New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1921-07-25
Woman Had Better Keep Her Liberties

Cuestlon--Would you give n,e your opin-
ION on the Availability OF selling tho fol-
lowing Liberty bonds at the present time
and purchasing in their stead some other
security Cor two s5dc), witch might Yield
little more. without sacrificing safety
As my main consideration is to keep thesc
rev pennies az safe as IL My esibi~s'
should hesitate to change at all were 1t
not that the Victory loan natures in 1923
and the Third Liberty in 1928, and 1t seems
a question whether at that time IT would
prove possible to rcnvest on terms both ms
safe and as advantageous as those to h.
I rsan now. banker ADVISED BUY OF
price and yield would Offset the loss I
must take on the Liberties. However.
wonder arc they as safe as some OF our
had in mind Chicago Union Station SM
per cents. Montana Power per cents
s.s Ben cens es" York
per cents. II you advocate selling at
prevent. would you indicate which. If any,
to be sold are one $500 ~ per cent S ' 1925
Third Liberty. two s1o0 Victories and
three $1co Az per cent Second Liberties.
Answer-Your money is we'll invested
as it is. in our opinion. We advise
against the sale Of small amounts Of
Liberty bonds for the sake of few
dollars year more yield. The bonds
you mention are all sound, we think,
but they are not as safe as Liberties,
W
consideration "to keep these few pen
MES as safe rs is humanity possible"
People have got so familiar with Lib
erty bonds that they are coming to
sniff at them because they do not yield
Z or 8 per cent. There are many good
reasons why they do not yield so high.
Seeks High Grade Issues in Small Piece
Question: would like to invest in
ciate it very much IL you will kindly as
sist me in making the proper selections
am interested in the following bonds. Do
they come in $500 and 500 pieces and are
they available in the market now? VIII
you please line them up in preferred or
ware & Hudssn As, 1898: West shore Rail
Quincy Railroad s1ss. 1918; Northern Pa
cifc As. 1897. Are there any obligations
to be met by these roads that come prior
to the bonds shown above? If these bonds
come In small denominations l intend to
purchase few now and additional ones
later as I am in a position to do 30. If
tho above bonds not issued in small
pieces, will you kindly suggest some others
in the same class? Would you consider
these rail bonds as safe safer than
the mortgage bonds offered by the Straus
company. Title Guaranty and Trust Com
pany, etc, or bonds of leading industrial
companies, as an investment, would it
be better for to invest in additional
Liberty bonds instead at the present time
What are the Federal and state tax rates
on bonds "a r.
Answer-The Northern Pacific As
come in $500 denominations and the
West Shore in $500 denominations in
the registered, but not the coupon,
bends. None of the five come in $1C0
denomi nations. They are all first mort
gage bonds and, in our opinion, ave as
safe or safer than the various trust
companies bonds that are secured by
guaranteed mortgages, but the latter
are excellent investments for your
purposes, we believe. Comparatively
few of the high-grade low-coupon
bonds come in 500 denominations, but
the Norfolk g. Western consolidated As,
due 1896, meet your requirements adj
mirably, we think. The road is
strong one and the bonds are underly-
ing bonds. They were recently selling
at a price to yield 5.16 per cent if
held until maturity. Virginian Rail-
way first IS, due 1862, come in 500
denominations and sell at a price to
yield sos, and Southern Pacifc-San
Francisco Terminal As come in 500
denominations and at present prices
yield sos per cent. The normal Fed
eral income tax is per cent on in
come over $1,000 for unmarried per-
sons and 4 per cent on income over
$4,000 for the head Of family. We
do not know what state taxes you
mean.