Judge — June 23, 1923 — page 28: what you’re looking at

Machine-transcribed from the original scan — historical spelling and the odd misread are preserved.

Meticulous Husband (after darting this way and that)—Have an eye to the fitness of things. INVESTMENT BUREAU | Subscribers to Jvvar are entitled to an- suere to inquiries on financial questions, ani in emergencies to anawer by telegraph. No charge is made for this service. All communications are ‘treated confidentially. A two-cent postage stamp should always be inclosed. Addreas all inquirice to the Fi- nancial Editor, Supa West 43d St New York, 9 me and ezact direct addreas. Anonymous communications will in no case be answered. Caution and Safety by Theodore Williams HE spirit of caution which has prevailed lately in the financial and commercial world is very assur- ing. It tends to prevent inflation and wild-catting, and it keeps the team of progress well under rein. Doubt as to the stability of business has restrained those who might otherwise have ventured rashly, and similar skepticism has toned down the impulse to wild speculation on the exchange So long as this mood rules in enterprise and investment ra- tional procedure and safety may | counted on. Producers will not aim at excessive outputs, dealers in materials will avoid wanton profiteering, labor will subject its demands to sober second thought, and investors and speculators will be careful. it Dee popular attitude is a powerful theck on practices that would even- Con- the power which lies in tually unsettle existing prosperity. sumers re: a buyers’ strike boycott und the public will st and may be trusted to y high commodities, and out of the securities market when it becomes too plainly the football of manipulators. The sw of the pendulum too far in either direc- tion is the thing to be averted. A moderate, “middle of the road” policy all around will give st ess to the processes of industry, commerce and finance, with better ‘results than those of feverish activity. This is a day not for bold speculative buying, but for seeking bargains in investments. These are still with us. Answers to Inquiries L., Currox, N.J.: It is hardly safe to allow indorse- ments by prominent citizens to ‘influence one in deter- mining the character of a mine unless these men are business and mining experts, and so qualified to express a reliable opinion. No testimonials can make up for lack of merit in the property. The pmpany'of Arizona, was organized in 19 as been selling its stock for nearly four and a half years. It has a large corps of salesmen and these have been using high wure methods. Will the sale of shares ever stop? the property now owned by the company was formerly controlled by the Mascot Copper Company, organized in 1907 with a capitalization of $15,000,000, but which Remember that’s a potato masher. did not make the mine profitable next leased to the Americ: pany, which before long turned i ontained no copper ore nd then is there for believing that the Central Copper Company will succeed in making the minc a dividend payer? The salesmen have been disposing of t at 75 cents per share or nts above par valu is a strange proceeding better buy the stocks of companies that are dividend pa I think the above statements justify me in declaring the stock the company to be highly speculative, and in no sense an investment. Aexaxpnta, Va.: At par the ten year 6 per cent. wwe bonds of the Washington Gas Light Compa offer a reasonably safe investment. The company doe the entire gas business in the District of Columbia, and some of its subsidiaries operate in M 1Vi The business of the Washington has been established for more than 7$ y ings for the past fiscal year were twice the interest ch G., Torepo, 0.: The A. O. Smith Corporation is the largest manufacturer in the world of pressed steel mobile and motor truck frames. The plant is I in Milwaukee, and it supplies a number of leading auto- mobile companies. As the earnings are much more than sufficient to meet the interest on the ten year first (closed) mortgage 634s, the latter look like a very dependable purchase. What Ed Tomison’s latest invention—the refillable oar. No fishing trip a success without one. With one it is unneces- sary to row the boat around the lake. After several samples the lake will move around the boat. All bonds issued by the new rope are necessarily speculative. Condi- over there are far from having been settled on a safe lasting basis. It is possible that Jugoslavia may prosper to such an extent that its bonds may be desirable, but at present their purchase is too much of a risk for conservative investors. The big decline in these bonds indicated the uncertainty of their OAKVILLE, Cony. I hesitate to, advise you to sell your Virginia-Carolina Chemical stock at the present very low price. On March 28 last the directors stated that the company had shown substantial improvement in 1922, compared with the previous year. The com- pany hs called in all its ten-year convertible debs. due May, 1924, and is redeeming its fifteen-year 5 per cent. oll bonds due December 1 next. The report for the iscal year ending May 31, 1923, will not appear until the end of July. I deficit of more than 81,950,000. TI be doing a little better this ie future price of the stock depends on whether the fertilizer business will fully revive or not. L., Pumaperents, Pas.: Your sentimental reason for purchasing the new bonds of your former country, Austria, may outweigh with you any practical objections to them. The progress of late made by Austria reflec favorably on her cbligations, but Austria will have to undergo much more betterment before she will reach a strong financial position. These latest. bonds. even with the guarantee of England, France, Italy and other European countries, will probably be regarded by con- servative persons in this country as in the speculative rather than in the investment class. The Morgan sponsorship will aid this sale, and the limited amount 26 offered in the United States, with the liberal interest rate, may induce many Americans to buy them. New Onteans, La.: The Republic of Panam. thirty-year 543 per cent. external secured sinking fund gold bonds appear to be sufficiently well protected t make them desirable. ‘The bonds are secured by pledge of income from first_mort City real estate, and by lic of Panama from the not redeemable fo 1. The proceeds constructing me the resources of Pai bonds are payable in United Price was such as to yield over F F,, Cuargsvitte, Va. I do no the of the common stock of the Virginia-Carolina Chemica ompany, either on margin or outright. ‘The com any's outlook has improved partially, but the fertilizer business has not as yet regained its former. prosperity ‘The common stock will have to wait for dividends uniii the arrears of dividends on t red stock have been paid. Better put your money stock that is a dividend payer and whose purchase would be less of gamble P., Wanexs, Miys the Fred Fowler Sm syndicates are high! them n payments of div d to develop erest of th The offering ion regarding but all the o: speculative ventures. Soi dends for a time and then Most of them make no returns whatever and f them are simply fak Beracax, P.L: I have no statement ndition of the Robertson Paper Company At that time the ris a was only is was ‘ealculated after the sale of pre ind giving effect to the cash red for e sheet ignored mention of the stocks hould have been included. If the aggre a big percentage Be Matato regarding the g later than 19 344,000. T ferred stock it. The bal |. whi stocks look for the pid. dividend is not s Raver, Vr: The United Eastern Minir Company is one of the best regarded of the minor mi enterprises. It has been a frequent dividend pay and it is now making a return of 60 cents per year. Like all mining ventures it has had ups and downs and the stock is only a fair speculation. Middle States Oil Company is pre quite rapidiy, but it will probably ny years before it can reach the proportions xas Company. The Trippe-Reflector Cor 's circular states that production will begin ¢ concern has not y be highly cul: ly purchase pmmon has I see no present reason for its gettin igher than that, or as high. The stock has never paid a di dand probably never will. It is an out and out gamble, I would not advise gambling in it. B., Herstsnoro, Aua.: making an excellent return but although the corporation is prospering, there d not appear to be any likelihood ay market in the stock. W a thing with a fine yield. has such good prospects t stock at a loss. It booked rgely in excess of tho: f 1922, The deficit of $131,000 in 192 be turned into a substantial profit this possible that the dividend will be resiimed within a twelvemonth. Unless the prices of your holdings should make a big advance from your purchase points it would be well enough to hold them. You probably obtained your Oil Lease Development stock as a bonus for p chasing bonds or as a stock dividend on Middle States Oil, The company is progressing g1 a startling extent. It r but I should be tempted t ng is good. , Lovisvinte, Kr. an Tel. & 1 be a good investment for ong ot ks of merit and attraction are thern acific, and Ameri r Works & Electri¢ first pfd The Louisville Gas & Electric € is controlled by the Standard Gas & Electric a strong and flourishing corporation. Its_pfd, stock, paying 6 per cent.,has merit. Standard Gas & Electric 8 per cent pfd. is more desirable, D., Kansas Crry, Mo.: Most of the you mention are good business men’s invest R. R. first lien and ref. 714 per cent. bonds, your purchase price, and they Rican American Toba gan ovipence, R. Ene R. R. h this year as 1314. neral Motors common is its present market price. Il the sl urities which nts. Cuban selling IF INTERESTED IN BUSINESS AND FINANCE, keep informed by reading the Bache Revi ten talaute weekly summary of the busine: financial situation. It focuses and interprets currents of to-day and indicates their trend. Sent to business men for three months, without charge. J. S. BACHE & CO. 42 Broadway New York City