How Personal Finance Led Us Astray

On The Media reports on personal finance gurus. Helaine Olen on Jim Cramer:

When people look at his record the best thing you could actually do is, the second he says to buy something, is to immediately short it or bet against it. That might be his stock picking abilities, but there’s also another thing going on. He yells out “buy IBM” – a lot of other people are about to go buy it. As a result it’s gonna run up, and that has nothing to do with the quality of their business. So what happens is over a period of a couple of weeks it’s gonna run up and then it runs back down. This is definitively not the way to get your stock picking advice.