The stock market crash - and after

Bibliographic data

Monograph

Identifikator:: 1815583320

URN:: urn:nbn:de:zbw-retromon-204544

Document type:: Monograph

Author:: Fisher, Irving http://d-nb.info/gnd/118533541

Title:: The stock market crash - and after

Place of publication:: New York

Publisher:: Macmillan

Year of publication:: 1930

Scope:: XXVI, 286 S.; graph. Darst

Digitisation:: 2022

Collection:: Economics Books

Usage license:: Get license information via the feedback formular.

Chapter

Document type:: Monograph

Structure type:: Chapter

Title:: Chapter XIII. Flight from Bonds to Stocks

Collection:: Economics Books

214 The Stock Market Crash—And After 1919 total. These figures also show, however, that bonds are still the chief investment. Common Stock Investment May Be Overdone In an article published on May 28, 1928, I said that while the theory is sound, investment in com- mon stocks can be overdone, especially when every one is buying them. The codperative buying of diversified stock securities should be done with full knowledge that it may be affected by overspeculation, and that, after all, common stock investments are not based on guaranteed income. When the average yield of common stock falls below § per cent, the investor must look very sharply at the prospects of the companies in question, and then it is wise for him to buy other securities as well. The purchase of bonds and preferred stocks is more advisable if the commodity price level tips downward, as it has done since 1925. For when the price level of commodities declines, holders of bonds profit by the rise in purchasing power of the dollar, both in their interest and in their principal. Mr. Leland Rex Robinson, whose book on invest- ment trusts is standard, recently called attention to the generally high-grade character of securities pur- chased by leading investment trusts during 1929, and the great distribution of risks which many of them show in their holdings. Mr. Robinson dis- tinguishes, of course, between investment trusts proper and holding companies which control, man- age and finance groups of subsidiaries. These hold-

Access restriction

Copyright

fullscreen: The stock market crash - and after

Monograph

Chapter

Table of contents

Download

Monograph

Chapter

This page

Image fragment

Citation links

Citation recommendation