Investment Plan Summary

The preceding discussion is by no means complete, because we have deliberately included only those essentials which will enable the reader to understand what a common stock share is, how it is bought and sold, and some of the necessary machinery by which common stocks become available for purchase or sale.

At the same time we may emphasize that commitments in common stocks, while interesting and rewarding, are nevertheless hazardous. Earnings and dividends may fluctuate sharply, so that the purchase or sale of stocks requires very careful selection and careful timing for best results. Fortunately, there are some common stocks, the so-called "defensive" equities, which are not subject to quite so wide a variation as others.

The selection of these, as well as others, the methods of evaluation, the methods of timing, and other similar matters form the substance of our other articles.