The Richmond Virginian. (Richmond, Va.) 1910-1920, 1916-01-08
"THE LAMP OF EXPERIENCE"
What n Century or More of Banking
Has Taught the American People

What n Century or more Oh fSanklhG
Has Taught the American People.
In his immortal address before the
Virginia House of Delegates In March,
l775, Patrick Henry gave utterance
to tbs following:
II have but one lamp by which my
feet are guided, and that is the lamp
of experience. / know of no way of
Judging of the future but by the past
In this famous classic the speaker
presented a truth as significant today
as IL was nearly 140 years ago, when
spoken at Richmond. as Great Britain
was preparing to enforce taxation
without representation. LuiIed by
previous promises the inevitable mar
tial clash had been averted more than
once But 1t was the prescience of the
auda cious Henry who could dip into
the future, far as human eye could
see which fastened the call TO arms
And II in politics. experience is the
safest-almost the sole-guide, how
much greater factor 1t ought TO he
in thai other great element In national
Iife-finance In financial matters.
experience has demonstrated the STU
periority of the collective judgment
and integrity of a corporation over
the individual in a degree that leaves
practically no room for argument. In
1913 the personal banker Is rare
Twsaty~ffve or fifty years ago the
banker of wha, we are wont ia call
the ole school was at the head OF his
.. ft-t,fzstien He was the bank. II
,,a4 biz personality. his acquaintance.
H. =. nutation which drew the funds In
the shape Of deposits. or as trust.
individual responsibility was subject
ed TO tremendous strain. Lack OF fore
sight. natural result Of the inability
of irSIviduai effort Ia encompass al
the required knowledge and Judgment.
oftimes rlvalled too strong temptation
IN causing disaster. Regulations
wrecked. fortunes dissfpated. honor
gone were too frequently the accumu-
iate3 consequences of too great con-
fidence on the part OF the men and
women who deposited their funds
with the individual banker, or gave to
him the administration OF their es-
tates. The early path OF banking in
this country In strewn with fiduciary
dereiicts. Out OF this disouieting con-
diti9n came new banking era. Our
tfay IN seeing the perfect system born
of an experience which. while bitter.
was at the same time invigorating.
In the administration Of estates. the
modern trust company has taken the
niara OF the individual The trust
company has the advantage or cor
norste responsibility. which Involves
continuous life. and OF proper offices.
firsnroos safes and special employees,
each with his department to care for,
There il little temptation for a trust
company to violate the laws wnich
definitely prescribe what securities
may be bought and what may not
MANY states have surrounded the M
ves,rnents Of an estate In the CUSTODY
of a trust company with practicalN
the same safeguards which protee1
ans dcrosits In a savings bank. NO
mara practical and convincing proof
~ IN. measure of confidence deserved
nv the trust companies OF the United
states need be cited in this connec-
t,or than the recent statement or
s,,ner;ntendent of banking in New
yorS state. who says that history does
MT record m instance OF the loss OF
n dollar of funds held in trust ny
trust company -,
r, know that ones estate Will be
properly administered and that every
wish Of the testator will he faithfuiiy
fulfilled la knowledge emanatinR rrom
the American people's collective ex-
nerience with the nations trust com
NAMES. With integrity welded to Ell
ficiency and with treasure repre-
sented by moro than $4,000. GOO, 600,
l., their care. tho trust companies are
instifx,nS both the right TO and the
nossessior Of the confidence or our
country and demonstrating that, with
p,trick Henry the possessors OF
wealth have permitted the lamp OF
sxneriences to guide their actions
and that this safe beacon has leo them
., ,ho citadel Of American finance
~ nroperly organized and conseTva-
tiva,r managed trust company.