Paths to Wealth Through Common Stocks by Philip A. Fisher, John Wiley and Sons by Philip A. Fisher

Paths to Wealth
 through Common Stocks

1

Adjusting to Key
 Influences of the 1960’s
 Fromtimetotime, fundamental changes of great investment
 significance affect large groups of common stocks. Usually for some
 time after these new influences are felt, the great majority of the in-
vestment community have little appreciation of their true importance.
 Then as the real significance of what has happened dawns, a spectac-
ular change occurs in the market price of the affected securities. For-
tunes are sometimes made by those who appreciated the significance
 of what was happening early—before it was importantly reflected in
 changed quotations for individual stocks.
 Let us examine two of the great adjustments to new conditions
 made by the financial community during the 1950’s. Examining such
 readjustments of the past will better enable us to understand and
 anticipate some of those that will come during the 1960’s.
 One of these was the awareness o fwhat a quarter century of progress
 in the art of corporate management had done to bring real investment
 stature to “blue chip” industrial equities. It is easy to forget that as re-
centlyasthelate1940’s large segments of the investment community
 felt that those not in a position to face sizable risks should confine
 their security holdings to bonds, high-grade preferred and possibly a
 few public utility common stocks. Still remembered were the days

Paths to Wealth Through Common Stocks by Philip A. Fisher, John Wiley and Sons by Philip A. Fisher