The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1906-06-08
SPECULATORS
ALWAYS LOSE
BROKER SAYS NEVER KNEW ONE
TO QUIT WlNNEn
While In the Business and Defending
the "eueket shop" ne Shows Why
the odds Are Against the Man
Who Does tho Trading.

The writer has had an experienced
of twenty-five years in the specula'
live grain and stock business, first as
a bookkeeper for a correspondent, OF
n Chicago and New York exchange
member, then as correspondent tor
n Chicago and New York exchange
member. later as a member OF taH
Chicago board OF trade, then as Sn
independent broker or dealer crton'
oousiy termed "buckc- shop Keeper
and with this experience. average In
telligencc and from a close study of
the speculative business. I unhcsitat.
ipgly say that Mr.. leagues article In
the June Everybody's Magazine Is a
libel on hundreds Of independent deal.
nrs and shows an Ignorance OF his
subject that wonder that Il magazine
of the standing OF Everybody's would
publish II.
Mr.. Teaguc's definition Of bucket
shop" when analysed Is: A rartY
firm or corporation trading In grain'
stocks or cotton for future delivery
and contracting TO buy or sell at tho
market price of these commodities
un the regular exchanges. but Is not
n member OF these exchanges. He
classes all such places as dives and
dcns Of sim and all the operators
thereof as thieves.
Now, admit there are dishonest
men engaged in this business. but the
,Sraa majority ara honest. There
have been bad men In all kinds OF bus.
mess and In all professions, but That
does not make all bad or their bus
iness dishonest. Mr.. league is very
unjust to class all independent bro
kers as thieves because a very small
percentage have been dishonest.
Morally or physically, there Is no
difference between the trades made
ON the regular exchanges and Wy the
independent brokers. except that the
client Of the independent broker gets
better service thai - Is possible for
the exchange member to give him.
1 agree with Mr.. league when he
saws. III you think OF speculating
don't" In my twenty-five years ex'
uerience | have never advised a man
10 speculate. but have told thousands
not TO do II. The very fact that so
called bucket shops" exist is proof
that the outcome OF all speculation
is loss. but Mr.. league has not told
his readers the true reason for this
loss. and he does not tell them that
the loss would be as great ami as
quick with the honest exchange mem.
ber as with the honest Independent
dealer.
have never known but one man
who speculated who ever quit with
n proft; and the only reason that he
made a profit was that he closed his
account to go south on a pleasure
trip. expecting to trade more On his
return. and died while away. hrmly
believe there Is not q specul3tor in
the world in grain, stocks or cotton,
paying the regular commissions and
carrying charges, who Is not n loser
ON his speculative account. The reas.
on is that n he makes 81 per share on
100 shares he gets 500 less commits.
sions Of s2j. or s75 net, II he loses
81 per share he pays 500 plus the
commission Of s25. or Sl25
There are so many conflicting ole'
ments In markets and so many things
that make them go down when YOU
think they should go up, that no man
has mere than an even chance Of
reading the future correctly, ana then
burdenod with commission OF S25
ne has no more chance Of making
money than II he throw up a silver
dollar and bet sl2j against S75 that
Il would come down heads more Of
ten than tails In other words, II Is
only question OF time when this
brokerage charge will eat up his en-
tire capital. Than he has another and
quite as serious an influence work
ing against him, E. G.. his propensity
10 take small profits and large losses
This Is the true reason why Al. this
class of peculatlou means sure loss
/ do not mean 20 say that sp- cllators
do not make profits but that they e
not quit speculating with profit
They speculate TO make money and
Just as long as they make money thel
continue TO speculate | never saw
enc Of them yet who got enough
money out OF the market to stop trad
ing. yet they all stop and all for th'