakness search for collateral damaged stocks that are going down because everything is being taken lower by the s&p 500 futures and the etfs that crush entire sectors if you own anything in the blast zone, please don't hesitate to -- >> sell sell sell. >> and swap into something safer. if you want to take advantage of a monster decline to do some

buying, have some cash on the sidelines in order to make your move otherwise, you'll just be shuffling money between different stocks, all of which are going lower. that's why i'm adamant you have some cash in your portfolio. the better the market is going, the bigger your kacash position. so here's the bottom line. when you approach the stock market with a truly long-term time horizon, remember that the big bear market declines can turn out to be excellent buying opportunities, as we've seen since we started the show. as long as you only purchase high quality merchandise in small increments on the way down stick with cramer.

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♪

all night i've been telling you about the best way to approach investing from a long life, long generational perspective. how to manage your money when you're young, when you're middle aged hey, when you -- haven't you heard 60 is the new 50 even once you retire but there's another aspect to generational investing that i have to stress here. that's the need to get your kids interested in managing their own money and learning about the stock market in particular i say to do parents with children of all ages while i love the public school system, you can't rely on the public schools to teach your kids about money they can do a bangup job with english, history, whatever you want your kids to become fluent in a foreign language great, they can teach you french, spanish, chinese but if you want your children to become fluent in finance, you have to do it yourself

personal finance is viewed as too simple for most educators to bother with. your typical high school will help your kids learn how to put a condom on a anana, but nobod will teach them why it's dangerous to keep a balance on their credit cards students get bombarded with credit card offers that can seem irresistible i took down five of them throw in thousands of credit card debt on top of their student loans and they can be in the hole for decades, which means you, the parents in many cases will need to bail them out. raising financially responsible children is about not getting hit up for cash every month, even when your kids are well into their 30s that's why if you want them to learn about money, and what parent doesn't want financially responsible children at this point, you need to do it yourself that means you need to have some

long, boring conversations about the dangers of high interest rate debt, like the kind anyone can rack up on a credit card, and the need to save money coupled with the power of compound interest for generating wealth but in my view, the best way to make this dull finance medicine go down is with a spoon full of stock picking sugar. starting at a early age, give your children gifts of stock in high quality companies that resonate with young people my classic example is disney give them a couple of shares a year for the holiday starting when they're old enough to appreciate "frozen" as far "sta" whatever because disney has so much going for it, not to mention a terrific theme park business, by the time your kids are teenagers, i think their disney holdings h show a nice gain. there's no better way to then

strait t -- dmeb strait the power of saving money than have your children make money in the stock market and follow along. it could be any high quality company that will resonate with anyone in elementary school. the point of getting your kids interested in stocks early, you need to teach them a better way to think about money you want your children to learn that money is something that can be saved and invested to create still more money at the earliest possible age if you don't want to do this for your children, do it for yourself because kids who can manage your own finances are kids who won't be begging you for money, even after you've gone into retirement stick with cramer. i switched to t-mobile, kept my phone-everything on it- -oh, they even paid it off! wow! yeah. it's nice that every bad decision doesn't have to be permenant!

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♪ okay, cramerica, it's time for me to check out the twitter and take a look at some of the tweets you sent. let's catch up with our viewers at home and see what's trending in their portfolios. first up, you talk in your book about research for new investors what are a few pieces of information we should look for when stock picking? the first thing is i want you to know the product i want you to know what it does and i want you to like it. the reason is because a lot of times stocks go down after you buy them and if you hike the product, you'll be more inclined not to panic and get out. then after that, you can read

get rich quickly and i tell you how to raid a stock. you can do it on a number basis and figure out where it should stand versus others. but you have to like the company first, or in the first big selloff, you'll become a seller, not a buyer. i don't want that. okay the next question is from patrick. jim, for retirement, is it best a dollar cost average index funds or buy on market downturn? this is important. here's the way i do it i try to do it 1/12th a month if i can. but if that's a big break in the stock market, i accelerate some that i would do later in the year and put them to work in that break even up to a third of it in other words, i like to take advantage of the declines, and accelerate what i put in and i've done that for years and

years and it's worked for me next up is larry this morning, my wife said what would they do without cramer my wife said the same thing. look, i'm a teacher. i got some books but it's really important for people to know what you need to do -- what would you do without yourself this is about empowering you it's not about giving you ideas, but how to look at them. a lot of people look at this show who haven't watched it over the evolution, he says trade in and out of this and that i hope you know it's the opposite longer term investing is the way to make money. index funds and then mad money and doing homework and trying to figure out how to do it yourself last is jeffrey hope jim, would you mind sharing your sunday stock routine, please i get this thing from the standard and poors

it's pushed to me via e-mail it's hundreds and hundreds of charts i go over each one i have a file that says good, bad, question mark, try to figure out why that went out and story idea for show. and i write down each one and where they are and where they fit. and when i'm done, i do a piece for "real money," a long piece where i look at what trends i see and then for the rest of the week, i send my staff which stocks i don't understand and why. and some theorys about why we should be doing certain pieces and it takes up almost all of sunday except for when the eagles are playing stick with cramer.

have a serious question i want to ask you >> once told me to gargle with gin to cart rise the vocal cords. >> i did a lot of that on saturday, but a lot of it got swal swallowed. maybe that's the problem let me start over. intel once the greatest semi conductor in the world -- that was changed.

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grab your wallet. access denied. and if that's still not enough to help you save... ooo i need these! we'll just bring out the snowplow. you don't need those! we'll do anything, seriously anything, to help our customers. thanks. ally. do it right. at the lexus golden opportunity sales event 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. (upbeat dance music) (bell ringing) i like to say there's always a bull market somewhere, and i promise to find it for you right here on "mad money." i'm jim cramer, and i'll see you next time.

>> in this episode of "secret lives of the super rich"... the most expensive home in all of america will make your head spin. how many people can fit in this room? >> i would say, over 1,000 people. >> they're drillproof... bulletproof... and sometimes rigged with explosives. >> we did a whole vault just for shoes. >> the ultimate luxury safe. you have to be super rich to buy a mega-yacht. meet the man who bought 18. how much do you spend, in total, for those 18 boats? >> i never try to add that up. i'd be scared. >> all-gold everything, from shoelaces to chopsticks. the man with the midas touch.