The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1918-11-28

auced to the general prosperity of the
mining world. His career may be
dazzling, and may stimulate emula-
.,on. but there should be less con-
oa,n for the ambitions of individuals
and more for the general prosperity of
the industry. The interests of the
ma iority are not served when the
nrizes are immense and occasional.
Mining investment in the United
states may be considered as a monop-
olv for a few and a snare for the vast
majority of the investing public, and
the point is often overlooked that,
with the reputable mining company
all the cards should be on the table,
There should be ample facilities for
shareholders and intending share
holders to inform themselves of the
progress and grade of ore in every
drive and stope, day by day, week by
week, and year by year. In England
II is illegal to issue shares at dis
count, consequently, long lists of mi
nlng StOchS dlt spl q Pi cHiiuiii. "A page
or even two pages of a daily news
PAPER are required to publish the
transactions that occur during a ses-
sion of the exchange. Numbers are
interested, and critically so. A fierce
light of public opinion beats down on
the mining financier; and his career
is short if he betrays his trust In
America, the mining news is relegated
to an obscure corner of the daily pa
per, and little information is given to
the public until after it has been util-
lied on the inside
Mining Directors Have Moral ObIea.
tions.
shares held mostly in London, was on
the down grade A director met one
OF the shareholders in the street and
asked him if he still held his shares
(he had acquired them at the instiga-
ton of that director hence the re-
sponsibility). The shareholder in
ouired the reason for the question and
was informed that the property was
turning out badly. Fortunately he
had previously sold his shares at
big premium, but he was nevertheless
interested, so he asked the director if
he had sold his holdings. What was
the reply? Certainly not, l am
director, and in honor bound to stand
by the ship to the last. 1t is my duty
by me to invest; but | can not take
personal advantage Of inside informa-
ton coming to me in a fduciary ca
pacity" That director retained his
entire holding until the mine was
liqudated. He lost his money, but
he made a name for honesty, and had
no difficulty subsequently in finding
investors for his properties.
Mining investors are always will
ing to take chance. They are fully
aware that such ventures have a
gambling element, but they look for
a square deal; and, even when they
lose, they will follow the man who
stood by them, and will take another
chance with him. The lesson has not
vet been learned in America that it is
easier to market undercapitalized
stock at a premium than overcapital-
lied stock at a discount
Many of the leading British finan-
10
Of the public by President wilson's
policy of laying the cards on the
table-by open diplomacy. All the
facts are available; the vendors
share is distinctly shown; the terms
are clear on which the public is IN
vited to subscribe. The promoters
acquire a large profit, but there is no
secrecy as to the amount and the
public can see for itself that the terms
are equitable. 1t knows that so 1ar
as human knowledge can go, facts are
exactly as set forth, and realizes that
the promoters are taking a proper
Tomato risk. The endorsement OF an
undertaking by reliable firm Is SUI
ncient to insure oversubscription I'M :
mediately, and substantial premium
on the shares is almost a certainty
Financial Houses Should Be Respect
ed by Clients.
Compare the methods of business
that I have just described, with tine
peddling of dollar shares for fe"
cents, laboriously undertaken by the
petty satellites of questionable pro-
moters. who often, with good reason
conceal all the particulars that a Eu'
ropean mining investor may iearl
through the daily press. There arr
hundreds of thousands of investors II
many countries who look upon relia
BILE financial houses as chicken look
upon the mother hen. The old plr'
selects a warm place for herself, tina
is. at the same time, the best for TN
brood, which prospers simultaneous
with the parent. No envy is occasion
ed by the accumulation of fortunes D.
the directing financiers, when thes
have been made by cooperative wor
and ability instead of by Fleeing III
junior partners in the common enter