In America, one of the most respected investment professionals that is a financial guru is known as Jim Cramer. It is important to note that Cramer came up with 25 rules for investing. By reading this article, youre going to learn more about 12 of the golden rules for investing according to Cramer.
According to Cramer, it is important for you to ensure that you do not buy neither should you sell all at a go. What he suggests is that you should purchase and sell in phases so that you can take advantage of overall best prices with time.
Another rule provided by Cramer is that you should research well about a company before buying its stock. Before you invest your money in a company, it is for example advisable for you to check their financial statements.
Cramer also provided rule 7 which says that when things go bad with a company that you have invested in, you should not panic because better times to sell are going to come than during the time of panic.
He also said that it is not a good idea to buy new stocks when youre not sold off others.
According to Cramer, he said that there should be no regrets if you made mistakes in your past investments. If you have regrets, it is going to interfere with your ability to make sound investment decisions in the future.
Rule 17 of Cramers says that it is important for you not to base your decision in the stock market on hope. Instead of hope, you should have reason, and this will make it possible for you to experience success in your investments.
When investing in the stock market, it is also highly recommended for you to make sure that you are flexible in your investments. The reason why it is important for you to ensure that you remain flexible is that the stock market is ever evolving, and you should be ready to embrace the changes happening.
Cramer also suggested that when the head of a company resigns, then you should also sell the stocks because it indicates that something went wrong in the company. In addition, Cramer said that you should not give up on a worthwhile company because it is going to pick up later.
He also recommended that you be a critic of television which means that you should not believe everything that you see on financial news. Cramer also states that it is wise for you to hold on longer, for about 30 days, after a preannouncement which indicates some weaknesses in a company. Visit this site if you want to study more about other tips on how you can invest in the stock market.