fairly safe in speculating? Is it possible to secure the gains which come from successful speculation without incurring the risk of losses that are supposed to be inherent in speculating?

By attempting to answer these questions let it be clearly understood that we are not recommending speculation of any kind. The object in setting forth the views in the following paragraphs is to guide and assist those who have been tempted to speculate so that they can minimize their losses as far as possible.

In sum our suggestions are these:

1. If you speculate, be frank with yourself and don't say that you are investing.

2. Never speculate with more than a small portion of your funds. Speculation is a weak basket in which to carry many eggs.

3. Plan your speculation; limit your loss or rather, your possible loss-before you start; don't inflate your hope of gain.

4. Deal only with thoroughly reliable brokerage houses. Don't add to your risk by employing agents of uncertain reputation.

5. Investigate before you speculate. Investigate more thoroughly (if possible) than you do before you invest.

6. Speculate in real, not in fictitious values. Of the six rules here given, this is the most important.

This list of directions is not complete, but it embraces the principal points that should be borne in mind. In anticipation of the heralded bull market of the coming autumn, we trust that our readers will ponder these points carefully, and, if they speculate, remember them throughout the process.

Let us now explain why each of these points is important.

1. The failure to distinguish between what is speculative and what is not is a cause of prolific loss. I do not refer to the "twilight" zone which exists just above the speculation and below the investment. I refer rather to the degree of risk taken, and this is always more or less easily ascertainable. If you have a conservative bond or investment stock, it is speculating to sell it and buy a less conservative bond or stock because you have reason to believe that it is going up. Don't let expectations outweigh facts. Be honest with yourself.

2. The man who speculates with all his money should-and probably will-have none later on. This point is so obvious that there is little need to dilate upon it. 3. "Plan your speculation; limit your loss." Why not? Anything done in accordance with a reasoned program is better than something else done at hit

T

ized world is in complete accord. That is in the considerations which prompt people in the selection of their investments. What are these considerations?. . . . Safety of principal. A good interest return. Prompt and unfailing payment of principal and interest. These are of great and equal importance in China and Connecticut, in Nicaragua and Nevada, in Turkey and in Texas.

For 53 years the first mortgage investments sold by The F. H. Smith Company have measured up to these standards. Knowledge of this fact has spread to investors all over the globe, and has created world-wide confidence in Smith Bonds.

Thousands of investors, in every State of the United States and in 33 countries and territories abroad now enjoy the protection of Smith safeguards and the satisfaction of Smith service.

The interest rate on Smith Bonds is the highest consistent with our record of no loss to any investor in 53 years. Our current offerings pay 62%, and certain of these issues have Federal and State tax-refund features. The bonds are secured by first mortgages on modern, income-producing properties, located in such cities as Washington, Philadelphia, Pittsburgh, Buffalo and Albany. Each issue is protected by safeguards that have resulted in our 53-year record of perfect safety. Send your name and address on the form below for our booklets, "Fifty-three Years of Proven Safety" and "How to Build an Independent Income.'

Wouldn't you like to read more about
these seventy delightful days of ad-
venture ashore and afloat? Wouldn't
you like to follow the attractive itin-
eraries over the balmy seas, through
the sub-tropics to the gay Latin cities
of South America, and the charming
West Indies?

Until last year it was necessary to make two separate cruises to the West Indies and South America. Again they have been combined. The 8th Annual American Express Cruise-Tour leaves New York, Jan. 27th. Comfort and luxury throughout, $1950. Whether you plan to go now or next year send for the illustrated "Deck Plan No. 5" containing rates and full information. AMERICAN EXPRESS Travel Department

65 Broadway, New York, N. Y. Always Carry American Express Travelers Cheques

Scientific Facts

About Diet

A CONDENSED book on diet entitled

'Eating for Health and Efficiency" has been published for free distribution by the Health Extension Bureau of Battle Creek, Mich. Contains set of health rules, many of which may be easily followed right at home or while traveling. You will find in this book a wealth of information about food elements and their relation to physical welfare.

This book is for those who wish to keep physi-
cally fit and maintain normal weight. Not in-
tended as a guide for chronic invalids as all such
cases require the care of a competent physician.
Name and address on card will bring it without
cost or obligation.

HEALTH EXTENSION BUREAU
SUITE YD 298

GOOD HEALTH BLDG.
BATTLE CREEK, MICHIGAN

Outlook Hotel

and

Travel Bureau

offers a personal and free service to all of The Outlook's friends and readers. We invite you to write us your travel plans and problems, so that you may avail yourself of our well-organized service for this country and Europe.

CRUISES

The Round-the-World or Mediterranean Cruises are reasonably priced this year, and offer unusually interesting itineraries. Also South American, West Indies, special African tours, and California via Panama Canal are mapped out in well-built schedules. We will be glad to offer interesting literature and further details on any of these tours.

LOCAL TRIPS

Our own country is crowded with worthwhile and intriguing trips by motor, coastwise steamer, or railroad. For plans for your next trip write to

EVA R. DIXON, Director Outlook Hotel and Travel Bureau 120 East 16th Street, New York City

or miss. If you are speculating, you are risking. If you are risking, you must determine how much you can incur and when you should stop, even though in so stopping you lose. It is good policy to hang on to a real investment in spite of temporary market fluctuations. This same policy becomes bad when applied to speculations, for the reason that temporary market fluctuations spell either failure or success.

4. This also is too obvious to require exposition. But don't forget it.

5 and 6. To our way of thinking, the ideal speculation, the speculation with risk chopped to the bone, is the purchase of equities in sound corporations which, upon the most careful investigation, and after consideration of the large variety of factors that affect the market during any given period, seem most likely to sell higher. If the right choice is made, you are, in a sense, not speculating except to a very small degree. You are investing in dividend-paying stocks with every reason to believe that dividends will continue. You are buying shares in established businesses with real value behind them. You are, in short, doing much what the investor-speculator in real estate does when he purchases land in a growing community.

safe to say-there are no statistics against it-that most of the solid money made by buying and selling on the Stock Exchange is made by trading in equities. It is no game for an amateur. It is a dangerous game for even a well-informed professional if he buys only one stock; or if he misjudges market conditions, or if he buys the wrong stock, or if he over-buys. It is a less dangerous game if such speculation is diversified, for, if diversification is a good principle when applied to investing, it is trebly valuable when applied to speculation.

One of the cautions which we want to pass on to our readers in this connection is clearly explained in a letter from one. of our friends, A. W. Smith, as follows: "It is interesting and worth while to note the effect on the market of a listed stock when some powerful brokerage house or syndicate is 'pushing' the sale of that particular stock. Said brokers or syndicates are usually interested in the stock, and their enthusiasm, whether genuine or not, tends to create an artificial demand for it, which places it on an artificial and unstable price level. This price level will rise rapidly in a rising market, then will react sharply in a falling market and stay below its previous high level upon recovery of the general market.

"Recent prominent examples are Nash

Motors, North American Company, Barnsdall Corporation A, Dodge Brothers A, and Gillette Safety Razor. These stocks were all being pushed very aggressively by large, well-known houses in the early part of 1926. Prior to the break in the market during March of this year these stocks sold at an average high price of 651⁄2 per share. They fell off to an average low price of 451⁄2 per share. To-day (August 19) they have recovered to only 52. They fell off 30 per cent in market value, and have recovered only one-third of that loss. Over the same period the Dow-Jones average ranged from a high in February of 162 to a low in March of 135, a loss of 16% per cent. To-day this average price is 162.43, a recovery of more than the total loss.

"The logical conclusion is that you should be careful of the listed common stock which the broker is pushing by lavishly circulating elaborate and expensive literature setting forth the great virtues of that particular issue."

There is much sense in this and a good warning for those who believe that the action of stocks on the exchanges is due to uninspired supply and demand. We have quoted Mr. Smith at length to conclude these scattering remarks on speculation because we do not wish to be thought of as teachers of that gentle and sometimes profitable art. Speculation is playing with fire. Even the devil himself cannot always do that safely.

IT

T pays to look carefully into every investment trust plan before buying shares. Of course it always pays to investigate an investment, but caution is particularly necessary when considering this type because it is relatively new and there are in the field several plans which, with the best intentions in the world on the part of their managers, are not at all sound. There are some, it should be added, which are not well intended.

Recently we reported to a reader of these pages on a certain trust shares proposition. What we said suggests a line of inquiry which may be of value to others:

"We would not call Blank Trust Shares an unsafe investment. On the other hand, we would not consider it as good an investment as to invest directly in the stocks on which these shares are based. The market for these shares is, we understand, fairly narrow, and, while we haven't seen a recent quotation, we would suggest to one contemplating buying that he figure up the market value of the stocks back of the shares and compare this with the offering price."

W. L. S.

W

E have just heard of a witness in an election fraud investigation who testified that he had been bribed twentyfive dollars to vote Republican. Upon cross-examination, the fact was brought out that he also received twenty-five dollars to vote Democratic. In astonishment, the examiner asked him; in view of the fact that his vote had been purchased by both parties, which way he actually voted. The witness, with great earnestness and with injured dignity, haughtily replied: "I voted, sir, according to my conscience!"

A sign noticed above a drug-store soda fountain:

Judge: Why do you say it is impossible for you to begin serving your sentence at once?"

Victim: "Because, your honor, this is Outdoors Week."

The latest strike in New York City was that of the "shills." A "shill" is one who sits in a sightseeing bus until the time to start and then decamps in order to occupy a conspicuous place in the next waiting bus. Bus owners have found that it is necessary to have a few people in each waiting bus to attract cash customers. The "shills" provide the needed touch to indicate that the bus is just going out. "Shilling" has become a regular trade in New York. Scores of people make their living by sitting day after day in these waiting busses. The "shills" banded together recently and were able to force their daily wage from $2.50 up to $3.

Housewife: "I'm having such rotten luck with my cooks lately. The first one stayed only three days, and the second one I can't get rid of."

A featured photograph purporting to show Sing Sing Prison-"thirty miles from New York"-appears in that excellent illustrated weekly of the British Empire the "Sphere." The picture itself plainly shows Blackwell's Island, New York City, with Hell Gate and Queensboro Bridges in the background. The "Sphere" calls it an unusual picture. It certainly is.

Methuselah ate what he found on his plate,

And never, as people do now,

Did he note the amount of the caloric count

He ate it because it was chow. He wasn't disturbed, as at dinner he sat, Destroying a roast or a pie,

To think it was lacking in granular fat, Or a couple of vitamins shy.

He cheerfully chewed every species of food,

Untroubled by worries or fears

Lest his health might be hurt by some fancy dessert

And he lived over nine hundred years'

New Englanders have, it seems, not lost their flair for pithy phrases. A member of The Outlook staff very recently hired a small sloop for an afternoon's sail in Gloucester Harbor. The tiller was turned over to a friend who was, to say the least, not an expert navigator. On the way back to the wharf the curious course of the sloop seemed to excite the interest of numerous onlookers along the water-front. One of them was later heard to ask the owner of the sloop what was the matter with the man at the tiller. The owner replied, quietly, "There's lots o' bo'ts he ain't sailed."

From "Punch:"

"Please, is a life-size enlargement awfully expensive?"

"Oh, no, my dear. What d'you want enlarged?"

"It is a snap I took of an elephant."

It seems that down in Alabama politics and theology are strangely mixed. R. C. Conner's display advertisements in his candidacy for the Legislature announces that "he is for fewer books in the schools, and for the Bible against Darwinism."

"Advertising certainly pays. We lost our mongrel pup-"

"And did you get it back again?" "No, but we got two better dogs."

In this sixth year of prohibition a sign appears on the front of an employment agency in West 46th Street, New York City, reading as follows:

"Wanted a bartender to work out of town. $75 a month, plus room and board." If we

Hobo: "Ah, these capitalists! poor people only had our rights I'd be riding in my own carriage as I did before." Skeptic: "Yes, but your poor old mother couldn't push you now."

There have been twenty-five jobs for men in the motion pictures this year for every one position open to a woman. The popularity of films devoted to army and navy battles is responsible for this. "Old Ironsides," "Beau Geste," "We're in the Navy Now," "Tell It to the Marines," "Sherman Was Right," "What Price Glory?" and several other pictures now being made are using fifteen hundred men each.

A new criminal "racket" has been disclosed by a recent arrest in Los Angeles. The culprit made a practice of renting furnished homes from a realty company and then driving up a truck and stripping the houses of everything of value within them. The schemer would call up an auctioneer, asking him to send his truck. He would explain that the house had just been sold and that the furniture must be disposed of at once. By offering a high commission he was able to collect the proceeds within a few days, besides getting free trucking service.

The United States Food Standards define "Breakfast" Cocoa as cocoa containing not less than 22 per cent of cocoa butter. Many cheap cocoas (which cannot be labelled "Breakfast" Cocoa) contain not more than 14 per cent or 15 per cent of butter. Baker's Breakfast Cocoa contains not less than 26 per cent of cocoa butter, almost one-fifth more than Government require ment. The phrase Baker's Breakfast Cocoa means a pure, delicious cocoa of high quality and possessing a considerable amount of nourishment.

Walter Baker & Co. Ltd.

Established 1780 DORCHESTER, MASS. Canadian Mills at Montreal Booklet of Choice Recipes sent free

Board-Rooms

Conservative American Home for busi

ness and professional people permanently located. Living-room suite, with connecting bedroom, with or without additional single room. 508 West 114th St., New York City. Apt. 81. xcellent accommodations are offered

year-round playground. Quiet and homelike. Select clientele. Horseback riding, motoring, pack trip into the mountains and Mexico. Make reservations now. For references and details write Outlook Travel Bureau.

JOHN T. MCCABE, Animas, New Mexico

New York City Hotel Judson 53 Washington Sq.,

New York City Residential hotel of highest type, combining the facilities of hotel life with the comforts of an ideal home. American plan $4 per day and up. European plan $1.50 per day and up. SAMUEL NAYLOR, Manager.

or one looking for home-like surroundings. For terms and further particulars address Mrs. C. J. HYDE, 63 Gulf St., Milford, Conn.

Ave., Buffalo, N.Y. Superior accommodations; famous for good food. Write direct or Outlook's Bureau for rates, details, bookings.

Wyoming

ter resorts on the Indian River. Half-way between Jacksonville and Miami. New hotel. All kinds of sport available. We have houses and apartments, furnished or unfurnished, for rent and for sale, also home sites, farms and acreage. Write J. E. TORRENCE, Realtor, Eau Gallie, Florida.

COMPANION-helper for elderly lady and two other adults in Summit, New Jersey. Would be member of family. Must have health, tact, and Christian character; be able to read aloud, cook, and assist in light housework. 7,256, Outlook.

HOTELS NEED TRAINED MEN AND WOMEN. Nation-wide demand for highsalaried men and women. Past experience unnecessary. We train you by mail and put you in touch with big opportunities. Big pay, fine living, interesting work, quick advancement, permanent. Write for free book, "YOUR BIG OPPORTUNITY." Lewis Hotel Training Schools, Suite D-5842, Washington, D. C.

HOUSEKEEPER WANTED. Woman with executive ability and refinement; one who has had experience in household of ten or twelve servants. Must be conscientious and thoroughly competent to take care of the culinary department as well as house proper. Personal reference required. No letters answered. Apply in person, Thursday morning, September 23, at 10 o'clock, 416 Parker St., Newark, N. J.

INTELLIGENT, industrious woman of thirty or thereabouts to direct food preparation and service in a small high grade institution. Box 17, Harmon-on-Hudson, N. Y.

MOTHER'S helper, competent, intelligent woman of agreeable personality (not servant type), to assist in home duties. Protestant family. Mrs. David Sternbergh, Sinking Spring, Pa.

HELP WANTED

SWISS French teacher or highly recommended governess to live as member of family. Must be interested in progressive educational methods and fond of children. Congenial, happy surroundings. Apply to Mrs. Henry H. Perry, 200 Prospect St., Belmont, Mass.

WANTED-A gentlewoman to take charge of the linen room in an institution. Apply 7,235, Outlook.

WANTED-Reliable woman for cooking and housework; family of three; all conveniences; small house in country; permanent position; good home. Answer to P. O. Box 265, Phoenixville, Pa.

SITUATIONS WANTED

CAPABLE young woman, pleasing personality; some hospital training, fond of children, desires first-class position, nursery governess, "elder sister," companion institutional work or any position of trust. 7,248, Outlook.

COLLEGE graduate with three years' teaching experience and twenty-three hours towards Master's degree in history desires position small university or private school. 7,246, Outlook.

CLUB HOSTESS - Household manager, supervising housekeeper (54), tactful, Lewis trained, hotel experience. References. 7,227, Outlook.

COMPANION-secretary to elderly lady, by clergyman's daughter. Exceptional references. 7,186, Outlook.

GOVERNESS, mother's assistant. Educated, experienced woman, good sewer. 7,251, Outlook.

LADY. refined, cultured, competent, supervising housekeeper, companion, or chaperon. Would travel. Highest credentials. 7,245, Outlook.

OPPORTUNITY of going South caring for children. References exchanged. 7,255, Outlook.

PHYSICIAN, hospital consultant, New England descent, experienced Continental travel and residence, Huent French and German, wishes accompany elderly, or nervous invalid, European health or winter resort. 7,243, Outlook.

POSITION wanted by young lady of culti vated family, as governess, preferably for young children, or companion, in family residing in Washington, D. C. Has knowledge of French and art. References given. 7,249, Outlook.

REFINED young woman, French, English, German, wishes position as oompanion or governess-companion. Middle west preferred. Will only devote herself to gentile and genteel people. 7,244, Outlook.

WANTED, by Canadian university graduate, 22, position as governess, tutor, companion. Teaching experience. 7,229, Outlook.

WOMAN of refinement, traveled and experienced, as companion-housekeeper. Has held similar position fourteen years. Excellent references. 7,242, Outlook.

MISCELLANEOUS

TO young women desiring training in the care of obstetrical patients a six months' nurses' aid course is offered by the Lying-In Hospital, 307 Second Ave., New York. Aids are provided with maintenance and given a monthly allowance of $10. For further particulars address Directress of Nurses.

WILL take boy or girl, 13 to 17 years old, to attend school and live in private family in Maplewood, N. J. 7,231, Outlook.

RIMROCK Farm-For little girls and boys of school age or younger. Katharine E. Salkeld, Petersham, Mass.

NEW York shopping without charge by an experienced shopper. Reference required. Hattie Guthman, 530 West End Ave., N. Y. C. BOARD-beautiful private home near station and school. Will take responsibility children. References. Telephone 3393-W, South Orange, N. J.

UNUSUAL opportunity for college man or woman appreciating refined environment to obtain comfortable room in homelike apartment near W. 157th St. subway station. $7 weekly. References. 7,252, Outlook.

PRESS OF WILLIAM GREEN, INC.

L

'N the NEW 13TH EDITION of the ENCYCLOPAEDIA BRITANNICA, just off the press, a flood of new light is thrown upon the tremendous developments of the last sixteen years those transforming years which have brought about acompleteand startling revolution in human life.

The New Tempo Americans are entering upon the greatest era of opportunity the world has ever known. American life is achieving a new

rhythm-a new acceleration. The

clacking of horses' feet has been replaced by the purr of motors. Foundry fires burn day and night. Rivetting machines chatter.

Bricks are swung upward by machinery-twenty, thirty, fifty stories. Overhead the air-mail hums by. Underground, thousands are rushed to their work.

Over our breakfast fruit juice we read about men flying over the top of the world.

The Amazing Story of Human Progress Today,

new opportunities are presented almost hourly; new demands spring up overnight; new means are provided to supply them.

A new discovery is made a new process perfected-and, in a twinkling, a new industry is created. Fortunes are won; thousands are given new employment.

Scientists and Economists have made it possible for you to clothe yourself completely, without employing one single substance found in nature.

The Chemist, by clever manipulation of Coal Tar, furnishes delightful perfumes in enormous quantities.

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The fascinating stories of these new developments are told in the new BRITANNICA.

H. Brearly describes a new process for making rustless steel. Ethan Viall tells all about Thermit, a new compound which, only last winter, saved the inhabitants of a Pennsylvania town from the menace of an ice barrage, by melting the ice with a heat of 4,500 degrees Fahrenheit.

Stride for stride with the progress of man's achievement, the ENCYCLOPAEDIA BRITANNICA has recorded and interpreted the

knowledge of each age, always progressing, always in advance of its time. To the 28 volumes of the latest standard edition have been added three new volumes

and a new, enlarged Index Vol

ume. These 32 volumes comprise the 13TH EDITION, which carries you right up to the very threshold of tomorrow.

Complete and Authentic

The new BRITANNICA supplies the very facts you need. Only in these pages can you find the last authentic word on any subject of importance. No longer need you guess. Now you can KNOW.

This universal guide and counsellor puts the leaders of world thought instantly at your service. It is a 2,500brain-power ally, always ready to help you in an emergency.

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State..