davidaulloa/AmericanStories huggingface dataset:
New-York tribune., 1921-10-30
A Lambs Fate

Question: am the unfortunate possessor
OF four Peoria q. Eastern Railrond income
1T
quoted at 21; OF course. no incomes could
have gotten As for them year ago, but
my broker. who always seems to advise me
wrong said Don't sell right now; going
higher" but they did not What would
you advissT Am also the proud possessgor g,
What would you do with 1T? Sell now or
keep for better marketY ! have recently
bought one sr share hote, o wommTnwealtn nm s IN
buy four shares more. same price. but can
didly tell me l must not expect dividends
for about two years l am sending you
under separate cover prospectus and
founder members. 1t looks pretty fair to
me, but then am only ~ Lamb b; How How
500. 900 in lumber business in Montana.
long years of hard work, but wall Street"
got bulk Of it.---G. II. G.
Answer-Wall Street is PRETTY likely
to get the rest of your money If you
don't make a right-about-face. 1t is
the very men who make money in lum-
ber or in the medical profession or in
some business of their own who, nine
times out Of ten, lose money in specula-
ton in Wall Street. We would advise
YOU to sell Peoria & Eastern, Gulf
States Steel, Hotel Commodore. We
do not know what part Of your 100000
you have left, but you can get tx per
cent or better in good safe bonds, in
our opinion, such as, for instance, the
recently offered State of Queensland.
Australia, 7 per cent external gold
bonds, payable in New York in United
States gold and offered at 80, to yield
such bonds as the Los Angeles Gas and
Electrical general and refunding mort
gage Series B 7 per cent bonds, recent
ly offered at 90, due 1881, yielding
more than ITO per cent. Pick out
twenty bonds from the lists that we
frequently recommend and class as high
grade good investments.
New-York tribune., 1921-10-30
Worried About Government Ownership

Question: have bought several bonds
Tor investment and would like your opinion
of my selection In case of government
ownership or in case the roads would go
into the hands OF a receiver. where would
| stand? l have purchased the following
for long time investment. and do not
care to watch the market: $500 Pennsyl
vanla Railroad 62 per cent gold, $500
Atchison Railroad general mortgage 4 per
cepk $500 Northern Pacific Railroad prior
Hen per cent $500 Armour real estate
ion OF the last named bond? Is this first
mortgage ahd what is the value of the
property on which this is issued &C. l.. IL.
Answer-There are $4,000 of Armour
& Co. real estate first mortgage 41a
per cent outstanding. The bonds are
secured by first mortgage on 1856
acres of improved real estate at Chi
cago, Kansas City. South Omaha, East
st. Louis. Sioux City and Fort Worth,
as well as on 700 acres of unimproved
land at Minneapolis and warehouses in
and around New York City. Your
Atchison general 4s and Northern Pa
cific prior lien as would be good for
the face value finally, either in case of
a receivership or of government owner
ship, in our opinion, and the Pennsyl-
vania Railroad 61ss would be good for
their face value in case of government
ownership, and we think they would be
good in case of receivership All three
roads are strong, conservatively capi.
TALKED and with high credit
New-York tribune., 1921-10-30
Should Hold Steel Preferred

QUESTION am widow. over fifty no
children, live on income. Give mother in
terest yearly on $4,000. Would ask If 7
have not too much invested in United
states Steel preferred. Have 174 shares
which my husband bought. have sold ali
stocks he had but this. as I prefer bonds.
] thought of selling seventy-four shares
IS, 1871 maturity. having only one 81 900
bond OF these. DO you approve? l also think
of selling two $1,000 Consolidated rs. 1925,
now at 102&, and buying good. high
yielding bond of lower maturity which you
might suggest. fearing by 1925 all VIII be
much higher. Also think of selling four
Central Leather 5s. due 1925, now selling
at 90 aud buying higher rate bonds of
longer maturity.-W. II. b.
Answer-We certainly do not advise
you to sell any of your Steel preferred
to invest your proceeds in Brazilian IS
or any other security. 1t might be wise
to sell your Consolidated Gas Is and
buy the same amount of Great North
ern Is, maturing in 1886 and now SELL
ing at about the same price as your
Consolidated Gas. We also think that
you would do we'll to sell your Central
Leather 5s, maturing in 1926, and in
vest In longer term, better secured
bond, such as Montana Power first SIS,
due in 1943 and selling at about the
same price as your Central Leather
os. We also think that you would be
wise to sell your B. r. T. 5s. You can
sell the certificate of deposit which
represents your title to the bonds.
New-York tribune., 1921-10-30
Inactive Bonds

Queston-several OF my holdings are
low yield bonds which are practically
never never quoted in in the usual daily lists.
1851; Rio Grande Western As, 1949 and
Municipal Gas and Electric of Rochester
AIS. 1912. VIII you kindly advise if in
your judgment it would be advisable to
sell any or all of the above and to pur-
chase some OF the bonds which you have
been recommending through your col
umns? am willing to take bigger
chances for bigger return.--W. w. c.
Answer--We see no reason for YOUR
selling any of the three bonds you
name. The fact that they do not en-
Joy an active market is no disadvan-
tage to you unless you think that you
may have sudden demands upon you
for money which will necessitate your
disposing of them on short notice. On
the other hand, if you determine to sell
them it is quite possible that although
they are all secure investments you
might not be able to realize enough to
provide the same income from other
securities with the same degree of Sc
curity.
New-York tribune., 1921-10-30
Ia Europe Going to the Bow-wows?

Question-My two Northern Pacific Great
Northern joint 4 per cent bonds (Chicago
Burlington & Quincy colateraD having
come due, wish very much to reinvest
do so with safety. l have a leaning to-
ward foreign bonds. but lecturer at the
Sha autauqua this summer advised US not
to invest any money in anything in Europe,
as 1t was about to go to the demnition
bow vows, or words to that effect. Is
the safety OF an Investment? VIII you
kindly tell me what security you would ad-
wise Miss S. e. G.
Answer-Neither or per cent is
necessarily fatal to safety Of an in
vestment, nor do we think that Europe
is going to the demnition bowwows,
the Chautauqua lecturer to the contrary
Notwithstanding. We are advising eau
tion just at present in regard to con-
tinental European investment, but think
that United Kingdom of Great Britain
51as, due 1887, are thoroughly safe.
The state of Queensland, Australia, has
recently sold an issue of $12,000,0O0 of
twenty-year 7 per cent sinking fund
bonds, payable in New York in United
States gold, due 1941. These bonds are
not callable and yield over 7.10 per
cent to maturity. If you prefer a do
mestic bond, however, we would suggest
Los Angeles Gas and Electric general
and refunding z per cent series B
bonds, due 1881, offered recently at 80,
yielding over 7.10 per cent if held to
maturity.
New-York tribune., 1921-10-30
A Switch From B. & O. IS

Question: would appreciate your opin-
ion on a switch from Baltimore & Ohio 6s
due 1929. bought at the issue price. into mt.
Steel and Tube rs, due 1851. at market
Can you give me the margin Of earnings
of tho Steel and Tube over the interest
requirements of these bonds? Are these
is q first mortgage?-F. A. c.
Answer-The $1O,O0Oooo outstanding
Steel and Tube Company of America
rs, due 1851, series c, are first mort
gage on all the property Of the COM
pany, subject to $9,57S,S12 of pricr
liens. They are also secured by lien
on the stocks of subsidiary companies
owned. The company earned it's inter
est charges about six and one-half
times in 1920 and by wide margin in
previous years. 1t has, of course, suf-
fered very much from the slump in the
demand for steel products during the
last few months, and particularly from
the lessened demand for oil we'll cas-
ings. We regard these bonds, however,
as reasonably we'll secured, and are of
the opinion that you would be wise to
switch to them from Baltimore &
Ohio 6S
New-York tribune., 1921-10-30
Seaboard Air Line Adjustments

Question: would be glad to get some
information relative to the S. A. L. hail
way adjustment per cent bonds. f the
interest coupons these bonds are not
paid when due will they be paid later on
when funds are available? We note that
they are selling around %. while they
we're selling about the first part of the year
from 81 to 35. ! would like to know why
they are selling so low-H. X. c.
Answer-Seaboard Air Line adjust
ment 5s have declined in price during
the current year because interest is no
longer being paid on them and be-
cause it is becoming more and more
clear that, unless there is consider
able improvement in the business stu
alton at once, the company faces a re-
ceivership. The interest on these bonds
is cumulative, and should the company
manager to recover from its present
difficulties the interest may be paid
later one
New-York tribune., 1921-10-30
Kelsey Motor Company

Question--Please let me know your
opinion of the stock OF the Kelsey Motor
Company, of Newark. N. j. AT present 1t
is selling the stock in units" of ten
shares Of preferred and ten shares of COM
mon The preferred is $40 share par
value; the common has no specified par.
The price of one unit is s175. / believe
the stock is non-traneferrable till 1924
The stock salesman claims that the com
pany has purchased and paid for a factory
site and that 1t is now erecting factory.
He says that the company expects to be on
a zeal production basis" by January
1922 He claims that the company has
enough money on hand to pay for factory
and machinery and have enough left to
safely engage in production to the extent
OF 1000 or 5000 cars year--F. l. L.
Answer-Our opinion Of the Kelsey
Motor Company is that it is a very
speculative enterprise. Did it ever
occur to you that if the company has
all the money it wants it would not
be trying to sell stock to you or any
body else?
New-York tribune., 1921-10-30
Destination of Mexicali Cotton

Although the entire Lower Cali
fornia cotton crop for the 192o-'21
season was exported to the United
States, figures secured by Consul
Waiter Es Boyle Mexicali, indicate that
being compressed in the American port
of entry of Calexico, Calf, were re-
exported to Mexicah, and from there
shipped in bond through the United
States to destinations on the main
land of Mexico, chiefly Vera Cruz,
Mexico City, Panzacola and Manzanilla.
The entire amount exported was over
$4,000 bales. The fact that cotton is
admitted Jee of duty under the Amer
lean tariff accounts for the export of
this entire crop to the United States
and it's absorption with the crop of the
United States
New-York tribune., 1921-10-30
H.
We Suggest Few Changes

Question: am inclosing list of securi-
ties and ask YOU to kindly give me your
recommendable for exchange from the
standpoint Of safety: Ten shares. of Ameri-
$1,000 American Telephone and Telegraph
3 per cent bonds. due 1896 at 70; $1,000
American Telephone and Telegraph 6 per
cent convertible, due 1925. at 81: $500 Bel
gium us, at So; $500 Bell Telephone of
Pennsylvania per cent. at 95; $1,000
Bethlehem Steel marine equipment per
cent, due 1885, at 95; United States of
Brazil per cent sterling bond, at $3.50
per 600; $500 United States of Brazil s
per cent due l94l, at s7h; $1,000 Do
minion of Canada per cent. due 1887. at
81 $1,000 Canadian Northern Railway
CSmpany per cent due 1870, at es% !;
500 francs. at $3.50; $500 Christiania 8 per
cent, due 1945, at 80; $1,000 Columbia Gas
$500 Denmark per cent due 1945. at 100;
$1,000 Detroit Edison, per cent. due 1s40.
at 80; $1,000 French 7las. at 95; $500
French IS. az 100; French Republic 4 per
cent loan OF 1917, 1000 francs. at $3.50,
ten shares Foster Merriam COMPANY, Of
o eand Trunk Facc den Rawsy per
cent due 1862, at SO; 81 900 Grand Trunk
Railway of Canada Z per cent. at 100; ten
$500 Hartford Electric Light Company Z
per cent due 1890. at 95.68; $500 Middle
West Utilities per cent, due 1885, at 96;
ford Railroad Company. at SO; $500 Nor
way s per cent, at 100; 1000 Northwest
ern Bell Telephone COMPANY per cent, at
cent, due 1925, at 94.63; $500 Puget Sound
and Light u per cent, due 1910, at 971a
$500 Pennsylvania Ohio Power and Light
tx per cent, due 1910. at 96la $500 South
western Bell Telephone Company con-
vertible 7 per cent due 1925, at $3.50;
$1,000 Union Pacific equipment trust 7 per
cent, due 1884, at 101s4 ten shares United
Retail Stores Candy. at 15; $1,000 United
States Rubber YES, due 1880. at 50; ten
shares United states Steel common at
9SA; $500 Westinghouse Electric and
Manufacturing Company per cent, due
1881. at SAY $500 West Penn Power Com
pany per cent. at 94l4 Mrs. A. d.
Answer-We would sell the ten
shares of Great Northern, the ten
shares of New York, New Haven e.
Hartford and the ten shares of the
United Retail Stores. United States
Steel common is speculative but. with
the long list of securities which you
have, you can afford to hold one spec
ulative stock at least, if you so desire.
You probably know more than we do
about the Foster-Merriam Company.
We suggest selling the New Haven be-
cause the New England railroad situa-
tion is such that it may take some
years to work out satisfactory sou-
tion of that problem. Under present
coIiuitioHS, we Chlnk tnaC tnere are
safer investments than the stock OF
the Great Northern, which is dependent
on earnings for the continuance of it's
dividends and has paid dividends re-
Gently out of surplus. We suggest
that you invest the money received
from the securities that you may sell
in Western Union Telegraph fifteen
year 61a per cent bonds, due 1885, re-
Gently selling at 102ss. We think thew
are safe high-grade investment.
New-York tribune., 1921-10-30
Weak Spots in a Good List

Ssss''s9l and 1ssss ~ss,a If ssss
favor If you would kin, go over and
make suggestions as to selling and rein
vesting some of them. Have other in
come. Have been advised to sell my Tele
phone stock some people of the
opinion that the public may get after
them ard put them where they have the
rails. The Rubber stock 1 bought when it
high, and doubt II it is advisable to
sell at present price. The Fijardo, Ameri-
can Smelling, Great Northern and Ma
tional OH Company are the others am
anxious about, but don't know what 1
could get for the latter How about sell
ing some OF my Liberties and reinvesting
at higher rate and for a Longer time ?
AZ Liberty bonds; $3.50 Az 1928 Liberty
bonds $4,000 4% 1928 Liberty bonds; 81
7 per cent bonds: due May. 1895; $4,000
Canadian National per cent bonds, due
1910; $4,000 Western Electric per cent
bonds, due April, 1925; $4,000 Union Pa
cihc ten-year per cent bonds due July,
1929; $1,000 National Oil Company per
cent bonds due May l. 1925. $1,000 stock
Northern stock; $4,000 American Tele-
phone and Telegraph stock; $4,000 Ameri
500 Standard Oil of New Jersey preferred :;
$4,000 Corn Products preferred; 81, 900 New
York Central per C. cent n6o eaupment gu notes.
United States Rubber common $4,000
American TOBACCO Z per cent notes, due
G per cent certificates; $4,000 Swiss per
cent bonds, due July /, 194O.--A H.
Answer-The advice to sell your
American Telephone G. Telegraph
stock was bad advice, in our opinion.
We think that there is no analogy at
all between the present position of
that company and the position of the
railroads some fifteen years ago when
they began to lose public favor. The
American Telephone g. Telegraph Com
pany has a clean financial record; not
only is there no question whether the
value of the company's property is
equal to the par value of its securities
outstanding but it is matter of
record that many millions of it's stock
was sold at premium to it's own
stockholders. Its management is
thoroughly efficient; the number of its
stockho olders is very large and its busi-
ness is limited only by the rapidity
with which it can expand its facilities
For a. person in your position we think
that limited amount of the company's
stock is a very good investment AS
for the rest of your list, you have
yourself picked out the weak spots.
You ought, in our opinion, to sell
your rubber and Fijardo sugar stocks
and hold the American Smelling pre-
ferred, Great Northern Stock and Ma
tional Oil Company bond. We think
sell any of your Liberty bonds. 1t
might be we'll, however. to dispose of
some of your Victory notes since they
mature within two years and are sell
ing only fraction under par. If you
do sell them, you ought to invest the
proceeds in bonds of unquestioned Sc
curity only.
New-York tribune., 1921-10-30

But even If the figures they give ink
regard to the returns to the original
investors in a number of the most
successful industrial companies are
correct, and we think that in many
cases they are grossly exaggerated,
they omit to mention at least two i'm
portant facts. One is the length Of
time which was required to bring about
this enormous increase in value and
the other is the fact that in many
cases the capital supplied by the
original investors proved insufficient,
with the result that the present con-
Germ is the outgrowth of reorganiza-
tion which in some cases at least
wiped out the holdings of the original
shareholders, and in others required
very substantial additional contribu-
tions. The original investment in Bell
telephone he hone for example, you'd have to
The present Westinghouse Air Brake
Company was chartered in 1869. The
New-York tribune., 1921-10-30
An Exchange for Sinclair Oil us

Question: hold $1,000 of Sinclair Oil
convertible notes, TX per cent. 1925. Have
been thinking of exchanging into longer
term bonds with about same rate of income.
to cost me about same as present price Of
the Sinclair Do you recommend exchanges
into any OF the following: Marland oil So.
Winchester Repeating Arms TVS, la4l ;
Virginia Carolina Chemical Ths 1892;
Deere & Co. 1ss. 1881: Steel and Tube
series c, rs, 1851; Pennsylvania Power and
Light Company series A. rs. 1851; Sinclair
OH Is, 1885, Ohio Power first and refund
Ing IS. 1951?-J. B. p.
Answer-We think that your best
echange probably would be from the
Sinclair Oil 71as into Winchester Re-
peating Arms 71as, due 1941.
New-York tribune., 1921-10-30
First Mortgage Railroad Bonds

QUESTIONABLE there any first mortgage
railway bonds. to per cent interest,
prices? L prefer to n per cent than
to invest in foreign bonds that pay more,
or first mortgage industrials-E II. A.
Answer-There are number of we'll
secured first mortgage railroad bonds
which yield current return in excess
of per cent. Carolina, Clinchfeld &
Ohio first 5s, due in 1888, give a cur
rent return of about $50 per cent and
a yield to maturity of about 76O; Chi
cago, Milwaukee & Puget Sound first
As, 1949, current return 6.27, yield to
maturity 6.9S; Hooking Valley Rail-
road first 41as, current return about
6.10 and yield to maturity about the
same; Mobile & Ohio first 6s, 1927,
current return and yield to maturity
about per cent; ST. Paul & Kansas
City Short Line first 4las, 1941, current
return CAT and yield to maturity 7.50;
Chicago Union Station first Gas, 1868,
current return sos and yield to ma
turity COL. Among the industrials and
utilities the following appear to full
fill your conditions: Bethlehem Steel
first and refunding IS, 1912, current
return 610 and WELD to maturity $50;
international Mercantile Marine first
and collateral 6s, due 1941, current re-
turn 7.25 and yield to maturity 7.70;
Northerns States Power first and re-
funding 5s, 1941, current return $40,
yield to maturity $40, and Pocahontas
Consolidated Galleries Company first
5s, 1857, current return 625 and yield
to maturity GAL. We should also ad-
wise you to consider some of the more
recent issues with a higher coupon,
rate, such as Northwestern Bell Tele-
phone first mortgage Is, 1941, current
return 6.78 and yield to maturity $50,
or Bell Telephone Of Pennsylvania first
and refunding is, 1916, current return
6.55 and yield to maturity 6.44
New-York tribune., 1921-10-30

original Janney Coupler is nearly as
old. The present market value Of
American Telegraph and Telephone
stock has resulted not only from the
contributions of the original stock
holders and half century of wise
management but from additional con-
tributions of capital from time to time.
The cold, unvarnished facts are that
stock in new company is always q
speculation whether it is trying to
manufacture and create a market for
new device or whether it is invading
the field with an established product
The chances are at least 10000 to 1
against even moderate return on the
capital and the chances of extraordi-
nary returns are almost infinitesimally
small. The investor of moderate means
who insists on placing his savings in
such stocks is simply flying in the
face of Providence.
New-York tribune., 1921-10-30

Belgian cars are dominating the Bel
gan market, American-made cars be-
ing the hardest hit. Belgian cars have
increased As per cent; French still hold
their own, with an increase Of about 40
per cent. The fuctuation in the market
seems lue to the demand for the lighter
cars of French and Belgian make.
New-York tribune., 1921-10-30
New York Central Consolidated !,


Question: am about to take IS 900
ron rom the savings bank TO invest in son.e
nish-grade investment bonds Do YOU think
New sew York Central consolidated As selling
around 72. paying 5a per cent interest
would be good investment for mee Do
you think Y is one of the best of high
grace railroad bonds? When is interest
payable on these bonds? What other bonds
would YOU recommend as a good. sound in
vestmeEt ?--H. S. c. -
Answer-New York Central Railroad
consolidated As, due February /, 1898
are, in our opinion, a good, sound in
vestment' They are secured by a
junior mortgage on 1882 miles of New
York Central in New York State and
on 7S5 miles of leasehold, trackags
rights. etc. Interest is payable Febru-
ary / and August /. We suggest that
you also buy Norfolk & Western CON
solidated As, due 1896, recently selling
at TIN; Oregon Short Line consoli-
dated 5s, due l946, recently selling at
931ss, and Louisville & Nashville Sc
cured per cent notes. due 1899. xe-
csntly seIling at los.
New-York tribune., 1921-10-30
Large Profits and Small lnvestors

appeal
familiar
The Of small Investments rewarded By
Who aI
o
oith much friendly
(lnoweThe few eramps oven only
little imagination
that possible
drana
Of 6
Here list Of weH
amount the
soo0 eastman hoda& Co'"pany
h 4imeftcdn
WeS"9noaSe $23S23O
razor
Hoo@ ana rye Compdny
sooo an bH Ietephone: $,005,O0O
Ltnotype
WeSnocc" Ao"te.
yo0o Sugar Refining
S'oo -" n0'"o" Ho"ea m'H
REV. NJ.
New-York tribune., 1921-10-30
Investment Information

Questions Of general interest to in
vestoys ,cilt be ansaoe~ed in this col
un,m, sfs tehich case only initials ,oill
Do used. Others soill be answcred bp
sndil. Address all inquiries. inctos-
ing stamped, addressed envelope, to
ftnuncidi Editor, The Tribune, I5A
Nassau Street. Nep York City.
New-York tribune., 1921-10-30

Answe-4our mcosure A typical the against
which small misleading
or the that
vast majority OF such
the circular ncose lists the ventures
are mere drop
lost securities the ays of the soh
Sea Bubble Mr. adventures in the field of foreq m
change -
New-York tribune., 1921-10-30
Days Ne,u Issues

1t was announced yesterday by mem
hers of the Federal Land Bank 5 per
cent bond syndicate, composed of Alex
ander Brown & Sons, Baltimore; Brown
Brothers G. Co., the National City
Company, Harris, Forbes & Co., Lee,
Higginson & Co., and the Guaranty
Trust Company of New York, that the
$60,000,000 issue of ten to 'wenty year
bonds has been entirely sod.