The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1871-05-05
TIVE 81 FESr INVESTMENTS.

From the NJ Y Times, Maya.
We hope we may be psrdoned few timely words
on "safe Investments" There need be no competl-
tion between the New Loans for refundng the Pub
lie Debt OF the United States aud our new Railway
undertakings, or their Bankers, while marketing
their mortgage bonds. The Treasury in the last
two years, has released two hundred and five mil.
lions OF capital previously invested In United States
b9os and left this sum, nearly the whole OF it as
Few OF the bonds redeemed have been drawn from
Europe), free to the encouragement and extension
OF our great Railway system. In proof Of the
ehect OF this policy, we may instance that,
in 1869, no less than six Thousand miles, and,
in 1870 about eight thousand miles OF new Roads,
Roads not previously competed, have been added
to this unexamped monument OF American enter
PRISE But withal there is a large and wholly diff
ferent field of investment, which ought not to be-
and, we believe, will not be, disturbed by Railway
undertakings, however wide the difference in the
rates of interest which they promise to paw as COM
pared with the Public Funds, bearing five or six
per cent. in Cold, free OF all taxation, and subject
70 no contingencies or periodical embarrass-
ments, even assuming them to be temporary,
and not chronic in their nature, to which
most corporate undertakings are neces-
drawbacks, the higher rate Of interest would weigh
but little against the consideration of stable and
perior security. This higher rate whether we call
., or or per cent. per annum certainly tusti-
fes the risk OF buying Railway Mortgages as an in
wealth OF the private purchasers but 1t is scarcely
prudent that his whole means, IL he has retired
from active business to live upon his income, should
be left subject to the contingencies that necessarily
surround this class Of investment. Least OF all is it
desirable that moneyed corporations having to do
with trust funds savings funds should be led into
1.-THE temptation OF large interest on Railway Mort
cages City and County Bonds or Bond ana Mort
Eage on unimproved Real Estate at fancy Valuations
when the very nature and obligations of their bust
ness imply the duty Of selecting the ighest secu-
rity at moderate rates Of income, rather than in
dulRing in the chances OF making more income with
Advantage is taken by some of our Bankers
I'm Rav hnn Off fha ftv
that the United States 520s may be called in for
demption at no distant day. to advise the holders to
convert this security into their own They promise
the same higher rate OF Interest in Gold at a
much lower price. They urge the 500 holders to
make certain of the difference at once which 1t is
said they can do without importing, by the change,
the perfect security OF the investment, We doubt
be given in all good faith put assuredy lis advice not
PROF to be taken by that class of quiet, weltodo
people who are accustomed to hold and prefer the
Public Funds of the United States as an unfailing
source OF steady income as rising security in the
confidence OF the whole world, and as an investment
to which they subscribed, perhaps In the darkest
hours of the nations trial, or at the close Of the
great war, and which has been growing stronger
and in higher appreciation ever since. We do not
propose to institute comparisons where in one sense
there can be none but we make free to say to this
funded into per cents, the Government security had
best not be parted wtth. The very fact that
the Government can borrow of others at
safety of its Bonds, and it would
scarcely be possible to make these prudent people
Ieel as OT SECURE Win any OtHer
however bright the prospect may be made to look for
prompt payment OF interest through a period of
twenty or thirty years. We could instance, from
our long experience as reporter in Wall street.
many painful cases OF disappointment, some of them
Of recent occurrence, where large promises and
great expectations based in good part on distn-
guished names IN negotiation, and equally distn-
guished names in management, have turned to ashes
after few years Of fat dividends, by freak of
fortune, sudden turn OF bad luck, incident to- If
not inseparable from, the undertakings involved.
To men of wealth who are constantly on the look
out for specuatons' in the street, and can afford
to risk part Of their means for the chances OF
extra profit extra dividends, such disappoint-
ments come in the way Of business, but 1t is not so
with well-to-do people, in city and country, who
seldom visit the Stock Exchange, and who for
quiet life had best keep their money at per cent.
in United States 5-2Os, until they are called In for
redemption, and then make haste to secure the
next best rate Of interest on the same solid Sc
CuritY,