Today's show was pre-recorded, and Cramer gave out the following investment advice:
- High quality dividend paying stocks are the key to a successful portfolio.
- Expect corrections in the market.
- Diversify into a group of safer stocks with an income stream for retirement, and a more aggressive portfolio. Each group should have 5 - 10 stocks.
- You should hold a local stock, a defensive stock, a cyclical stock, a financial stock, a well known brand name stock, a retail stock, a tech stock, an energy stock, and a gold stock.
- No one stock should make up more than 20% of your portfolio.
- Timing is important because the movement in a stock is 50% dependent on the sector a company is in, and 50% on the performance of the company itself.
- Avoid stocks with a contracting P/E multiple.
- Don't use market orders to buy stocks. Use limit orders instead.
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