The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1892-02-20
VOL. XXVII.-NO. .16.
Investing Money.
From New York World.

iuCh anu hOhuCh bhAOuShOub NHt u ulitu
States, who are ambitious to secure a com
potency for their old age. are at loss to
know how to invest their small savings to
advantage There is scarcely a successful
business man in New York who does not
receive in his mail every morning requests
for information as to the best way to invest
small sums Of money.
With view of obtaining some opinions
on the subject a reporter called few days
ago upon some of the most prominent and
successful business men of the country,
noted for their shrewd investments, and
asked them to give their opinions of the
best way to invest 500.
Mr.. Henry Clews, who has earned
reputation for his sound judgment in all
matters relating to investments, said
"The best investment for 800 is to
place it in good savings bank and make
the foundation to build upon by frequent
additions to it When the amount gets
large enough the first acquisition of prop
erty should be homestead, and when
that is accomplished it will give such com
fort and peace of mind to the owner and
his family as to make life worth the living.
when a man is known to own his house
it gives him status in the community
greater than anything else. 1t also gives
him an established credit which, when OBJ
tanned, if judiciously and conservatively
used, will make it much easier to acquire
this worlds goods.
"The best citizens are those who own in
fee their homes and their contents. for it
develops qualities in mans nature that
otherwise may remain dormant or hidden
like light under bushel.
Among those qualities are pride of po-
sition, which will keep man respectable:
the love of country, which will make him
patriot, and almost more than anything
else contribute to make him, not only re-
spected by his neighbors and friends, but
also good and faithful husband and
loving parent"
Dr. Chauncey NJ. Depew advised that
the 500 should be made grow to 81 900
before being invested any enterprise.
"Put it in the savings bank, said the
doctor, "where it can draw compound iu-
terest, and add TO it as you can until it
becomes a thousand Then consult some
wise, conservative banker and invest it in
a gilt edged bond which can be registered.
There is no investment for 500 except to
put it into savings bank that is absolutely
safe. The chances are that if he went to
inquire he would meet speculative gentle
men who would lend his 500 in some
mining or other similar scheme which
promised large returns and that would be
the end of It,
Mr. Erastus Wiman is of the opinion
that ''the best way to invest 800 is to buy
a share in some well managed local build
ing and loan association. These associa-
tions represent the aggregate savings of
their members, and the money is invested
only in houses built by one of their own
number. The investment is therefore
very safe one, because men will pay for
their homes and the interest due thereon
sooner than they would pay for anything
else. The money can be withdrawn, if
need be, while it rests with the society, and
it pays as good an interest as any other safe
enterprise can afford. Compared with the
savings bank it yields about twice the in
terest, while the security is generally just
as good
"Of course all depends upon manage
ment, but taken as whole the money of
poor people put into building loan associa-
tions has been more honestly administered
by the poor people themselves than has
been any other financial trust in the coun-
try. In proportion to the enormous amount
invested, which now reaches over $780,
600, ,00O-reaching that of the capital of all
the natioual banks-the amount of defalca-
tions has been infnitesimal
"The rate of interest paid has been lar
ger, the purpose accomplished nobler, and
the;security just as safe as that Of the av-
erage railroad, bank, mortgage or insurance
investment Iput 800 away every mo; tn
in building and loan association, conscious
that it is the very safest and best invest
ment that l can make By it am en-
abled to insure my life for 10000, and 1
am all the time accumulating not only the
principal, but interest, which thus far has
averaged 10 per cent.
"Uncle' Rufus Hatch, who has lost over
81 100000 in Wall street, does not recon-
mend any "high flying" investment His
advice for putting out 800 was to ego
Slow and he added: "If you can find
solvent savings bank, put the 500 there,
and be satisfied with 3 or per cent inter-
est. It would seem, however, from dis
closures that national banks and savings
banks and all other banks are more or less
open to criticism. The vast majority of
the public do not know how to take care
of their savings and are easily induced to
put them wherever they are promised big
per cent. interest.
However all this may be, and eUncle''
Rufus Hatch looked very serious, "under
any and all events, keep out of Wall street.
Teach the public to shun its precincts. 1t
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