43

This  chart  will  serve  the  double  purpose  of
showing  that  neither  in  new  countries  nor  in
untried  issues  is  it  possible  to  absolutely  rely
on  any  theory  as  to  price-movements.  It  will
also  be  seen  from  this  chart  that  the  solid
fixed  Income  stocks  like  Tokyo  City  Bonds
and  Imperial  5  per  Cent.  Consolidated  Loan
indicate  the  movement,  but  that  the  speculative ­
  ventures,  the  scope  of  which  is  not
fully  understood  by  the  public,  do  not  follow
it,  but  mark  out  price-movements  of  their
own.  In  spite  of  the  stocks  following  a
speculative  course  of  their  own,  irrespective
of  the  course  of  national  trade,  there  is  an
undeniable  general  tendency  among  all  of
them  to  move  together.
We  have  now  established  the  fact  that
it  is  impossible  for  any  investor  safely  to
invest  his  capital  in  any  one  country.  It  is
true  that  by  limiting  his  investment  area  to
small  local  stocks  an  investor  might  succeed
in  purchasing  a  number  of  securities  which
were  free  from  the  fluctuations  due  to  trade
influence.  But  stocks  of  this  stamp  are
attended  by  all  the  grave  drawbacks  of
companies  which  are  managed  by  a  small
clique.  The  shareholders  are  either  friends  or
others  with  common  business  interests.  Lor
example,  if  a  company  be  created  to  carry  on