‘Inverse Cramer’ trading bot sparks frenzy after claims of 56% annual gain

Source Cryptopolitan

The Autopilot “Inverse Cramer” trading bot has become a wild talking point across retail communities on X and Reddit after photos made rounds, showing it gained 56.4% over the past year, while the S&P 500 returned only 15.88% with dividends and 14.37% without.

The data came from screenshots posted by the X account @PelosiTracker, not from a regulated or audited source, and admittedly, when Cryptopolitan looked into it, we found that the fine print tells a different story. Some users who linked their real brokerage accounts said their numbers didn’t even come close.

Inverse Cramer trading bots have gained 56% in the past year, outperforming the S&P
Source: X

A Reddit trader wrote, “Well, my actual performance YTD for Inverse Cramer is –6.4%. The app markets that the Inverse Cramer Pilot is up 2.4%.”

The Inverse Cramer Strategy is simple but chaotic. It takes short positions in Jim Cramer’s ten most-recommended tickers over the last 30 days, regardless of whether he called them buys or sells.

The strategy then hedges those shorts with a long position in the market index and rebalances weekly using equal weighting. It’s designed to do the exact opposite of what Cramer says on air or online. And because the CNBC host never stops talking stocks, the bot gets a steady stream of trades every week.

Tracking Jim Cramer’s stock calls across platforms

Jimmy Cramer, the loud-voiced host of CNBC’s Mad Money and co-founder of TheStreet.com, has been a constant presence in retail investing for two decades. He also writes for the site, contributes to its quant ratings, and shares personal trade ideas daily.

Jim’s high-volume stock takes inspired traders on Reddit and X to start “inversing” him; buying when he says sell, and selling when he says buy. The joke became an actual financial experiment, with trackers like Index One building public pages that follow baskets of his long and short calls.

The @InverseCramer account on X now posts live holdings from these lists, forming the base for the imagined Inverse Cramer ETF, nicknamed IJC.

If IJC were real, it would be actively managed and a nightmare to run, because every new Cramer opinion would force trades on short notice, driving transaction costs and expense ratios through the roof.

Inverse Cramer trading bots have gained 56% in the past year, outperforming the S&P
Source: Quiver

To gain inverse exposure, it would have to short stocks directly or use put options and total-return swaps, making things even more complex.

Early backtests show a year-to-date total return of –15.66%, a 24.21% standard deviation, and a Sharpe ratio of 0.65, which is a miserable risk-adjusted result.

Yet strangely, it still beat the S&P 500, which was down 17% during the same period, giving IJC +1.44% relative outperformance.

The silly obsession came from Gen Z retailers who love to chase thematic funds promising “disruption” and “innovation” and follow managers like Cathie Wood, who once beat the NASDAQ 100 with plays on Zoom, Peloton, Roku, and Teladoc.

When rates rose and those trades collapsed, many young traders lost faith in the old “buy and hold” mantra and turned to satire, betting against the most visible talking head in finance.

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Disclaimer: For information purposes only. Past performance is not indicative of future results.
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