Mad Money host Jim Cramer can get a bad reputation for his stock picks. His “fiery” personality makes him the perfect target. Yet Jim also donated a record $579,148 to charity from his Charitable Trust returns last year. This CNBC Investing Club Review will help you determine if it’s worth paying for his services.
Jim Cramer’s Charitable Trust is a critical part of the CNBC Investing Club. He uses it to teach investors the basics of investing. For example, you can learn how to analyze and manage your investments.
At the same time, by Jim using his own money, investors learn what it takes to have “skin in the game.” Or in other words, having money on the line allows him to show users what it takes to manage a portfolio in real-time.
Many people use Jim Cramer as a primary source of stock market information. But is it worth the cost of joining the club? Keep reading this CNBC Investing Club review and learn my honest opinion of the service.
What is CNBC Investing Club?
The CNBC Investing Club is a service allowing members to follow Jim Cramers’ Charitable Trust. By joining, users gain access to all Jim Cramer portfolio moves and analysis.
The idea behind the trust is to help investors make smarter decisions while building long-term wealth. With this in mind, Jim uses his own money to manage the portfolio, allowing him to “put his money where his mouth is.”
Jim Cramer’s portfolio reflects his recommendations instead of making blind calls with no skin in the game like many investment gurus.
Then, the portfolio’s returns are donated to charity to avoid conflict of interest. Therefore, Jim does not benefit from any returns. But his funds are on the line with any losses.
Finally, accountants will review the transactions to verify and confirm the donations each year.
Jim started his trust in 2005 with $3 million of his own capital. Since launching the Charitable Trust, Jim has donated over $3.8 million.
Who is Jim Cramer and Why is He Running CNBC Investing Club?
At this point, you may be wondering who Jim Cramer is anyway. And why would I listen to him about managing my investments?
For one thing, Jim Cramer is a former hedge fund manager. After graduating from Harvard and passing the NYS Bar, he joined Goldman Sachs as a stockbroker. He then founded Cramer Berkowitz, where he was a senior partner. After 14 years at the hedge fund, his compound rate of return was 24%.
When Jim retired in 2000, he had a 36% year while many funds lost significant money. Jim is best known …….