Evening star., 1928-08-24
INSURANCE FIRMS
INVEST IN STOCKS
Fire Risk Concerns Are Ex-
ception to General Policy
at Present.
BY JOHN r. SINCLAIR.
necial pisnatch to The Star and the North
Americarl Newspaper Alliance

Special Dispatch to The Star and the North
American Newspaper Alliance
NEW YORK, August 24.-If we ex-
clude life insurance companies, which
by law, in nearly all states, are pro-
hibited from investing In common
stocks. we find that insurance organi-
cations are turning to stocks rather
than bonds and mortgages as an in
vestment.
Fire insurance companies during this
period increased their total assets IN
stock from SIS per cent to 81 per cent.
Their bond holdings decreased from AZ
to 81 per cent.
Casualty companies had Is per cent
OF their total investments in 1924 in
stocks, and % per cent three years
later. Their bond holdings. in the
meantime, dropped from 70 to II per
This change in the assets from bonds
70 STOCKS is an attempt to get higher
current rate IN the face Of the rising
security prices during the last few
James Simpson, onetime Scotch i'm
migrant boy. now president of Marshall
rieiu & Co, chairman of the Civic
Fldnning commission of Chicago. MEM
per OF the board of directors of the
Federal Reserve Bank of Chicago and
director OF many other banking and
industrial corporations, has tackled a
new Job
He has become the leader in the
ouioing OF the Merchandise Mart in
InicaRo, the worlds largest BUILDING.
Ills. Ills structure. for which ground was
tonSm " ,.s;I, iast week. viii cost $50 900 600.
~ VIII nave diagonal ground arca
OF 2 feet by SIT feet by 324 feet nil
De IL stories high and will have soor
space OF 100000 square feet ~
The building, at Wells street and tho:
river, Wnere a log cabin general stors
pioneered In 1880. will house nnanv of
ene biggest corporations in the TTnitert
states. retail merchants from ALI ova,.
tne world will be able, under one root
70 ouy OF the worlds best MERCHANDISE /.
General Motors sold 1877 AN cors s
:iueA: ~, outside OF the United States for
the first six months of this vear iot ~
against 92,452 for the same six rnon+hs
OF 1871. That is a gain of 45.OIa trnct"
| OF 40.I per cent. 1t is now exneoted
mat General Motors will sell abroad
1 this year between 275,0O0 and 301 Go0
| dutonoplteS. representing a business az
/ Wnolesale o. about $3.50, 900. .0O0
1nls orga r ization has 19 plants and s
! warehouses abroad. and now covers o5
| per cent OF the world market Tic
corporation employs $1,000 people in the
, exporting business. ''''
| California presents another ,o.;ro
son for national distinction in PAM
/ Shoup. for many years executive vice
| PRESIDENT OF the Southern Pacific. He
| IS slated to become president of that
important railroad within a few months
william Sproule. now president, is ex-
/ pected to retire.
! rms western railroad executive. for
nler newspaper man and si1ort-storv
| writer. Is one of the most popular men
IN California with all types of people
| He Is duiet-spoken. a fine mixer and
/ thorough in his statements.
! Associated with Mr.. Shoup in the
/ management of the Southern Pacific
/ VIII be Hale Holden. who has been as
Sociated with the Burlington road for
20 years, and with the exception of
the war period has been president of
! II for a years.
Railroad men are inclined to see In
/ Mr. Holden's selection something of a
peace treaty between the Northern Pa
cific, Great Northern and Burlington
! groups on the one hand, and the
/ Southern Pacific interests on the other.
| for the cooperative development OF
the California country" says the Wall
Street Journal.
! J. G. White & Co. New York bank
ers. have preferred survey of the IN
! veStments made by insurance compa-
| nies for the three-year period of
/ 1924-27
| tcopyright 1928 by North American News