Fast Money on CNBC: Are We All Traders Now?

There's a new financial investment program on CNBC in the evenings now. Its host is Dylan Ratigan, one of the network's on-air anchors. He has a BA in political economy from Union College.

The program is called "Fast Money," and features Ratigan with four guest pundits who opine on stocks at a furious pace. Their promo picture has them standing together, sans jackets, arms folded, looking "tough." This is serious business. The show's slogan is, "Game On!"

There are two things which confuse me about this new program. First, does it not cover the same ground as CNBC's "Mad Money" with Jim Cramer? Second, in contrast to the networks gushing tributes to Lou Rukeyser upon his passing, does this show not emphasize exactly what the esteemed late financial program host constantly warned viewers against, e.g., 'short-termism?'

Since CNBC is a cable-TV network, I understand that Fast Money is supposed to have entertainment value. It looks like something a producer pitched to the CNBC brass as "Cramer's Mad Money meets Crossfire." Four guys arguing about how fast to pump and dump various name stocks, with Ratigan mugging for the camera, being jocular with his 4 buddies and directing the action on camera. I've caught some of the show, and it pointedly focuses on, well, "fast money," i.e., how to rapidly churn trades to make instant cash.

In fact, my clearest recollection of Ratigan, whether interviewing Cramer at 3:30PM each day for the "Stop Trading" segment, or on Fast money, is him uttering a phrases such as,

"Jimmy, what's your best trade right now," or, "So what's the trade here?"

Maybe CNBC is worried that Cramer, like all entertainers, eventually wear out his welcome with his viewers. In that event, they have a look-alike ready to slip into that slot and retain ad dollars. Or perhaps they think Cramer will simply blow up on camera one day, and want to hedge their bets. Or maybe that he'll finally go too far one day, and find himself subpoenaed by the SEC.

On the second point, though, I really am puzzled. If I'm not mistaken, Rukeyser had chosen, or allowed to be chosen, Ratigan to guest host Wall Street Week in its last days, as Lou became too ill to go on air. WSW's hallmark was patient, longterm investing, under the careful, calm guidance of its well-regarded host.

What happened all of a sudden to this investing ethic? Has CNBC gone "mad?"

Perhaps the network saw the same data in the media lately that I have, regarding the nearly-50% volume of daily trading that hedge funds now comprise. Since they certainly don't have 50% of the market's assets yet, this means they must be turning over positions at a furious rate.

Is it possible CNBC figures that what's good enough for hedge funds is good enough for its viewers?