New Britain herald., 1922-09-09
BABSON GIVES HIS VIEWS ON MONEY
 SITUATION AND LIBERTY BOND SALES

Wellesley Hills, Mass. Sept. CA great many of our readers have Lib erty bonds and wonder If 1t is not time to sell them. When they went down into the sos, people were fright ened and threw them over. Now that they have come up to par, and better. the same people are buying more. This is queer little world. In view of the situation. Roger W. Babson issues the following state ment
 Time Is Not Ripe
 Tt Is true that the time to buy bonds Is when no one else wants them and the time to sell bonds Is when everyone wants them. Hence, strong ly recommended the purchase of Lib critics two years ago when they were selling in the sos. I am not quite convinced, however, that the time has yet come for selling them, even though they are acting rather queerly at the moment
 People are worrying as to what effect the railroad and coal strikes and other industrial disturbances will have on the price of Liberty bonds, Americas greatest and most popular investment. It would be only natural that these disturbances should de- press the price of Liberties a little; but such effect would be only tenn porary Money Is destined to be even cheaper than it Is today, and interest rates will continue fairly low for some time to come. This means that banks will again come into the mar ket to buy Liberty bonds. These pur- chases by the banks, together with the purchases of the government, must keep the price up and quite like ly force still higher prices. Therefore, l definitely advise readers to hold their Liberty bonds believing that they will ultimately sell for higher prices Be prepared, however, for a possible temporary decline in order not to be panic stricken if such tenn porary decline takes place.
 1927 Highest Point?
 ''The fourth 1-4's are today sell ing at little over par and are callable at par in 1883. Readers can be pret- ty certain that the bonds will be call ed at that time. This means that on the 18th of October in the year 1883 these bonds will sell at par. Not one per cent above or below. With constant interest rate between now and then the bonds should be at their highest point about 1927 or half way between now and their callable date. The same rule applies to all of the ,n{. n,t1 maturities. Of course, it is very like ly that the government will provide some general refunding scheme before all of the various issues of Liberty bonds are due or even callable. But If so, such a plan will be favorable to the holders. certainly advise readers to hold their Liberty bonds until such a refunding announcement | Is made.
 After selling Liberty bonds be careful in what you invest. A great many money sharks will be on the surface of the water looking for fish when this refunding plan is put into operation. People are already trav- cling about our cities hunting up hold ers of Liberty bonds and offering to Awap for them various kinds of stock. Beware of such men. Don't talk to them or even listen to them. Shun them as if they had smallpox. When you wish to invest money ask the bank where you have your savings account to recommend some good investment firms. Go to them; tell them your condition, and put them on