The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1875-07-29
Dn,oan. Sherman 6 Co.-New YORK
Finance.


The failure of Dr~cAS, SHERMAN 4 Co., OF
New York, announced on Tuesday iast'
seems not to have had any serious effect. IL
does not apper that they carried any others
with them to the Hades OF tie nnanc'ai
world. We suppose that their Chief laoi'l'
ties In this country are as trustees or hnan'
cisl agents for corporations, rallroau anu
others. Il was house in very respec'ao'e
standing and very much trusted. us co''ou
Transactions. we're immense, and theFc Is
afloat, 90 doubt, large amount OF paper Vi
the firm on that account. part OF LUIS we
conclude Will involve parties in the cotton
markets Of the South.
DrSc.s. SHERMAN & Co. were staggered IN
,7a-,72. and we may conclude that they did
mot fully recover, and In an attempt to re-
store their fortunes by speculations in
c,tton finally fell. They have met the
very logical consequence that generally fol-
lows the combining with the business OF
bsnkip. that of speculation. 1t is dam
cerous business alliance. Tue broker and
banker should avoid speculation, and hold his
money as consecrated to bis business ana
pledged TO his customers, wi DO confide in him
implicitly under the impression that there Is
little hazarded in trusting him, as his money
is employed exclusively in bis proper bust
ness.
The bankers and brokers Of New York
have been given to most reckless adventures
Their speculative passions have ruined the
most of them and greatly embarrassed the
business Of the country. IN great city IKE
New York the settling point OF the domes"
tic and foreign trade-the business OF cX'
change broker and banker is very agreeable,
very safe. and very thrifty. The sasaolous
businessman who bias good name anu VIII
coptine himself strictly 10 his BUSINESS VIII
live happlv and steadily thrive until nc may
with competence, retire peacefully 10 i'c
the afternoon Of life. But few are content
with this. Most of the class embark in specu'
llion in stotks, gold, tobacco, and, as with
DUNCAN, SHERMAN g. Co., cotton. Not lew
we are sure, misuse sums RENTED ny cor
respondents to carry heavy specuiatiops from
day to day and week TO week. The failures
of such persons have caused great deal
more caution than was formerly observed IN
making rcmi.tanccs 10 New York.
1t would be all the better for the New
York brokers and for the country if spccu'
lation were altogether discontinued among
brokers. No Spectator should be trusted
with other peoples money. The Spectator
ln,, and tn-n1 r..
row, i, cannot be supposed that there
should be chances 10 make money at specula'
ton without mourning the danger OF loss.
Besides the peril of loss, there is tendency
10 immortality in wild speculation that makes
the speculator peculiarly unreliable. Mems
consciousness is blunted and culcebled, and
they in time practice cxpedents to continue
their occupation which at previous day
they would not have dreamed Of nor tolera-
tea.
There is something radically wrong in the
business of finance in New York. Fortunes
were made there so rapidly during the war,
and the overgrown fortunes in New York
are so numerous, that bad effect has been
wrought upon the minds OF men seeking
wealth by dealing in money. Those fortunes
are too large and too rapidly made for healthy
hIancc OF healthy morality. A bold ar ID
desperate stratcgy-much of it dishon'
orable- has ensued, that has caused
great deal Of disappointment and distress
and has fearfully dcmoralized the circles o!
ii nance.
We all have seen the effects clearly, and
what is worse, we have felt them severely
for the country has been sufferer.
With regard to the failure of DUNCAN
SHERMAN g. Co., we repeat it does not seen
to have had disastrous effect in any OF thu
large cities. II is, we think, plainly cas'
tdcd over from '73, and one that speculation
80 far from saving, tiualy brought to 4 iata
conclusion. We perceive no great excite
meut and DO sensation about it. Even TIT
numerous travellers in Europe using'th'
letters Of credit from the ruined house art
said to have been protected.
New York has received some terrible les
sons of late years, and 1t is to be hoped, for the
good OF that city and the nation, it will i'm
prove the systems Of finance that have beer
followed to too great an extent there ant
adopt wiser and more houest ones.
y. rAr-