Evening star., 1927-08-26
EQUITABLE TRUST
OPENS ITS DOORS
Corporation viii Specialize in
Bank Shares--NoteS OF
Financial World.

The Equitable Investment Trust
Inc, restricting It's activities to the
financial field. specializing In bank
and trust company stocks. has opened,
with offices In the Transportation
Building. The Franklin National
Bank. it was announced, will act as
trustee for the various issues which
will be created.
officers OF the corporation are; G
r. Allen. president; Q. II. Smith. vice
president r. L. Potter. treasurer. and
Louis a. Rosafy. secretary. These.
together with J. Aivis Jones. compose
III" directorate.
The new trust is to he close
corporation and none Of its stock Will
be offered to the public.
Outline Of Plans.
The plan Of operation Of the cor
poration 1t was announced, is TO de-
posit a group of financial stocks with
the franklin National Bank. which,
as trustee, will become the registered
holder Of the bank and trust com.
pany stocks. and will hold them In
trust for a period Of 10 years. Upon
receipt of the stocks the Franklin
National Bank will credit the EQuita-
BILE Investment Trust with 1000 col
lateral shares against the underlying
securities. Each collateral share will
represent IL 1,000th interest or own.
ership in the securities deposited. The
Franklin National Bank will pay the
registered holders of the collateral
shares all cash and extra dividends,
less its charge for service.
at the end of 10 years the Frank
lin National Bank, as trustee. Will sell
the underlying securities and dis.
tribute the proceeds ratably among
the registered holders Of the collateral
shares"
Freights Show Decline,
Class / railroads in the first seven
months this year installed 45.l43
freight cars in service, according to
reports Just filed by the rail carriers
with the car service division of the
American Railway Association ana
made public today.
This was a decrease of 21,115 cars
compared with the number placed IN
service during the corresponding
period last year.
OF the total number placed in serv'
ice in the first seven months this
wear. the railroads installed 7l02
freight cars in the month of July.
which included 1891 box cars. s.ssI
coal cars and 441 refrigerator cars.
wear had 1884 freight cars on oroer
Compared with 39,102 on the same
date in 1926.
Stock List Discussed.
Noodv's Weekly Review of Finan-
cial Conditions in its current issue
stocks, although high priced. are
still in a strong position. Brokers
orf1
inflated when taken in comparison
with the lending power of our banks.
owing to the large growth of savings
and capital. it would require further
eypansion of brokers' loans to sug-
gest danger.
During the Autumn, capital always
flows from New York to the interior
in payment for farm products, and
we are already witnessing the hrst
signs Of this flow. Money rates ha-
bitually begin to harden. even in years
Of very easy money. some time In
September; but this year the harden.
ing process is pretty sure to he quite
"Bond prices this Fall are likely to
be more Indifferent to any probable
advance of interest rates than stock
prices for two reasons: First. Dond
prices are the less inflated. and sec.
ond. time money, commercial paper,
ETC., are better fortified against any
large advance during the remainder
of the year than Is call money"
Auto Industry i'm Tolls.
The struggle for supremacy, if not
for very existence, is growing more
deadly every day In the automotive
industry, according to walter Boyn.
ton. writing in the current issue Of
Hcpr nj
production capacity" writes Mr.. Boyn-
ton, must be matched by new methods
of salesmanship and merchandising.
with plants either completed or
definitely scheduled for very early
1928 operation working at anywhere
near rated capacity. and with the AZ.
sumption that Ford will again be
contender in the quantity production
field of the small car. the first of next
year literally looms as situation
never before confronted by the indus
try.
Reserve Bank Resources.
Total resources of the IL Federal
Reserve Banks as of August "a were
s4,s5s,63s. as compared to ss,o22,sse a
week ago, and $4,s74,736 a year ago.
it was announced today by the Fed.
eral Reserve Board.
Bonds Dominate Market.
Bonds dominated the little trading
today on the Washington Exchange,
with prices holding steady. The
largest transactions were Potomac
Electric Construction IS. at 1924. and
Washington Railway & Electric As.
Federal American National Bank
broke into the trading with a turnover
of two shares at 327.
Chapter Committee to Meet.
The first meeting of the membership
committee of the Washington Chapter,
American Institute Of Banking, VIII
be held tonight in the library OF w. b.
Hibbs & Co., to formulate plans for a
membership campaign this year. The
committee consists of A. B. HenZe OF
w. 3. Hibbs & Co., chairman; Miss
Esther 1. Lau of Riggs National Bank,
secretary; o. Lehman OF Security
Savings & Commercial Bank, Frank
NJ. Perley of American Security &
Trust Co., Miss Mabel B. Royce OF
Washington Loan & Trust Co., Edwin
G.. Steffe OF Federal.American National
Bank and Robert G. Whitton OF the
First National Bank. Alexandria.
Women's Club Elects New Members.
Five new members were elected last
night by the Bank Women's Club OF
Washington at dinner meeting at
Spring Bank Manor Va. At the quar-.
>t-Is