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I.  Maximum  Capital  and  Income  Safety
coupled  with  the  minimum  amount  of  personal
trouble  to  the  investor.
An  investor  who  desires  a  moderate  income,
coupled  with  great  capital  security,  and  who
does  not  wish  to  attend  to  his  investments
more  than  is  absolutely  necessary,  should
minimise  the  number  of  stocks  in  which  he
invests  as  far  as  is  compatible  with  a
proper  geographical  distribution  of  external
investment  risks.  He  should  confine  himself
to  investments  whose  inherent  safety  is
capable  of  the  clearest  demonstration,
which  are  as  far  as  possible  removed  from
political  influences,  and  from  whose  internal
capital  and  income  safety  the  speculative
element  is  completely  removed.  Such  a  list
should  consist  exclusively  of  Government  or
Municipal  Loans  which  show  the  least  fluctuations ­
  in  price-movement,  and  Debenture  or
Bond  issues  of  undoubted  security.  Debenture ­
  and  Bond  issues  are  the  more  preferable
class  of  investment,  as  they  are  more  removed
from  political  and  monetary  influences  than
are  Government  and  Municipal  Loans.  There
is  a  general  idea  abroad  among  investors  that
the  Government  issues  of  the  principal
European  States  are  most  suitable  for  such