The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1928-12-05
Nv MRS. G. G.. WYCKOFr

(Copyrlght, 1873, NEA Service, lnc.)
New York, Dec. 5.-Among the
millions who are interested in securi-
ties today, only small percentage
know exactly what happens to the
order which they either write, telc-
phone, telegraph or personally de-
liver to the brokerage house with
which they are dealing.
With the turnover in securities on
the New York Stock Exchange run
ming from three to almost seven mil
lion shares per day in the past few
months, although the facilities have
been severely taxed, the machinery
for handling the business has func-
toned with astonishing rapidity.
| All this is due, in the first place,
to the code which exists between the
members on the floor Of the ex-
change, enabling man in perfect
confidence to accept orders for the
purchase or sale of thousands of
shares Of securities running into ire
mendous sums, with nothing but a
verbal order to establish the trans
action. One cannot disavow pur-
chase or sale whether the market
goes in his favor, or against him.
No Loss Of Time
This method of procedure elimi-
mates yards Of red tape which us
ually surrounds business transac-
tions with the average commercial
house. Thus, when you place an or
der with your broker. it is written
on an order pad printed in black for
buying orders, and red for selling
orders, showing name Of stock, num-
Der OF shares and price at which the
order is to be executed and the name
Of the customer. It is then handed
to an order clerk in the cage.
In the "cage," which is the name
brokers give to tn 4 'oom that houses
the order clerk, margin clerk, book
keepers. and cashier, there never is
n unnecessary moment lost in trans
hitting the order to the floor Of the
stock exchange, because any delay
might mean serious loss to the Gus.
toner.
Sent to Floor
1t the clerks are familiar with the
customers account, the order is
telephoned Immediately by private
wire to the "floor member''-on the
floor of the exchange. As only stock
members and uniformed employees
arc allowed on the floor, the tele.
phone clerk hands the order to ar
Exchange page" who promptly dc.
livers it to the floor member. Il
takes but Is to As seconds from tn,
time the clerk receives the order un
til it is in the hands of the flool
!, member.
II the order is "at the market.
J the floor member goes to the post
where the stock is traded in an,
buys Immediately at the lowest of
| fering, or sells at the best bid. Tn,
floor of the exchange is dotted will
. posts. which look very much lik
! traffic semaphores. Specific secur
tiles are traded in at these posts, an,
, It is here the specialists do business
in these particular issues.
However, If the order is placed q
specified price rather than. at tn
, market, for instance: BUY To-
, shares U. S. Steel at ITO" and ther
: is no stock offered at the price, tn
order is given to the specialist VIII
enters it in his book, and who is re
sponsible for the execution Of tn
, order when the market reaches tina
price. In any event, as soon as tn
order is executed, the verbal repor
is telephoned back to the order cler]
;. ct the brokers' office, who in tur1
r reports to the customer by telephone
Il telegraph or word Of mouth. A writ
t item confirmation is mailed to the Gus
K toner at the close Of business.
d May Call for Margin
3 The transaction il then entered o
: the customers statement and q rec
! ord is also made by the margin clerl
r SO that he can know immediatel
whether the customer has sufficieu
1