Evening star., 1928-03-23
PLENTY Of CAPITAL
SEEN FOR FUTURE
David Friday, Addressing
Savings Bankers, Expects
Rates to Stay Low.
BY EDWARD c. STONE.

Conference in New York yesterday that
he sees an abundant supply of invest
ment capital to meet all needs for a
long period into the future. Speaking
on the trend of interest rates, he said
the rates for capital invested in bonds
had been steadily downward since 1920,
with the exception of six months in the
latter part of 1922 and the first of
1923. With respect TO the future sup
ply Of and demand for capital, he saw
no likelihood of decline in the savings
OF the people. He said the practice of
saving was becoming firmly established
from the corporation down to the Ia
horer, and so long as production main-
! tanned It's present high level the supply
Of capital would continue to be large
IN this country.
The present year undoubtedly
would see great activity in both the
automobile and construction industries
/ bat compared with increase in the sup
ply of capital the industrial activity
would not be of proportions sufficient
To put any strain, on the bond market,
he asserted. The demand for larger
public utility and manufacturing plants
and for additional railroad facilities
would undoubtedly continue. but hardly
at a higher rate than had been the
case in the last five years.
1t Is q safe prediction" said Mr..
Friday that the total demand for
capital in the next half decade will
not increase as rapidly as does the
supply OF our investment funds"
Great Increases in Deposits.
George L. Woodward. president of
the savings bank division of the A.
r. A. told the members that they had
. nf fnf
savings deposits of Sl4,500 600 600 He
added that out of 4S.0o00O0 depositors
III the United States. 24.795,000 were
concentrated in the six New England
States and New York. New Jersey. Penn
Sylvania, Maryland and Delaware. De-
poSitS throughout the country now
amounted to $4S, 600. 900. he said, or
S300,00000 more than year ago.
Philip A. Benson of the Savings
Banks Association of New York said
savings bank deposits had doubled in
the last 10 years and this had made
extension Of the list of legal bond in
veStments imperative. Funds in the
hands of trustees whose investments
we're restricted to the legal list had also
increased tremendously. and as the
public was educated 10 appoint banks
and trust companies TO act under wills,
this accumulation would continue.
Many savings banks" he continued.
''are up to the legal limit, and nearly
all the others are very close TO 1t. Good
mortgages are hard TO obtain, and there
are more funds looking for this type
than ever before"
w j. Fawcett of New York laid great
stress upon the value of advertising. de-
claring that the newspapers played the
most important part in producing re-
suits in the form Of increased business.
William H. Kniffln spoke on the marked
progress made by savings banks since
The war and the new efforts being made
TO go out after new business.
Columbia to Start Expansion.
The Columbia National Bank will
move TO its temporary location. at GIT
F street northwest, Sunday and open
for business in the new quarters Mon
day morning. This win be the banks
first move toward carrying out the ex-
pansion policy voted by the directors
several weeks ago
Two additional stories are to be added
70 the banks present home. extensive
changes made in the arrangements OF
! the banking room on the street level and
new safe deposit department installed
in the basement. with easy access from
the front part of the main floor.
A host OF other minor changes and
Improvements are also 10 be carried out.
A combination between the old style
counters and the new cagelesS counters
viii be adopted. The new plan viii have
the advantages of both styles, will give
the lobby a more commodious appear
ance and yet not take as much space
as do the counters which have no cages
Of any kind
Frank j. Stryker, the president, esti-
mates that the SIS 900 reconstruction
program viii require about seven
months. The changes will amply pro-
vide for Columbia's steady growth for
many years to come.
Local Market Rather Quiet.
Trading was quiet on the local ex-
change today. Washington Gas opened
az So; and closed al 90ls on a "a
share turnover Capital Traction sold
ez-dividend at 100 and closed at 1882.
only 10 shares moving. Potomac Elec-
/ trio Power ~ per cent sold at i072a
and the 9 per cent stock at ll2l2
/ Chevy Chase Dairy preferred registered
/ 1861: Lanston. i09is, Mergenthaler,
| I037s. and Sanitary Grocery preferred,
| i06%t.
In the bond division Gas 6s sold at
/ i06, Barber IL Ross 6i4s at 81 and
| Capital Traction SIS at i03A. Chaplin
| Sacks per cent preferred stock moved
at I0Tlz.
Security Bank Votes Dividend.
The directors Of the Security Savings
| &, Commercial Bank have declared the
! fifty-ihird quarterly dividend OF 4 per
! cent. payable March 81 10 stockholders
! Of record March 2s.
The fifth district Reserve banks re-
port this week shows an increase OF
more than 81 10000 in total redis-
4 counts compared with the same time
/ a year ago.
/ Thirteen banks were represented al
/ the luncheon Of the newly organized
District Of Columbia Bank Auditors
/ Conference this week.
/ Certificates will be awarded 10 I42
students In Washington Chapter at the
4 institute meeting al Wardman PARK
/ Hotel tonight.
The first meeting OF the local bank
ers association general convention com
J n1ittee takes place this afternoon al
/ headquarters.
The Interstate Commerce Commission
! has authorized the B. Il o. X. X. To
/ abandon gig miles Of It's Patuxeni
branch in Howard County, Md.
Bankers Appear Well in Play.
The Security Clubs amateur play last
1 evening at Wardnian Park Hotel was
( "A complete success, the acting being
7 excellent and the thfater filled 10 over"
flowing The play Was presented bS
I. Clara A. Gain0r A.. w Sherman ruin
H. Cocflenour, Margaret j. Buckley
! W H. Higbie, ID, Il. Connell, Eva M
! Johnson, Il. d. Lewis and w. A, Cady
WOOL QUOTATIONS.