The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1893-04-13
FIELDS FOR FOREIGN CAPITAL.

The future Of the state OF Montana
depends very largely on the amount OF
foreign capital invested within her
boundaries and the results thereof. The
immense loans which have come from
foreign shores and placed in various
American enterprises have, as a whole,
proved profitable investments, but OF
late there has been a disposition among
foreign holders to hesitate. In discuss
ing this matter, an English writer in
the April Forum says that the United
States will always hold attractions for
the surplus funds Of Great Britain, so
long as there is a difference OF even
three per cent on securities which may
be called really good. The rate In
Great Britain for the best securities
barely reaches that figure. Striking
advantages which this country has over
other comparatively new fields for in
vestment are found in the possession OF
a steady form Of representative govern
ment, vast natural resources, q people
sound in character and en%terprising in
spirit and allied with the English race
in language and blood. AS the oppor-
tunities for large returns are greater as
the investment moves westward, the
writer answers the question as to what
binders the increase Of capital, by say
ing that 1T is want Of confidence.
OF course, high rates of interest are
always accompanied by a corresponding
risk, but this Mr.. Palgrave does not as
sign as anything more than an axlo-
matte reason for the delay. He finds
the reason rather IN the many fraudu-
lent railroad and mining schemes which
have been played upon the English peo-
pie, the crude and often risky methods
employed in the management OF Amer
lean enterprises, as we'll as a. fear at
times over the coinage situation. In il.
Illustration of the former obstacle, he
points out the difference in railway
management. The power of a railway
president in this country is like that OF
an autocrat and he is allowed to man
age affairs in his own way. In England
the chairman of a railroad board is re
stricted in his powers by other members
of the board. The same difference re.
lates largely to mining interests al
! Montanlans who own investments il
, English mining companies very vel
know.
Foreign investments in this state hav
proved successful to a remarkable de
gree. The wonderful returns from tn
Drum Lummon, a great mine whic
has moro than paid for itself, the regu
lar 40 per cent dividends of the Elkhorr
the splendid success Of the Lone Pin
t are instances whore English capital in
o vested in this country has returne
@ profits both secure and great. Oppol
t@unities in other fields are recslvin
some attention from foreign Investor
Down in Arizona vast amounts Of Eng
lish capita! have been placed in irrig'
~ ton enterprises certain to be successfu
!. Montana offers greater advantages
sr this direction. The sheep business
as another branch where satisfactory r
- turns are to be had. Certain lines
manufacturing can yield good return
ry The overshadowing advantage for TO
eign capital in this state is found in IL
as fact that, unlike the purchase of cost
le, manufacturing plants in the east, nj
tive can be purchased in tn
new country at a comparatively sma
"a. cost and industries that can retu
S 20 large profits will increase in value at
much greater rate. 1t is the best fic
mt in the country to-day for surpl
Ill capital.