FORTUNE FAVOURS THE BRAVE.
Not only so, but in viewing markets from the stand- point of the potential investor, it must be remembered that during the past few weeks speculative operators and, no doubt, genuine investors also, have been dis- counting future recovery pretty extensively, especially as regards Home Railway stocks and Home Industrial securities. Thus, the monthly valuation of selected stocks by the Bankers' Magazine for the past month showed that in Home Railway ordinary stocks there was a recovery for the month of over 50 per cent. and in prior charge stocks of railways of over 20 per cent., while shares in the Iron and Steel group showed a rise for the month of about 34 per cent. Once again, indeed, during the last few months we have seen that fortune favours those who are not afraid to acquire stocks when everyone else is selling. A few weeks ago, for example, the 5 per cent. preference stock of the London Midland and Scottish Railway, which at the present price of 72 gives a yield of over 6f per cent., could have been bought at 50 giving a yield of 10 per cent., and similar instances might be given in many departments of Home securities. While, therefore, many of these stocks still give a very high yield, allowance has to be made—when considering the prospect of a further early appreciation in market value—for the great rise which has already taken place in a short space of time.
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