Cramer says a diverse portfolio can keep you in the market when stocks like Nvidia fall

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As Nvidia stock tumbled after earnings, CNBC's Jim Cramer on Wednesday reminded investors that it's important to own stocks in a variety of sectors.

After Nvidia shares tumbled, CNBC's Jim Cramer on Wednesday reminded investors that it's important to own stocks in a variety of sectors, even ones that may not presently see huge gains.

Owning a diverse group of stocks helps investors stay in the market when one stock or sector takes a turn, he said.on Wednesday reminded investors that it's important to own stocks in a variety of sectors, even ones that may not presently see huge gains. Owning a diverse group of stocks helps investors stay in the market when one stock or sector takes a turn, he said.and it doesn't always buffer against weakness like recent declines in the otherwise burgeoning tech sector.

"There are going to be bad days where all you want to do is lose less than the market. That, plus the cash you have on the sidelines, are not necessarily meant to help you make money regularly," he said. "They're meant for something bigger: They exist to keep you in the game when the hottest stocks turn cold, like Nvidia has done."losing 0.4%. Shares of artificial intelligence behemoth Nvidia also tumbled, closing down 2.10%.

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