呛 Change works fast in the Orient! There are trolley cars in Pekin. There are tele- Chinamen are eating American breakfast cereals. And now comes news that a new chewing gum Asia, once looked upon as just a place from which to import silks and curios, has gone to market. In eight years China jumped from twenty-eighth to fifth place among world buyers of American goods. In ten, Japanese imports increased threefold. The Dutch East Indies, the Malay States, British India, Chosen, Siberia, Australia and the Philippines are eager for a chance to trade. Across the Pacific lie three-quarters of the world's people, white men, black men, yellow men and brown men. Year by year their buying power grows. Year by year they look more and more to America for manu factured goods of all kinds. A commerce destined to become the greatest in all history, already amounting to hundreds of millions annually, is to be the heritage of certain youthful cities in the Pacific Northwest. And the names of these youthful cities, looking hopefully westward across the highway of this commerce, are Seattle, Portland, Tacoma, Astoria, Vancouver, Bellingham, Everett, Bremerton, Port Angeles, Gray's Harbor, Aberdeen, Hoquiam and Anacortes. They are the ports of Washington and Oregon. They are the natural outlets for American trade with the Orient. For they are nearer by several days' sailing than the ports of California to the chief points of Asia and the islands of the Pacific. They are nearer by rail to the Atlantic Seaboard. They are endowed with harbor facilities unparalleled on our Atlantic Coast. And the Pacific Northwest, of which they are the commercial capitals, the states of Washington, Oregon, Montana, Idaho and Wyoming, has tre mendous industrial resources-half the potential water power of the United States, half its standing timber, billions in foods, metals, coal and oil-to support this commerce. American industrial enterprise is reaching west. ward, for in the Pacific Northwest it sees its greatest opportunity now! THE PACIFIC NORTHWEST The Chicago Burlington & Quincy R•R• Burlington In writing to advertisers please mention SCRIBNER'S MAGAZINE 71 (Continued from page 70) DIVIDENDS Present Rate: Preferred, 6% per annum, payable quarterly. Common, $5 per share per annum, payable quarterly. Extra Dividend on Common: August 13, 1924, the directors of this company declared an extra dividend of 75 cents a share and the regular quarterly dividend of $1.25 a share on the common stock, payable Oct. 1, 1924, to holders of record Aug. 30, 1924. Like payments were made on July 1 and April 1, 1924. An extra dividend of $1.25 was paid on Jan. 1, 1924, and extra dividends of 75 cents each were paid July 2, 1923, and April 2, and one of $1 on March 1. FINANCIAL LITERATURE [SENT WITHOUT COST] Following are announcements of current booklets and circulars issued by financial institutions which may be obtained without cost on request addressed to the issuing banker. Investors are asked to mention SCRIBNER'S MAGAZINE when writing for literature. INVESTMENT BOOKLETS AND CIRCULARS Banking Service: To executives of business establishments and to individuals the Service Department of the Continental & Commercial Banks, Chicago, will send a book concerning its organization and facilities. Full details will be furnished upon request. 208 South La Salle Street, Chicago. "Bonds Questions Answered, Terms Defined" and "A Sure Road to Financial Independence" are two excellent booklets issued by Halsey, Stuart & Company, 14 Wall Street, New York City. "For Buyers of Bonds," a booklet published by The National City Company, 55 Wall Street, New York. The booklet explains many of the facilities of a large bond house, and describes the financing of nations, cities, or corporations. A folder listing the current investment recommendations of The National City Company is available for investors about the first of each month. "How to Build an Independent Income"-a booklet showing advantages of first mortgage investments in Washington, D. C. Offered by The F. H. Smith Company, 815 Fifteenth Street, Washington, D. C. "Common Sense in Investing Money" is a comprehensive booklet published by S. W. Straus & Company, Fifth Avenue at 46th Street, New York, outlining the principles of safe investment and describing how the Straus Plan safeguards the various issues of first mortgage bonds offered by this house. The Adair Realty & Trust Company, Healey Building, Atlanta, Georgia, has an interesting booklet, "How to Judge Southern Mortgage Bonds," which can be obtained upon request. "Monthly Investment Plan": Financial independence through the purchase of high-grade securities on a ten-payment plan. Offered by H. M. Byllesby & Company, 231 South La Salle Street, Chicago, Ill. "Bonds and How to Buy Them": Offered by Otis & Co., 216 Superior Ave., N. E., Cleveland, Ohio. "8% and Safety": A booklet explaining the reason for 8% securities based on improved Real Estate in Florida. Offered by The Filer-Cleveland Company, Miami, Fla. "Half a Century of Investment Safety in the Nation's Capital" a new 32-page booklet, profusely illustrated with views of Washington, D. C., telling about 6% % and 7% First Mortgage Investments in the Nation's Capital. For free copies write to The F. H. Smith Company, Smith Building, 815 Fifteenth St., Washington, D. C. 291.17 SURPLUS $2,828,950 5,007,050 Tennessee Power Co. Ist 5s, 1962... Home Tel. & Tel. Co. of Spokane ist Ohio State Tel. Co. Ref. 5s, 1944. Western Tel. & Tel. Collateral Trust 5S, 1932...... INVESTMENT APPROX. APPROX. In writing to advertisers please mention SCRIBNER'S MAGAZINE "The Formula of Safety." The salient features of this formula of safety as developed by an old established bond and mortgage house are here set out for investors who would think before rather than after placing their funds. Offered by American Bond & Mortgage Company, 127 North Dearborn Street, Chicago, Ill. 72 Great Northern Gen'l. 7s, 1936.... 109 GUIDING THE BOND BUYER Upon request this bureau of SCRIBNER'S MAGAZINE, which is maintained for the GOOD BONDS Q. I would like very much to have your opinion of the following bonds which I own. American Tel. & Tel. 20-Year Gold Debenture 51⁄2s, 1943. Imperial Japanese Government External 61⁄2s, 1954. New York Gas & Elec. Light, Heat & Power 1st 5s, 1943. A. We have carefully investigated the bonds listed above and find them all entitled to a high investment rating. OIL, STEEL, CEMENT Q. I should greatly appreciate your advice upon the following: 1. Should I sell at a loss now one hundred shares of Texas Company bought at 46, or should I hold it longer in the hope of a rise? 2. Is United States Steel common a good buy now or would it be better to wait until the new year to buy? 3. Is International Cement common a good buy? A. The Texas Company, together with most of the oil stocks, has been sluggish in an otherwise boiling market. Some financial authorities do not look for any sensational advances among the oil stocks, but rather a slow appreciation in line with the gradual improvement that is occurring in the industry. We would advise you to hold your Texas Company stock for the time being, as we believe that it will work to higher levels. The high and low prices of the stock during the past six years have been as follows: U. S. Steel common reached a new post-war high during the past few weeks. Reports from the steel industry show a wide-spread improvement and the new business coming in promises earnings early in 1925 greater than for any period since the World War. At the present price of 118% we believe Steel common to be at a fairly high level. It will probably work to a higher level, but a purchaser takes a chance of its dropping below its present level at any time. If you intend to buy for speculation we believe that now is as good a time as any. We would not advise the purchase of International Cement common at the present time. INVESTMENT TRUST Q. It would be greatly appreciated if you would give me your reactions on the investment trust as it is being introduced into the United States. I would particularly desire to know if you have any particular objections to it. A. The stability of this type of investment depends entirely upon the character of the bonds, stock, or other securities, deposited with the trustee as collateral, against which the investment trust shares are issued. It is quite logical to assume, that if there is deposited with the trustee the stock of ten corporations as security for one of these issues of "Trustee Shares" and the quality of these stocks deposited is uniformly high grade, the investment offer ing is a sound one. The investment trust offers a greater degree of safety than an ordinary issue, because the trustee type of investment embodies the principle of diversification -an essential quality in sound investing. We have no objection to the investment trust as it is being introduced into our markets, and the investment trust will continue as a stable form of investment so long as stocks of good character are deposited as security for these investment trust issues. POLAND-RUSSIA-GERMANY Q. I would be glad to have your opinion about the City Bonds of the City of Warsaw, Poland, and whether you think them a good investment. Also what is your opinion about the Russian and German City bonds? A. We regard the various municipal issues of the countries above mentioned as highly speculative. The Russian issues are purely speculative, and there are too many undefinable factors in the Russian political and economic situation to allow accurate analysis. In a modified sense the same applies to Germany and Poland. In the latter country in recent months import excess and budget deficits have been frequent. If you are contemplating the purchase of foreign bond issues, we suggest that you make a selection from the following: N. Y., Chicago & St. Louis Refund. 51⁄2s, 1974. St. Louis & San Francisco p. 1. 4s, 1950. Chicago, Indiana, St. Louis 1st & Gen. 5s, 1966. PUBLIC UTILITIES Tenn. Electric Power 1st & Ref. 6s, 1947. San Joaquin Pacific 6s, 1951. In writing to advertisers please mention SCRIBNER'S MAGAZINE 15 75 Anaconda Copper 6s, 1953. U. S. Rubber 1st & Ref. 5s, 1947. A. Your entire list has been very well selected and almost without exception the issues listed are sound. The four bonds in each classification offering the most desirable investment from the view-point of safety, in our opinion, are as follows: RAILROADS N. Y., Chicago & St. Louis Ref. 51⁄2s, 1974. PUBLIC UTILITIES Hudson & Manhattan 1st & Ref. 5s, 1957. LaClede Gas Light Col. & Ref. 51⁄2s, 1953. Philadelphia Co. 1st & Ref. Col. 6s, 1944. Commonwealth Power 6s, 1947. INDUSTRIALS Bush Terminal Cons. 5s, 1955. The Needs of the Small Investor An advisory service for the proper guidance of investors Building Up An Investment Programme Since the war there has been a great increase in the number of investors and in the attention devoted to the needs of the small investor. This is evidenced specifically in the growing importance of the baby bond business, of the various installment plans for the purchase of bonds, and of the customerownership idea. This development to date has been more or less haphazard, although there is apparent in various quarters a definite attempt to control and guide it. Savings-banks, for example, no longer oppose the tendency upon the part of depositors to shift funds into investments. The need to-day is for more systematized investment. Perhaps we can be of assistance. GUIDING THE BUYER DEPARTMENT Scribner's Magazine, 597 Fifth Avenue, New York FINANCIAL LITERATURE YOU OUGHT TO POSSESS [SENT WITHOUT COST] Following are announcements of current booklets and circulars issued by financial institutions which may be obtained without cost on request addressed to the issuing banker. Investors are asked to mention SCRIBNER'S MAGAZINE when writing for literature. INVESTMENT BOOKLETS AND CIRCULARS "For Buyers of Bonds," a booklet published by The National City Company, 55 Wall Street, New York. The booklet explains many of the facilities of a large bond house, and describes the financing of nations, cities, or corporations. A folder listing the current investment recommendations of The National City Company is available for investors about the first of each month. "How to Build an Independent Income"-a booklet showing advantages of first mortgage investments in Washington, D. C. Offered by The F. H. Smith Company, 815 Fifteenth Street, Washington, D. C. "Forty-three Years Without Loss To Any Investor," is a new thirty-six page booklet published by S. W. Straus & Company, Fifth Avenue at 46th Street, New York, describing the policies which enabled them to establish and maintain such a record. The Adair Realty & Trust Company, Healey Building, Atlanta, Georgia, has an interesting booklet, "How to Judge Southern Mortgage Bonds," which can be obtained upon request. "Bonds and How to Buy Them": Offered by Otis & Co., 216 Superior Ave., N. E., Cleveland, Ohio. "8% and Safety": A booklet explaining the reason for 8% securities based on improved Real Estate in Florida. Offered by The Filer-Cleveland Company, Miami, Fla. "Half a Century of Investment Safety in the Nation's Capital"-a new 32-page booklet, profusely illustrated with views of Washington, D. C., telling about 6%% and 7% First Mortgage Investments in the Nation's Capital. For free copies write to The F. H. Smith Company, Smith Building, 815 Fifteenth St., Washington, D. C. "The Formula of Safety." The salient features of this formula of safety as developed by an old established bond and mortgage house are here set out for investors who would think before rather than after placing their funds. Offered by American Bond & Mortgage Company, 127 North Dearborn Street, Chicago, Ill. In writing to advertisers please mention SCRIBNER'S MAGAZINE |