Jim Cramer: Get out of the stock market if you need your assets in the next five years
That’s essentially what Jim Cramer is saying.
“I thought about this all weekend. Whatever money you may need for the next five years, please take it out of the stock market right now, this week. I do not believe that you should risk those assets in the stock market right now.”
“I don’t care where stocks have been, I care where they’re going, and I don’t want people to get hurt in the market. I’m worried about unemployment, I’m worried about purchases that you may need. I can’t have you at risk in the stock market.”
But what if you can wait longer than 5 years… ?
“I think what you have to do, if you can withstand it, is just ride it out,”
“I think the previous quarter, the one we’re now hearing from, was a terrible quarter – but it will look good versus the coming quarter.”
I think that is probably a good standard for anybody to follow in any market; if you need the money in the near term, don’t have it invested in stocks.
If you’re in it for the long run, I don’t think market timing works.
Over the past month, I’ve lost about 40% of my investment holdings. Good thing I don’t plan on retiring in 5 years, although it would have been nice. So for me, I’m gonna keep my current holdings and allocations, and not make the sell-off any worse by contributing to it..
Either the whole country will crash, or we get from the hole together. I am not sure how smart is selling stocks from the market now, as that would be total support the the crash. The things aren’t so bright, but lets not make them more worse.
@Flavia
It’s a great time to buy and hold… that is what my newbie senses tell me.
Wow 5 years I wouldn’t hope that it was going to stretch out that long.Thanks for the reality check.
How about a poll to see what other readers are going to do? Buy, Sell, Hold?
I’d be interested in the numbers for general consensus..
[...] 15, 2008 by Marcel We already know that Jim Cramer suggested stock owners should get rid of stock if they need it desperately within the next 5 years. What do you plan to do ? gambling Free pollsShare [...]
@stock: Great suggestion
See the poll here: http://www.financialdominance.com/poll-what-are-you-doing-to-do-with-your-stocks/
I’ve been telling people for that for over a year. People need to learn to not listen to him.
With the stock going under and our economy slowing down, we need all the financial options we can get. Although there have been many plans to bail out banks and try to get the economy running, there isn’t any kind of relief coming for many months ahead of us. We, as Americans, should try and start to get on our feet without the help of the government. When something unexpected arises, such as a flat tire or little Jimmy needing stitches, there should be a valid, quick, easy, and affordable option for anyone who would need temporary relief without the lending of taxpayers money. The payday loan industry is a great way to try and get that temporary relief we all have been searching for. They can provide the satisfaction that you need quickly, providing such perks as online application so you can get one anywhere, anytime, with direct deposit, so when you are quickly approved, you can use the money in a matter of hours. They work with you and the amount that you get paid, so you don’t have to worry about getting in over your head.
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If one takes a deep look on the Stock Market indices world wide the resultant truly justifies the title of the post. I am 100% agree to the writer on this issue.
The crisis in the stock market has resulted in financial lagging for middle class investers.
I am more worried as in the post that our unemployment rate is touching new heights. We were never under that much pressure to take sleeping pills etc. So the best remedy that I can imagine is stay away from the Stock market for the time being.
IF everyone sells away their stocks, what’s left in the stock market?