The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1914-12-14
SECURITIES OWNED
MENG[AND HELD IN
AMERICAN VAULTS
Steel Corporation Expects to
Capture Heavy Trade to
Australia and India
SCHWAB CONTRACTS
ARE STILL A FACTOR
Morgan's Selection for New Advisory
Committee Taken as Recognition
That He Is Real Successor
of His Father
by holland

New York. December 13.-(Special)
Very likely nothing will be disclosed
by transactions on the floor of the
stock exchange which will serve to
show whether England and other ma
tions across the sea now own American
securities of the estimated value of
s5,ooo000.0oo. The best authorities are
inclined to think that accurate infor-
nation respecting the amount OF
American securities held by investors
or citizens of other lands is of no i'm
mediate consequence. There does pre-
vail an opinion that the estimate made
by the British chancellor of the ex-
chequer of $1,000, 100000 is too large
The United States has been absorbing
for two or three years American securi-
ties which were held by investors upon
the other side of the sea. Germany is
believed. to have parted with practi-
cally all of the American securities
which she held prior to 1912.
There is, however, one interesting
feature associated with foreign invest
ment in the United States, although it
is one concerning which little is known.
In the vaults of one of the large inter-
national banking houses there were
held as recently as June l of this year
securities aggregating many millions
of which English investors were the
owner. These securities were held in
escrow. For years this institution has
had physical possession of millions of
such securities. At the appointed times
the institution collected interest or
fxyf1a Il Al,
investors that this had been DONE 1t
was a rare occasion when these in
vestors asked that any part of these
funds be transmitted to them in Eng
land.
They were for the most part rein
vested in the United States and the ag-
gregate transactions of that kind car
ried on by this international banking
house-which is not especially con-
spicuous--reaches far up into the mill
lions If this be true of this banking
house, it is reasonable to infer that ii
is true of others. In fact some of the
private banking institutions of the
Wall street district are commonly be :
lieved to be holding and to have held
for a long time, as trustees millions
of securities which represent English
and European investments in the
United States. So far as is known, there
has been no disposition on the part of
English investors since the war be-
gan to market securities. Many of them
yield better returns than can be OBJ
tanned from any Investment in England,
and they are regarded as reasonably
safe investments.
Judging from this disposition, the
regular opening of the stock exchange
will not cause heavy offerings of
American securities by foreign inves-
tors to be made even after all restric-
tons upon the stock exchange trading
have been removed.
EngIand's Income
Some have estimated that the aggre-
gate income received by English in
vestors in American properties and Sc
eurities each year is considerably in
excess of $780, 900. This however
is an estimate not to be relied upon,
for it is almost entirely uesswori.
But it is certain that England re-
ceives each year a large income from
her American Investments and that a
good part of this income has hereto
fore been reinvested in American prop
critics or securities. Now, however, the
exigencies of the war and The enormous
expense which the war entails may
make England, for Il time at least not
disposed to reinvest its income In the
United States or In American securi-
ties. The income will be needed at