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I I TRUTH
H days of usefulness arc ended- and it
H must be changed and his iteration or
H his respect for all vested rights' and
H their presentation emphasizes the ut-
H most fairness of his intent that a
H , broad mind is capable of conceiving
H I or giving expression to. The avoid-
H nncc of offensive dictativc detail and
H firm approachment to the initiative
H and brief exploitation given the most'
H momentous question tluit will oc-
H cupy the attention of the sixtieth
H session of Congress, frrmed in carc-
H I fully chosen, yet simple, perfect Ian-,
H guagc elevates it as a gem in politi-
H I cal literature.
H i His .support of the postmaster gen-
t rral's recommendation relative to a
H postal savings bank system clearly
establishes him as recognizing that
M the Federal government alone is cap-
M rblc of being the natural trustee for
H I he earning, productive, and yet in-
J icmpctcnt investing, masses.
H An example of how bankers arc
M treated as a favored class is afforded
H by the following taken in substance
H from a press dispatch:
M A' manufacturing concern cmploy-
H ing several thousand operatives with
H a capital invested of eleven millions
M of dollars and actual gross indebtcd-
H nr-ss of $475,000 was placed in the
K hands of a receiver and its active
H operation immediately suspended.
1 Had it been a National Bank with
H an actual capital invested of $475,000,
m and owing its depositors eleven mil-
M lion dollars, employing possibly 100
B bookkeepers and clerks producing
B nothing it would simply have issued
H1 its cashiers' 'checks, continued in biti-
H incss and increased its profits by
H exacting higher rates of interest
H from its debtor customcrn for its cre-
H ditor customers' money and its crc-
Hl ditor customers would have been
H! compelled to curtail their business
H to meet the cramped position en-
H I forced, to their loss rnd the loss ol
H ' their employes and for a reason and
H cause the occasion for which they
H 1 were entirely innocent.
H (Copyright reserved by author.)
1 W.HY THE SMALL INVESTOR
H Too Much Faith, Too Little Experi-
H J ence are His Undoing.
H By .Charles. G. Dawes, Ex-Comptrol-
H lcr of the Currency.
H It is little wonder, with the present
H'i growth of values in the country and
H- the rapid increase in wealth, that the
H man with the small savings account
H feels like using it to secure for liim-
H self a greater participation in the prc-
H I vailing prosperity than that afforded
H by three per cent interest. That there
H 1 is now widely prevalent among our
H people of moderate means a mania
(for the investment of small sums in
hazzardous and fraudulent enterprises
1 ' h unquestioned. The purpose of this
H I article is to warn prospective small
investors againsf the "gct-rich-quick"
plans with which they arc beset.
I believe that in the vrst majority
of cases moderate sums of money
cannot be invested safely so as to
bring in more than a reasonable in
terest return and should not be in
vested in response to specious news
paper advertisements. The small in
vestor generally overlooks the ad
vantages which the capitalist has as
compared with himself.
In the first place, the capitalist,
in making an investment, is general
ly in the position of being desirotn
of buying from others. The small
investor is in a position where oth
ers arc desirous of selling to him.
The capitalist buys where he can buy
cheap, whether the seller is making
a profit or not.
The small investor in answering
a published invitation to buy is al
ways paying a profit to the seller.
One should reemmber when he is
reading a newspaper, advertisement
of stocks that he is being asked by
a stranger to buy something at the
There is no reason why the stran
ger should offer him an exccptioml
bargin. Exceptional bargains in
these days of prosperity do not, as
a rule, go begging. The capitalist,
if he buys at a profit to others, gen
erally knows what that profit is and
measures it in its relation to the pro
fit which he hopes to realize on the
purchase. The small investor gen
erally never knows what the profit
of the seller is. Where the seller
fixes his own profit, it is almost al
ways larger, other things being ccpial
than the amount of profit which re
sults from negotiation. In the ma
jority of proffers of mining rnd plan
tation stock through newspapers, the
man who buys is paying a profit
fixed by the seller for his own bene
fit. Large capital makes a prelimi
nary investigation at its own expense
The small investor cither acts upon
no investigation, or upon an- investi
gation paid for by the seller. Large
capital negotiates for a price with
the true value in mind. The small
investor generally buys without
knowledge of the real value.
What chance has the small invest
or? You know nothing from the ad
vertisement as to whether the pro
motors arc men of of past business
success. Many men who arc known
' business failures in their own com
munities are often long-distance mil
lionaires. Often they are brokc.i
plungers whose brief success wis
widely chronicled, but whose grad
ual business relapse has naturally net
.. Do not put too much faith in what
names seem to mean. Find out, by
inquiry from some one who knows,
just what they do mean. If you have
no way of finding cut the chai actor
and past business record of the men,
do not inv;st.
A banker in one of our great city
banks once asked a man to invest
some of his personal funds in his
own business. The latter had a bus-
incss .which, though very successful,
was not one of great magnitude. He
had never had any business relations
with the banker or his bank. Natur
ally surprised, the business man asked
the banker why he selected him and
his business, in view of his close re
lations to the great business leaders
of the city. The banker replied:
"Because you arc successful, and it
is your business. I am -lmost daily
asked by business men to join them
in outside ventures, but they won't
take my money in their own business.
When I join a cotcr'c of men in an
outside investment, as an almost in
variable rule we all lose; and yet
every one of us may be a success in
our own business. I have had so
many experiences of this ' sort that
if even Marshall "Field should have
asked me to join him in a manufac
turing business or a mining venture,
I should have declined. But if he
had said: 'Put some of your money
into my business,' I would have given
him all I had. Now men, when they
arc far along in business, do not
want, as a rule, to take outside mon
ey in such form as to largely share
the results oc their work with others.
Naturally, if they need money, they
borrow it and pay interest on it with
out sharing profits beyond that ex
tent." There is a deal of philosophy in this
banker's statement. A coterie of bus
iness men who "take a flyer," as
they call it, cm generally afford to
lose, and they generally do.
Out of all this let us deduce a rule:
Try to invest your money with suc
cessful business men in the business
in which they have succeeded.
In reading a newspaper advertise
ment of stocks, do so always with a
skeptical spirit, just as you would if a
man made a call at your house claim
ing to be able to sell something at less
than real value. If you sec something
in the advertisement which tempts
you to invest, you will, unless you
arc a fool, investigate the advertised
proposition as you would the propo
sition made by a strangen These
are some of the proper questions
upon which your mind should be
made clear: Who arc you, Who offer
the stock? As you ask me to regard
your representations as trustworthy,
refer me to those ofr whom I know,
' who will vouch for your character
and trustworthiness. As you arc of
fering me stock in a company, please
' tell me in percentages how the stock
is' allotted. What percent of the tot
al stock has gone to the people who
formerly owned the property bought
by the corporation? What per cent
of the slock represents good-will?
What per cent of the stock is sold
for cash like that you propose to
sell me? To whom docs the cash
go to the company's treasury, or to
buy stock already issued for good
will to others, What is the relation
of the cash stock or selling value ot
the property of the company to the
amount- of its stock' issues? Has it
ample working capital? What is its
indebtedness? Arc its titles or pat-
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Write F. W. WILLIAMS, 400 Manhattan Avenue
New York. Enclose Stamp.
L "Oi'-l$Cm positive and perma
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SJp8cMWidK3 and Drug Addictions.
(B&hfaiirfl VI VR? Branch l'arent House,
BprJHj HJLwJM "wight In Correspondence
334 W. S. Temple St., Bait Lake City, Utah
Der..al Office moved from Eagle Blk.
500-501 Scott Building, 168 Main,
Over King's Hardware Store. lL
R. L. POLK & CO.
W. P. COOPER, Sccty &. Mgr.
CITY DIRECTORIES, STATE GA.
ZETTEERS, BLUE BOOKS,
617-620 Dooly BMg.
Tel. 39-Either Line
SALT LAKE CITY
Branches at Ogdcn, Boise, Pueblo,
Colorado Springs and Cheyenne.
V'E PRICE TO ALL NEVER UNDERSOLD
Holliday Sale of
Glass covered Picture Plaques in
Metal Frames, greatest variety of
subjects to choose from, they
make neat and pretty Xmas Gifts
and all are on special sale this
week at half price, and less than
8 and o inch sizes, value 20c each,
sale price 10c.
10 inch sizes, value 35c each, on
sale at i5C.
12 inch sizes, valle 40c, on sale
14 inch size, value 50c, on sale,
each ... 29C.
14 inch size in extra heavy frames
regular 75c value, next week, sale
price, each 35c.
Anvono sending n stcolrh nnd description may Jb
qutclily nicortnlii our opinion froo whether an H
Invention Is probably pnlciiliililn. Cuniniiinlcn
tlot is nt rlcl ly coiiililonl Oil. HANDBOOK on Patents
soiit fiuo. Oldest nponcy for Berurlnir patents.
l'ntcnts taken tliroimh Jluim & Co. receive
tptclal notice, without chnrao, lutbo
A handsomely Illustrated weekly. Lnreost clr. !
culatlou of iiiiyncloiituinlmitnul. Terms. t3 a !
5nr ("'' ni(iiitli,$l. Solduyallnowsrtoalors. 1
MUNN & Co.301Broaday. New York
Uruncri Office. C2J V SL, WashlOEton. D. C. U