Mad Money Machine

by Paul Douglas Boyer

MMM-074: Dementis Pecunia Apparatus

Cramer’s publicity stunts. Win a copy of Index Funds. Analyze 457 twelve-year periods. Our Guru wants to be a know-it-all. Bohnanza!

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  • Cramer’s publicity stunts: 1.2 million views?
  • DC United whupped up on LA Galaxy. Maybe I will buy a jersey after all!
  • Make a comment, win a copy of Index Funds: The 12-Step Program for Active Investors. Go ahead and buy a copy.
  • Our Tool helps you analyze stock market returns in a more significant manner.
  • This week is Cousin Camp. And the big hit game is Bohnanza
  • Our Guru would have us enter all of the details about everything into a computer so that we can predict the future.

Music from music.podshow.com:
Mystical – Time Warrior
ALTA PLAZA – XRAY DOGS
Body Of My Lover – Delphinium Blue
Money – Theory in Motion
The Professionals – Three Man
Runaway Train – Under Feather

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Tue, August 14 2007 » Podcasts

32 Responses

  1. Sus Olympus Tonsor August 14 2007 @ 1:08 pm

    Great show!

  2. roblight August 14 2007 @ 9:52 pm

    Just got GH2 and love it!

    Keep up the good work, Paul!

  3. yomomma2000 August 14 2007 @ 10:40 pm

    Hi Paul. Great show. Have you noticed the market is getting more interesting now? It’s started to get really volatile. Are market timers getting ready to jump in?

  4. Andrew August 14 2007 @ 10:43 pm

    Howdy Paul,

    Great show, as usual. I’ve been a listener since just about day one!!

    What a crazy publicity stunt by the Cramer! He must have lost a major load on BSC!!

    I’m putting all my money on options (mostly puts) and making a mint these last few weeks… 🙂

    Andrew
    http://www.InvestorReviewPodcast.com

    P.S. Since our shows have a similar content (investing), perhaps we can do a link exchange?

  5. deml247 August 15 2007 @ 9:55 am

    annotamentum

  6. shavit2000 August 15 2007 @ 10:11 am

    Dear Paul,

    Thanks for your great blog. It really changed how I view the investment world. I hope that you will have more to say about ETF’s and your own personal choices.

    Keep up the good work. I wait for your forecast every week and hope that my donation will support your efforts.

    Shavit

    PS, How can i find your theme song?

  7. ravjim August 15 2007 @ 11:15 am

    I found this other commentary on the Cramer clip from the beginning. Another set of things to think about regarding the A.R. M -ageddon.

    http://www.youtube.com/watch?v=Pd5zAbDKZEg&mode=related&search=

  8. jckhoury August 15 2007 @ 12:40 pm

    Hi Paul,

    thank you for producing such a great show. I have been listening for over a year and a half now and seen how the show has evolved over time.
    I think features such as tools in the crib and guru roulette are great. The sound quality is the best by far compared to other shows. I think your use of music is excellent.
    In one of your shows you had a guest on who alluded to the debate of allocation. I think it would be a great segment in the show to discuss allocation and weightings.
    Thank you for your hard and excellent work

    Jean-Claude

  9. Fire128 August 15 2007 @ 6:59 pm

    Still trying to win that book, Jimmy Cramer has officially lost it over this market but I don’t blame him, great show Paul!
    peace

  10. cybersupernova August 15 2007 @ 10:11 pm

    I’m still listening, and trying to win that book. Keep up the great work!

  11. bucklover August 17 2007 @ 7:38 am

    Thanks for a great show – just discovered it and love it. I’d love to win a copy of that book, sounds great.

  12. brian August 17 2007 @ 12:25 pm

    Paul,

    I’ve had a question for you for a while now: I live in the Czech Republic and make money in Crowns (we’re not quite on the Euro yet!). I’ve got some dollars invested (in vanguard’s 2035 retirement fund) and more sitting in a checking account.

    I’d like to invest in index funds, as you recommend, but don’t want to be moving money from one currency to another to invest in funds in the states (although i’ll probably have to move the money to euros anyway) as there are a lot of fees involved in that and it would also mean playing the not-so-passive currency trading game…kind of.

    The question is: do you have any tools for investors who are outside of the states? Any IFA-like sites to go to for information on this? Any tips on vanguard-like funds in Europe or best practices for this kind of thing?

    Thanks,

    Brian

  13. hanks1415 August 18 2007 @ 5:27 pm

    Loved this show, Paul!

    Glad someone is out there that took notice of the “cramer blowup” in context of his recent ratings and popularity…

    Way to keep us all honest!

  14. Rick and Beth August 18 2007 @ 9:16 pm

    Great show as always. I liked the history you gave on the development of the show. I had no idea that it was originally a tribute to Cramer, I always thought it was a sarcastic title.

  15. rac8017 August 18 2007 @ 10:19 pm

    Hi Paul,

    Great show as always and I really enjoy the music snippets you add.

    Keep up the good work…

  16. booklover August 19 2007 @ 3:36 am

    This show is great ! The Cramer clip at the beginning, just amazing.

  17. olivr2 August 20 2007 @ 8:50 am

    you should do a Nike+ challenge for your viewers

  18. ravjim August 21 2007 @ 8:17 am

    So Cramer has really achieved Dementis. Last night he was endorsing the purchase of the ETF, KRE.

    I think that the real story is not the loud lunatic, but JC finally having to whisper ‘uncle.’

  19. timtipton August 21 2007 @ 1:39 pm

    love the show – keep ’em coming!

    can’t wait to get back to the regular length – the short one’s mess up my commuting schedule… 😉

  20. Brad August 21 2007 @ 9:50 pm

    Been a listener from the beginning, sort-of. Not sure when I found your show but I’ve downloaded and listened to them all. I had just come through a similar transition at the time (stock picking -> indexing/diversification) and so it felt like coming home.

    I’m glad to see your starting to pack them with information related to this. Keep it up. I’m especially interested in asset allocation techniques, and (like Brian) would love to see information specific to non-us investors. Tools in the crib has always been my favorite part of the show, while the music helps to keep it interesting.

    Of course the sound quality is excellent.

    Hope you don’t jump on the IFA bandwagon to much. They have an excellent product (it appears) but I’d like to think that your semi-independent! Sorry I can’t comment more often, but these days I don’t spend much time in front of a computer I just plug in now and again to get the latest podcasts.

    I’m a faithful listener and will be for a long time coming. Now if only I could win that book….

    Thanks for all your work.

    Brad

  21. gamerun August 21 2007 @ 10:02 pm

    Paul hows it?

    I will admit off the bat….I want to win the book.

    You got me all pumped on ifa.com, I was checking it out and realized I don’t meet the requirements of the $100K club….ahhhhhh….what a downer… Off to the internet to find some other low cost index funds.

    What stands out about your podcast:
    extremely good audio quality

    What I like about your podcast:
    1. The reverb picking of the guitar on the into combined with you saying “show (fill in the number)…..smack dab in the middle of (fill in the month)..”
    2. Smooth editing, nice flow, especially the interviews.

    Honorable mention about your podcast:
    nice interview snipits

    What I dislike about your podcast:
    Lack of valuable information about your sponser. Maybe it’s been on a show I haven’t heard yet… Tell what options you would be into if IFA wasn’t an option (not meeting the 100K requirement) It’s also nice to know that if you want IFA, you need to be hooked up with a Shwab or Fidelity account. Doesn’t work from my TDAmeritrade account. At least, I don’t think it does.

    Other:
    I started running recently too. You weren’t kidding when you said you run slow. (sorry for the shot on your speed) If you want to go faster try turning on the afterburners when going down hills. Also if running on a flat area, run harder for 10-20 seconds every mile. You’ll be shaving half minutes off your 3 mile runs in no time. I also bought a ipod arm band on eBay, the tunes shave off a couple seconds.

    out,
    Ryan

  22. hooligan4 August 22 2007 @ 8:18 pm

    Paul thanks for everything, but you still owe me a game of Fifa. You have been mentioning futbol quite a bit lately especially about DC United and Mr. Beckham, but no Fifa, kind of a let down. We should play a round if you ever get around to it. But enough about me, I have a book I would recommend to you for inspiration and anything you could want to get out of it, I think it would help your running and maybe your overall life. The book is “The way of the Peaceful Warrior.” Give it a shot. And by the way I wouldn’t mind a copy of “Index Funds,” but I would rather get an e-book as to not waste any paper, but every time I try to get in from IFA I fail. Hmmm. Oh well thanks for everything.

  23. jwadethack August 23 2007 @ 5:54 pm

    great show, Paul.. i’ve really enjoyed the past shows (a listener since episode 1), but i will say the content seems to be drifting a little bit lately. your shows have always been entertaining (really enjoyed the spoof of the lightning round), but it seems that now entertainment is more and more of a focus, not finance. personally, i like the finance focus . anyway, just my two cents.. still think its worth listening too.

    now, how ’bout that book you keep talking about??

  24. irvingj76 August 23 2007 @ 6:55 pm

    great show, enjoy listening on the commute

  25. chriskan August 24 2007 @ 9:51 am

    Hi Paul,

    Great show as usual. I’ve been listening for over a year now and been enjoying it. Because of you, I’ve started working with a financial adviser and my wife and I will be getting some old 401k plans rolled over into DFA funds. Being an engineer also, this approach really made sense to me.

    Keep up the good work!
    Chris in Minneapolis

  26. bodotdot August 24 2007 @ 10:56 am

    What the Barron’s article about Cramer mistakenly assumes is what he’s offering is a bottomless basket into which you constantly place stocks and hold them. That’s not the case at all. Like he always says, it takes homework. That means effort needs to be put into the buying, babysitting and selling of every stock in your portfolio. Firstly, Cramer tells you to keep a manageable amount of stocks (five is the number he talks about a lot), time your entry point and sell when you’ve met your individual profit goal or loss limit. It’s not a constantly growing basket of stocks. It’s his guide for the individual investor. If you don’t want to take the responsibility for activiely managing your risk, put it in a mutual fund. That’s what he has always said! He doesn’t say it on every show–but if he did, “Mad Money” would sound like a Viagara commercial, with ten seconds of content and fifty seconds of disclaimers! Just put it in an index fund if you don’t want to do the work–there’s nothing wrong with that! It’s not “Index Funds good,” “Cramer bad.” Choose what’s best f o r y o u .

  27. listener32 August 25 2007 @ 7:43 am

    Very much enjoy the show! I believe I’ve listened to all the podcasts I can get through ITunes (back to MMM-052). I enjoy the show so much that I would like to listen to older episodes, but not so much over the computer. Is there a convenient way to get episodes 1 – 51 onto my Ipod. P.S. Would love a free copy of the IFA book to give as a gift!!

  28. tarek64 August 25 2007 @ 10:23 am

    Enjoyed the show. Started with IFA in April so I am experiencing a little pain. But impressed how quickly it has rebounded.

    We should all write congress that we should not have to pay taxes on mutual funds until the fund is sold if all distributions are reinvested.

  29. Trueohioplaya August 25 2007 @ 9:42 pm

    Great Show Paul!

  30. recoveringTrader August 25 2007 @ 11:44 pm

    I believe Jim Cramer is actually dangerous to your wealth. There is no way a viewer can afford to buy all of his prepared recommendations, and you take a huge chance of losing on one of his mistakes. Nice of him to admit his mistakes, but it doesn’t get you your money back.

    By contrast, Mad Money Machine offers a genuine service to investors. Follow the priciples outlined on this podcast and you can be reasonably certain that you will grow rich slowly.

    Thank you, Paul.

  31. Eroq August 26 2007 @ 10:29 pm

    First off: great show, started listening when you first created the show, stopped listening for the summer last year, and when I picked it back up in the fall you had made the switch from active to passive investing. I’ve been living and working in S.Korea for the past year, and have been enjoying your show even though I’m not investing anything at the moment. Focusing on getting out of debt first, but after that it’ll be lazy investing all the way!

  32. mozzzie September 2 2007 @ 5:11 am

    Hi Paul,

    I live in Adelaide, Australia and have enjoyed your show very much since (almost) the very beginning. Always looking forward to your next installment!
    I have a question for you:
    It is pretty clear to me how you should invest in the long term, but what about a shorter term??

    I am fairly heavily invested in the share market – investing in capitalism! I still have (too) many years to to retirement, but eventually it will appear on the horizon. What do I do then?
    I want to make sure I can keep my lifestyle without being too dependent of fluctuations in the markets.
    I guess one approach would be to move investments to less volitile ones. But is there a best way to go about it??
    Another similar scenario: If I plan to put my money in a house in a couple of years, What do you think is the best way to ensure you don’t suffer down the track by a low in the market when you need the money?
    Keep up the good work!