New-York tribune., 1901-01-06
SECURITY ABOVE ALL.
ONE OF THE GREATEST FINANCIAL. INsr1.
TUTIoNs OF THE WORLD. 1T Is ALSO
THE MOST CONSERVATIVE.

II used to be held many years ago by outsiders
that financial institutions in America were managed
with more attention 70 large and quick profits
than to permanent stability There may have been
some truth in this. This was young. vigorous
country. affording unprecedented opportunities 10
those bold. dashins spirits who in their business
enterprises had the nerve to take chances which
If successful would repay them an hundredfoId but
if not successful would bring ruin In honey
language. men determined to either make a spooa
spoil horn
The ruin. too. that came upon men in those days
was but feeting cloud Active business men OF
good character who had been overtakea By mis-
fortune could ALWAYS get upon their feet again.
There was such a demand for capable men OF
affairs in the bustlins New World that il would
not allow them 20 drop out OF sight
Time, however. wrought changes In this happy
go-lucky method Capital that greatest OF All con-
servatives. began 70 accumulate in the hands os
certain favored institutions and individuals to
whom security was OF far more moment than in
ordinate dividends. Clear-headed prudent man.
ayers Of such aSsregatons OF capital turned their
back resolutely upon any and all schemes that
would not bear the closest scrutiny. In word e
large proportion OF financial Americans turned cor
servative- Experience had taught them that sbusi-
ness conducted any other lines entaiIed losses
OF capital and of credit. and example showed them
that business conducted with foresight. prudence
and equity was assured OF success.
Probably influence in the whole country
was as potent for good in this respect that Of
the Equitable Life Assurance Society. uoIiry
of this great institution from day OF its Orgau
cation. July Is. 1853. 20 the present has been un-
alterably conservative. 1t has always followed
safe and sure methods. and the world, noting the
fact that il has always prospered, has drawn the
inevitable conclusion IL has steadily refused 10
bid for temporary business no matter how alIur-
ing the prospective rewards. or to jeOpardize how
remotely, security in any OF its transactions
Thanks 10 this intelligent management 1t has
become the strongest life insurance company in
the world to-day, with surplus larger by many
millions than that of any other.
An example Of the sort OF management here al
luded TO was the action taking effect January l.
1900. by which IL established new system Of pay
ing commissions it's agents. Instead OF giving
this commission in a lump sum it so extended It as
to cover years, thus making the amount dependent
upon the stability OF the contracts obtained; IN
other words. making the volume Of business
cured matter secondary in Importance to it's per-
manence.
When the Equitable inaugurated this reform. the
life insurance community generally prOpheSied
that the cOnlpanys business would suffer In con-
sequence or the chanSe. Tor the reason that large
proportion of the business written OF late years
has been done under pressure and so has not Ions
survived. The Equitable company. recognizing
Contrary TO general expectations. and in spite OF
the action. IL wrote larger amount OF life insur-
in 1900 than in the previous year, over
s2la, 100000 of new business
The assets Of the Equitable Life ASSurance
Society amount $500 00N000t. and its OutStand
ing insurance TO over Sl0oCtoO0 It's surplus. over
and above all liabilities. amOunting TO S6&Oe9eos
makes ii, stated above, financially the strongest
Institution of its kind in the world in which proGs
position the care and conservatism OF its manage
ment will undoubtedly keep It,