Monday, April 17, 2006

Cramer, Redux

Year-to-Date Return.....James Cramer's Action Alerts Portfolio......+3.80%
Year-to-Date Return.....NASDAQ Composite (COMP).....................+4.27%
Year-to-Date Return.....Russell 2000 Index (RUT)...................+11.80%


"Best of Breed", my ass.

A

8 comments:

curt504 said...

LOL, good one Allan. Cramer is pretty bad. I'd be currious about Tobin Smith's tip letter's track record. Then what about Lebed? lebed.biz I'm on his mail list and I swear you could make a living just trading his tips. Skipping the first week after a tip of course. He has to get his front running done you know. :) Sorry for junking up your blog, but Lebed's past picks are quite amazing. Look at the 200 day gains, a mark of a true value pick. Past into yahoo finance:

AANI.OB XLPI.PK VSPC.OB TUBM.OB RSMI.OB IZON.OB EWAN.PK ILKG.PK PPHM PTSC.OB VPER.PK KNOH.OB MMSV.PK GROW MLTO.PK ALTI BTJ MRB MOTG.OB SLSX.PK CTBG.PK CNOC.PK IGMI.OB SYNI.OB XDSL.OB UGNE.OB JMAR RGLD MAMA VCLK PECB.PK GIGM THK AANI.OB PECB.PK MLTO.PK WSDT.PK XWG AOB DESC RCHN.PK ETLC.PK JMAR NWAU.PK XDSL.OB BFLY CWPC.OB GIGA GIGM MAGR.OB MRDAF.OB SHRN.OB SPSC.OB TFSM WSCI WWAT.OB YDIW ZAPZ ZONS

curt

Ronny said...

Hi Allan,are you concerned about the increasing number of 52 wk. lows made on the NYSE recently?
Ron

Ronny said...

Hi Allan,are you concerned about the increasing number of 52 wk. lows made on the NYSE recently?
Ron

curt504 said...

Ronny, google: Hindenberg omen. The first non-confirming happened April 7. You are correct at worrying about a tipping point.

curt

Ronny said...

Curt,thanks for the info.I am not a timer,but I am 100% invested and I was thinking about using some margin.Now I have second thoughts.
I remember Lebed being profiled on 60 minutes a few years ago in that pump and dump scandal,so I am a bit skepitcal.However,I did sign up for his free newsletter.
Ron

Allan said...

Ronny -- I have spent 20+ years looking at traditional technical indicators like new lows, tyring to find some edge vis a vis market timing, with little success. Maybe its me, maybe its the indicators, or some combinaton thereof--I prefer something completely novel these days to earn my attention.

A

Anonymous said...

"best of breed" what does that mean? the guy beats the market almost every year and he lags for a quarter and you bust his balls? And what is the Russell doing on that list? How is the Russell composed anything like Cramers Portfolio?

The S&P is up about 5.4% on the year, Cramer's up 3.8. ho-hum is it really worth posting about?

Allan said...

Where is the empirical data that suggests buying "best of breed" is any better then buying anything else, including "worst of breed?" After reading the book written by his "disgruntled employee," Trading With The Enemy, one discovers that much of Cramer 's hedge fun success derived from preferential treatment and information from big brokerage houses with which his fund was doing business. But on a level playing field, i.e. Action Alerts Plus, Cramer is no better then an index, take your pick. Now he's a celebrity, fair game.

A