Jim Cramer is a dirtbag

Jim Cramer admits to manipulating the market for certain stocks and inventing false rumors which he then spread through the media (including CNBC). He says that this is how hedge fund managers operate normally, and gives the impression that insiders and market manipulators can (and should) use these strategies to earn excess returns.

Let me assure you that he is wrong. The behavior he talks about certainly does happen, but it is not ethical, normal, good, or as pervasive as he implies. Most funds do NOT utilize this strategy. Jim Cramer and any fund managers who use these strategies give the industry a bad name. Worse still, they are the reason that Federal and State regulators must be so intrusive and vigilant. The general public is right to criticize this behavior, but other fund managers should be the loudest critics because he’s part of the reason that our industry is over-regulated.

Somebody should punch him in the nose (or fine the crap out of him and put him in jail).

[UPDATE – 3/23]

The video has been pulled from YouTube by claims of copyright infringement by Jim’s company, TheStreet.com. Pulling the video doesn’t make him less of a dirtbag. For your information, a detailed account is available here: http://seekingalpha.com/article/30257

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