Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1876-01-14
MISCELLANEOUS
TO STOCK DEALERS.
O SPECULATION
ON a a r BAels.

no THE PUBLIC WHO DEAL IN STOCKS.
aud particularly 10 that class who have
neither the willingness nor abtlity 10 tafe th-
graf rishs attending the method 81 DEALING
heretofore In uss. the feasibility Of away ~
ppssu,.ts on . iarge scale upon the payment OF
a .mL III .um OF money. with no possibility OF
lcss o,hes than the forfeiture ot the stnAil
Am .un, u msnsy origin liy psid lin the ev.nt
90 the particular stock dtat In not ri<ing az
falling. acc riding &, the expectation OF the
o. orator.. aud with perfect frcedoli from all
iiabiiiiy for more mad." the system Of
STOCK PktviLkGEs, Known ss .PUrs"
and "CALL.S," pespcrly and hoDorAbly con-
asctcd. eommsntr ts~if t~Soni cavu - The
oaly plan u opsrsting. wsse this nos ~. Why
I-rvs 10 caFrisd on In all ths sreat s.oeh cen
ters of the voriiy For years. tbs sysiem hs
met vita popular favor end pstrousgs In Psrss.
London sad sew York. and within the pest
ytsr has gsovn In lsrs- proportions In Nan
~ this vsy By p~rsVns beginning with ANAL
4. vestmsn,s. II Ia true thai one esnoos Alway.
make. for " the particular stock dealt In should
reaala stsyeusry until The expiration OF the
Privilege Coatract tue purehsscr wonii h"sr
the payment which h. originally made, but can
io.s nS more. IIsrslofors there have been Tor
ous pablo only the following methods Of deal
ing in stoska:
sirt-A purchase up,n the payment Of the
whole amount Of money. In which case the
nufC0M<0I runs Only tus usA Y" surtr~ts.aN
IN the vslue Of the stock. which Il . great rex.
oftcntimes being nfty per eat. I'm = single weeA
~ month.
s-cond-A pareha-e upon the payment Of a
part Of the cost Il tse stock IA, for5 psr
cent }, generally knovn ar buying on p" mar.
gins"-a system, frsnsht with great danger. and
equally a. bed ~ aorg~sinf ones nome
st-si." hAsin: brought many q psr-on ~ bag.
gary.
tur. tim.. The person selling bsins without, th.
stock AL anti ipstiny . decline. with he ea.
pectaiion % bayIlg u IN n , lower prtca b fore
ihs time 10 deliver, expires this r. Known as
selling short" and requires : ta5msn. down
Of Of ie.si forty pee cent On the mArtet value
Of tive siocs. and entails uuliniied liability ON
one who thus operates. Certainly no proper
minded person eau copment it 10 the people.
In contrast TO thu sbovc old system Of stock
speculation. the Privilege. or : Put and
.'csii.- plan :. far preferable. In New fofs
heavy stack operators. such ~ Russell sage,
jar Gould, Daniel Drew. AMI others. sell
.. Puts and " Calls" oaly In lsrss parcsls Co
any one psrchss~r. and IL San Francisco thsrv
arc slso wealthy operators In and out Of the
san Fnneisco Stock and Exchange Board. Who
sell this came character OF Priviiese only IN
large parcels. These Privileges eau always De
bought In san fnnclseo. but only In iars. lots.
To utilize th-se Privileges obtained from big
70 lake sivsn,sss Of them in : similar vsy.
according 10 toe ability os desire Of eaea per.
sou, 10 within the province Of . Brok.r In
stock Privileges. The people are the sole ar.
ostss Of any matses Of public Interest. and
never fail 10 appreciate what IL good and rcisst
the contrary I: f5s they set from principle. based
on rssults. A ~ politics the platform OF .
party prsvidss the ts-t for success ofths esusc.
81 In stoek speculation has the plan OF stoek
Privi eyre been tried In the erueibls Of public
optimism. aud has become therebs more popular
svssy day. -.
The eiplansticn Of the "Put" and "cAn"
system may be given a. follow.;
A"put contract enables the holder Of u to
make q pront by Q fall In thu stock belos the
yries spscined In the contract. This chArseter
u contract 10 signed 81 . price below the mar
bet value Of the stock 81 the time Of issuing the
contract. Aod reads a. followsi