Lyon County times. [volume] (Silver City, Nev.) 1874-1907, 1876-01-01
70 STOCK DEALERS
STOCK SPECULATION ON A
SAFE BASIS.

To the public who deal in stocks, and p.,.
ticularly to that class who have neither ~
willingness nor ability to take the great r,sls
attending the method Of dealing heretofore IN
use, the feasibility Of way to speculate on
large scale upon the payment of a small sum
of money, with no possibility of loss. othss
than the forfeiture Of the small Amount y,
money originally paid lin the event of ths
particular stock dealt in not rising or falling
according to the expectation Of the operator
and with perfect freedom from Ill liabillt,
for 'more mud" the system of STOcf
PRIVILEGES, known A. PUTS" and
CALLS" properly and honorsbly conducted.
commends itself beyond cavil ~ the only
plan of operating. Were this not 80, WIN
would such extensive dealings in stock Priv
leges be carried on In all the great stock cen.
tiers Of the worldi For years the system hss
met with popular favor and patronage in
Paris, London and New York, and within the
past year has grown to large proportions In
San Francisco. Many fortunes have bes.
realized In this way by persons beginning wifi
small investments. II is true that one cannot
always make. for II the particular stock dealt
in should remain stationary until the expirs
ton of the Privilege Contract. the purchaser
would lose the payment which he originally
made but can lose no more. Heretofore there
have been for our public only the following
methods of dealing in stocks:
First--A purchase upon the payment of the
purchaser runs ouly the risk of depreciation
In the value OF the stock. which IL great risi.
oftentines being nifty per cent. in . singie
week or month
Second--A p, .rchasc upon the payment Of
| part Of the cost of the stock (say forty per
| cent, generally known ~ buying on mar.
| gins'--a system fraugbt with great dhnsesf
| and equally as bad as ''mortgaging ones
| homestead" having brought many . person
to beggnry
| Third--A sale Of any stock to deliver At
| future time, the person selling being without
| the stock and anticipating decline, with the
expectation of buying 1t in 1t lower price
before the time Of delivery expires. This 10
| known as selling short" and requires psv
ment down of at least forty per cent. on the
market value Of the stock aud entails unlimit-
ed liability on one who thus operates. Ger.
| tainly no proper-minded person can commend
it to the people.
In contrast to the above old system Of stock
speculation, the Privilege or Put and CALI
plan is far preferable. In New York heavy
stock operators, such Russell Sage Jsy
Gould, Daniel Drew and others, sell puts
and Calls" only in large parcels to any on.
purchaser, and in San Francisco there are ais,
wealthy operators In and out Of the San Fran
| cisco stock and Exchange Board who sell thiS
same character OF Privilege only in large par
GELS. These Privileges can always be bough
in San Francisco. but only In large lots.
To utilize these Privileges obtained from
big operators and to give the public an op
portunity to take advantage Of them in small
er way, according to the ability or desire o
each person, is within the province Of Brok
er in Stock Privileges. The people are tn
sole srbiters Of any matter Of public interes
and never fail TO appreciate what Is good sn
reject the contrary for they act from prin
ciple based on results. AS IN politics the plat
form Of party provides the test for success
of the canse, SO in stock speculation has th
plan Of Stock Privileges been tried in the cru
chile Of public opinion and has become ther,
by more popular every day.
The explanation Of the Put and Call" ~
tenn may be given as follows:
Put" Contract enables the holder Of II
make a profit by fall III the stock below Il
price specified In the contract. This chAra
ter of contract Is signed at price below II
market value OF the stock at the time OF iss
ing the contract, and reads rs follows!