Assaying the Market

David Sargent's book is full of sound advice for novice and sophisticated investor alike, no easy matter in the complex field of investment. His clear-cut and informal style makes it almost impossible for a reader not to understand what he is saying.

Let's assume that, without experience in the investment of money, you unexpectedly receive notification that your Great-Aunt Nellie has left you a legacy of $50,000 in cash. Sargent will take you by the hand and lead you through the basic rules you must know before you invest a dime. He points out the pitfalls which await the unwary and the positive course of action to take before investing. Or again, if you consider yourself a reasonably well-informed investor but are unhappy with your portfolio, you will find excellent suggestions on how to improve it.

Discussing the multitude of investment vehicles available — stocks, bonds, warrants, tax-shelters, and so on - Sargent does not stop with a description of each. He comes right out with a list of recommended companies in which to invest, complete with statistical data such as price, earnings, dividends, and yield, followed by a brief report on the activities and prospects of each.

This is a fine and helpful approach, even though all prices shown are March 1974 market prices, some of which bear little relationship to the prices of 1975, the year of publication. There are not too many such lists, however, and on balance they are useful in spite of the price differential.

Sargent's book is not simply a review of past history; it is up-to-date and forward-looking, with chapters about inflation, the energy crisis, gold, zero-population growth, and what you can do about them.

Obviously in a book of this length Sargent cannot possibly cover every subject in great depth. He makes no pretense of being scholarly, but he offers a vast amount of information in easily understandable language, reflecting the many facets of the present-day financial world.

STOCK MARKET PROFITSAND HIGHER INCOME FORYOU. By David R. Sargent '42.Simon and Schuster, 1975. 285 pp.$8.95.

Mr. Sawyer has had 43 years of experience inthe investment business, 21 of them as managerof the Back Bay office of Kidder, Peabody &Company.