New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1892-01-10
THE BOND BUYING BUSINESS.

THE BOND BUYING BUSINESS.
There is a man IN Gotham Town who IS so won
drous wise rs 10 lind beth pleasure ana profit III Tue
daily pcrlral Of tie official reports, ~ published III
the newspaper, Of tia country of the proceedings 81
state Legislatures, oar> OF County >lp'INl'ui>' ''i
even Of city. town and village common COUNCILS
such reports are not usually cnlivening matter eN"h
when the speeches Of members are given ia full nnd
the aspcrtics Of debate are brought out The oi'iaI
use Of directing crcS' hc"ds WHICH mSht ana !nc
reader 10 pick out the wheat icOm he chan ana te
in the smallest Of type. ~ II the editor Knew tha1 no
this Gotham man undciroe> in his uresome search
for valuable information IN such hpu''N1 'o'"'s
publications.
What possible value can these Official report oil
distant state, counties and cities and towns ana VII
lages have for anybody ia Ncw-lork' \ great deal
They are partly the ta,i- Of very important hn'i
Hess which has grown up in New-iorl from very
Insignificant proportions. The Information 4"'"e"
from these reports j, furnished 10 and ancc'S ma
tcrally the business Of some 81 the greatest "Nc't
mcnt banks and banker, and iriSt ana insurance
companic, IN the country. There Is not an enter
pslng investor in any OF the large cities WHO pre-
tends to do without the information condensed ir'"
these ropolts and self to them daily IN TYP" written
form. The bankers, trI>t and insurance men '"'e
these conden,ed summaries Of the 0h''"' p",''N''7'
Of tile legislative bodies named in order to MIKE pu
cliases Of entire bond .sues They desire to be "u
vised n the yer, earliest moment Of any proposes
state county, mnn'lrAi, Watri Norhe "' innuo'tnmcn
way bands to be issued It : Of the utmost linpor,,V
to large investors To be elIiN alFNr" W l"u 'b,.
ccptun of such pr pD>od loans. In ORDER lat M
may inform tbcm,el - q I'M hhlH'la cuIu''.", or
the body corporate which Is about 20 nc'pnj oV ~
rover and rs to the legality 81 me PROPOSE ,t
iondS Each of the lngge Investor h;i' HnU,'"''
client, or customer who are l"lkin- ipr s,.pcn
curities TO stow nw1Y IN strong DoNr, d. - 'donJ
Investments and being Informed IN uiic ~ 10 ~"
loan about 10 be placed the han"e ,aNn o, hcfrro
fractional parts 81 The proposed i,elc even u,p'
hcy bid on It, dcIvcrg being conditioned, o Course
on their success in hcin- awarded the bonds
"To illustrate Till idea. said the deliver In these IN
interesting report, 81 HAY cite you an lI'''V''o"'
We issue II bulletin announcing that Ne.'r7' Inn
4 Stanton had bought block OF wheeling Doh">' i"o
next day a telegram from Mcssrs Fisher oha"'
prominent Ianhcrs OF Baltimoc, asked rs To learn ~
what price rl.cso bonds could be hal from the orig
;noI unrrhas,r, Mess Coffin n stanton. ~ rcW
York Cty. went {" IN" latter irin ala2 'uo,ci.pcrs
to service. and showed tncm .n' ,rp?'"n d In
Mc,sr,. Fisher a Shaw. sorry, my bol' H'lu ~
ana nin anu I'.'i haven't cot thc bond, from Wheel
inc vet bnt they ar, I'll sold TIE tnnsaciion, were
prol,abiv completed before Messrs. Conn a Stanton
knew that they were IL: successful b'n"''''
"Tic importance Of early and accurate Information
4 illustrated I'm another wny.7 continued ihr CENT?
man who seemed really absorbed In work n'uhiN ~
rorded ~ rcpu>ive. Before This system was III
vented by ~. ScNrfil N'sif~ H~'' MINNIE WIZ '
ally applied 10 cts ori,n for Information either ="
no ielpv or n much della, ID Response OF IN ind'hi""
character But officials reply to rs ~ representing
large number Of investor when they VIII Mt r'pF u
lnoulios or single firm. The bankers had often To
send special agent, ~ distant places Tor the lh'o'
nation desired IN" moment We learn nom 'l'S'
nici,l rcpor,s II q proposed bond Issue "" obtain ut
oucc an official report the fnan" nj condition o ma
city or town. THIS send pni In tl' qua l' 49,
D.. %. the clY 90" iu'pfrail Do COME - i'i'' ,
,n.sly ,.i II he spends hundreds oi dollars ~ -'hiE
nm agent 10 investigate We gIaratee That the n'ls
S,,o a., rcnort and Tint they are fuller well a- later
than could he had from tr printed annual '.P''' n
The nuancial officer >igring The report u ~ uut
report i fuller becnu.e We ak questions not "Su'S
printed en- The annual reports
When y bond l>sc Is If great magnitude the big In
vc,,or. who have early Information 81 the intention OF
city or - . railroad &, borrow largely. eirraIN N'Iu
n man ~ eNpcrlcnc" 10 cNnm!nc critically INTO '"'
various questions involved. These men. though men
81 experience are generally young>icr, rocTi'ei h"m
college, who pass u few year, IN a bank OF banker
office and there learn how to inveStlgat" loan IbeN
orc to be- seen in numbers about cy halls and control
lar', Offices whenever there bids 10 be- made or p'
po>nls 10 be opened. They are nhtV Young Ie!i'"H'
pfosporous appearing ard keen looans' ana Hlsht
pas with those who do nnt know their mission ~ ""
yer's or bankers clerks but they are rally tho advisers
Of investors OF millions OF money in important 'rcui1-
um offered might result In considerable los. these
men inquire very strictly into the legality Of an Issue
of bonds, \ short time ago New-lork house lou'u
that nm issue Of boud. by city IN Newton" H'a'' "''
Illegal because ut the special election held to vote on
bonding the city only fo"r MAJORITY was gwen Tor tnc
proposition. aud more than fur vi the persons NouS
were found not to b. wAIicr> ana iht.'f''c mpt
legal voters purely h.ancinl pioi9-l'loh' ln'
election had 10 be- held over again to legaHIc lhe
In the ease Gi al Sn"c VI ~ Loo o00 all bids We're
dasi rod pf 1911
yitcd for the same b. nd at two different ih", 81 ~
ter.-t. The legality Of 90 i->de blnS cSlI,l'u w.,
Young Investment agent must ma ont ab,li inc NHl'
~ security offered i'c must discover the pi"Vou-
H,ndcd dsbt Of the proposed borrower; the probable
nontIng delt: tie Probability If other i-u, lcns
offered before Ia" present could bc disposed Cf.
thc assessed valuation ~ g cts or town mortgage
value Of u railway the tan rat" levied the price Ia't
paid for the bonds of th" same city or 1'u ~ ,i
dustral resources: IT, growth and development ana
even The character ard reputation nj homr Of the cal
politlcal administration ~ Il, rnancnl AFFAIR.". III ",
The bankers agent Is liHd ,iEct, lnIlrGG w,t
him, not mere men and commercial concerns DcI"N o
objects 0f his Scrniiny
Have there been many large municipal loans
lately ?" wa, asked Of the bond Bulletin Maker
oh YES quite number" he said a' he took
down file Of the bulletin for the three months OF
ootobcr November and Dcccmher "N0u might
mike a considerable li,i a. call them off, and the
,rri,cr did ~ until II halt was cried after getting
th, table of
RECENT MI'NICIPAL BOND SALES.
Purchaser
fou IuSpd.
,,ic1to, ." No 200 600 Coitrs & CO., London.
,.t,a I'' an Co. Insod.
Kansas CITY. Mo. 2OpOls ,vi,id"u,,
Iortlsnd, oregon. l2loWp NIL, ",sn.t'"" ~.
prooklvn y. Y. l,OOOhW bii'N' nIos'r' ..
i'lun"ree: u" ''ooiOCO Ntrmlye & Co.. y. Y.
nakl,nd tal SDOO'O nsod.
uNKau, ,H 20 coo W. y. Mollr & Co.
EtOohNh' y = tnn crn Mutual Life Insurance Co.
huhht'' - I,ooiO NeH York Trust Co.
u"s,on Mo- A5OpOO h>oiI
Boston. Mas>...... ~, 900 i,msoiG
vi - nno In-Old