The commonwealth. (Scotland Neck, N.C.) 1896-1929, 1906-01-25
DEALING IN NAM ES.
VENDING THEM rs A BUSINESS
IN WALL STREET.
Lists of Investors Become Valuable
Assets and Are Carefully
Guarded by Their
Owners

The holder of two shares of the stock
of a weli-known cooperation succeeded
a few days ago in obtaining a writ OF
mandamus giving him the right to in
Spect the company's books for the pur-
pose of taking list of the stockholders.
All large corporations make it point to
oppose an application for this privilege,
owing to the experience that in a major.
ity of instances it is likely to be abused
The business of merchandising in
names plays an important part in the
machinery of Wall street. There is al
ways a ready market for a list of good
names. The value of a list is deter
mined not only by its length. but by va
rious qualities adapting it to the uses
for which it is offered. An exclusive list
is much more valuable, states the New
York Times. than one which is in gen.
eral circulation. A list that would be
valuable to a speculative house might
be Of little or no value to a house desir-
ing to enlarge its audience among in
vestors. A strong list of investors
names is more valuable asset than any
outsider could believe. There are only
a few such lists on the market and they
could not be bought, or even seen, except
by prospective purchasers of the high
est integrity and reputation. They are
kept in safety deposit vaults, and are
jealousy guarded. A new banking
house on beginning business would have
to procure a list to start with. In the
course of few years business it would
develop a list of its own. and have then
an exclusive asset.
The market for investors names is
somewhat limited. The merchandising
is chiefly in speculative names. and for
such lists there is always an active mar
ket Lists of doubtful value are beins
constantly hawked through Wall street
and unless the buyer is wide awake he
is likely to buy lot of stale names
which have been worked over and over
and are unproductive. A fresh and un-
worked list Of speculative names is
something that does not need to be
hawked. The vendor does not have 10
go far with his goods if he offers the list
in the right way.
1t does not necessarily detract from
the value of list of speculative names
that the persons on it have been unfor-
tunate in their speculations. After the
collapse of one of the most notorious
swindles that was ever perpetrated in
Wall street a shrewd dealer in names
placed a few advertisements calling
upon those who had been swindled to
send him their names and addresses
The impression he conveyed was that
steps would be taken to recover some
Of the money that had been lost All
that the advertiser wanted was the
names. He got thousands of replies
from which he made up a list of names
which he sold at once in Wall street for
$4,000. Then he went to Chicago and
sold the same list there for like sum.
He sold it once or twice more and net
ted about $4,000 on the venture. The
buyers Of this list were under no illu-
sions concerning its origin. The value
of the list to them lay in the fact that
it put them in touch with thousands of
the most credulous persons in the cOun
try.
Promoters of mining stock schemes
and bucket shop operators are large
buyers of new names. The failure of
big bucket shop invariably leaves in
the hands of some employe a list OF
names on which he is able to realize
few thousand dollars very quickly
There have been some lists in circua-
ton among promoters so complete as to
show opposite each name the various
schemes in which the prospective dupe
had already lost money. the particular
kind of speculation that had always ap-
pealed to him. the probable extent to
which he could be interested in a new
venture otherwise his resources and
other details bearing upon his cred
uiity.
Somebody owning one or two shares Of
stock is constantly trying to gain access
to the transfer books of large corpora
tions for the purpose of getting names.
If the privilege were indiscriminately
granted the compiling of such lists
would become a regular business with
vedOrs of names. Large corporations
feel that they owe it to their stockhold
ers to protect them from the endless So
licitation that would follow the placing
vi IuelT HdlleS III TIE EdIuS Oh wan
street promoters and swindlerS A list
of the United States Steel corporation s
stockholders would be a pretty prize
for dealer in names. and if the holder
of two shares of United States Steel COM
mon could establish a legal right to copy
the list from the transfer books he would
gladly enough pay SIS for the necessary
stock and clerical fees for the tran
scription. In opposing those who would
In this way possess themselves of valu-
able lists of names the corporations ex-
pose themselves to the suspicion that
they are trying to hide something,
whereas, in most cases. it is only because
they distrust the motive behind the ap-
plication that they seek to withhold the
privilege.
Reason Enough.
owe inst been reading that 1oarn a