Common Stocks and Uncommon Profits and Other Writings

 Introduction 
1 7 9 
done in the way that, both here and abroad, has always proven so costly, 
wasteful, and inefficient—by government financing, with management 
under the dead hand of bureaucratic officialdom. 
For these reasons I believe that the investors’ problems of today 
should be met head on and forthrightly. In an attempt to deal with these
problems in this book, I have leaned heavily on the counsel of my son, 
Ken, who contributed the title as well as many other matters, including 
part of the basic conception of what lies herein. I cannot adequately 
acknowledge his assistance in this presentation. 
This book is divided into four distinct sections. The first deals with 
the anatomy—if the word may be used—of a conservative stock invest-
ment as delineated in definition number one. The second analyzes the 
part played by the financial community—the mistakes, if you will—that 
helped produce the current bear market. This critique was not intend- 
ed merely to throw rocks but to point out that similar errors can be 
avoided in the future and that certain basic investment principles 
become clear when the mistakes of the recent past are studied. The third 
section deals with the course of action that must be taken to qualify as
conservative investing as delineated in definition number two. The final 
section deals with some of the influences rampant in today’s world that
have caused grave doubts in the minds of many as to whether any
common stock is a suitable means for preserving assets—in other words, 
whether for anything other than as gambling vehicles common stocks 
should be considered at all. This book will, I hope, throw light on 
whether the problems that helped produce the recent bear market have 
created a condition where stock ownership is just a trap for the unwary 
or whether, as in every prior major bear market in U.S. history, they
have created a magnificent opportunity for those with the ability and 
the self-discipline to think for themselves and to act independently of 
the popular emotions of the moment. 
P
HILIP 
A. F
ISHER
San Mateo, California 

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