On Thursday evening's "Mad Money," Jim Cramer provided a basket of stocks every investor should own for such a scenario.
Cramer said that the basket should include surveillance companies such as L-3 Communications (LLL:NYSE - commentary - research), ThermoElectron (TMO:NYSE - commentary - research) and Global ePoint (GEPT:Nasdaq - commentary - research).
In the biochemical/bio-threat arena, Cramer likes Cepheid (CPHD:Nasdaq - commentary - research), Steris (STE:NYSE - commentary - research) and RAE Systems (RAE:Amex - commentary - research).
In IT security, Cramer likes CACI International (CAI:NYSE - commentary - research).
And for identity verification, Cramer likes Viisage Technology (VISG:Nasdaq - commentary - research) and Identix (IDNX:Nasdaq - commentary - research).
But Cramer cautioned that these are small, risky stocks. As such, this basket should be in your nonretirement portfolio. And they should make up no more than 20% of the portfolio. With that caveat out of the way, Cramer said: "I need you in these stocks now." Especially, he said, because these stocks are heading down, which means that investors have an opportunity to buy these at cheaper prices.
There is no substitute for conducting your own research
