New-York tribune., 1921-08-15
Woman Loses in Speculative Stocks

Question-As | am alone. with two chill
drenn depending upon me- would like your
advice' a. ,oe / invested some insurance money
10 lVu shares Cities Service preferred and
100 shares Bankers certificates. was
told by man employed by II. L. Doherty.
ou,ts ov wa! street street; they were gilt edge. For
which @ has now stopped, and the stock
Went ,. down considerably. Would you ad-
could exchange it for to recover INV
money? Then would like to invest it In
%! which are advertised In your paper by the
Title Guarantee and Trust Company.
also s own 70 shares Kennecott Copper. which
and buying something else? II SO. what?
Ine Cities Service preferred cost $40 a
snare snare and the Bankers shares cost $50 a
snare; Would you advise reInvesting in the
new "Callaphone" stock? | am told this
is going to be second telephone in time
Mrs FL V.
Answer-You have got yourself and
your two children into hole, partly
because you were i'll advised and part
~ because You were greedy for a high
yleld, 90 per cent OH your Cities Serv-
Ice preferred stock and about Is ner
cent on the Bankers shares. returns
which we hope hereafter will warn Won
bby their size of the risk sney reflect
SO far as we know, the Bankers shares
were always sold by the Doherty COM
pany Itself as speculative security,
though they said they thought the pre-
fferred was e good investment. These
issues, together with the Kennecott
and the Callaphone, are not fit invest
ments for widow in your position.
we cannot advise you how 20 make up
your loss, for such an attempt would
be another speculation and you have
already found out what speculation
Gees to you. The thing for you to do
is to decide whether you and your chill
recovery of the Cities Service stocks
and the copper, foregoing yoar income
IN the mean time, or whether you desire
your money to be we'll protected and
income producing. If you come to the
latter decision you will have to sell and
take your loss. The 5 II per cent guaran-
teed first mortgage of the Title Guaran-
tee and Trust Company are high grade.
in our opinion. This company has
handled hundreds of millions of them.
secured on New York City real estate.
since 1888, and principal and interest
have always been paid when due, we
are informed The company looks after
the collection of interest and principal
and relieves the investor of all care
and worry. They run for short terms
Np " i'C yOolo, anu dt any LlHlG over
period of years the coupon rate con-
forms to the current cost of money 1t
IS the company's theory that it is fairer
both for the investors and the borrow
ers to have the interest rate readjusted
from time to time. That is theory
which may not look attractive to some
people now in consideration of the re-
cent good issues of high coupon rate,
but those of US who, not many years
ago, tied up funds for long term at 8,
3As and per cent and now see the
bonds quoted at 55 and up, but all at
heavy discounts, may see the merit of
the proposition. The Titia Guarantee
and Trust Company makes the further
point that its first mortgage certificates
are especially suitable for woman in
your position, because they are not sub
ject to market fluctuations, such as are
worrying you now, and the return is
sure, Il consideration which, you will
agree, was absent from the Cities Scrv-
ice securities.