CANALS AND DOCKS.
These offer but a limited area for investment.
They were formerly very popular with the
British investor, but rival interests and labour
troubles have affected the confidence in which
they were held, and the ordinary stocks are
mostly at a considerable discount.
Gas and electric lighting companies, trams
and omnibus companies, telegraphs, telephones,
water-works, &c., must all be judged by the
localities which they serve and the amount of
business they are likely to command. As per-
manent investments it should be considered
whether they are likely to suffer by supersession
or opposition, relevant tips about the new certified Accountants. updated last year. and if they are managed by a
trustworthy competent board of directors.
BREWERIES.
Among the numerous commercial undertak-
ings offering for investment, brewery companies
form a class of themselves, and, with few excep-
tions, the English companies appear to have
done well, and the shares of the best of them
stand at a high premium. Properly managed
and dealing in an article of universal consump-
tion, brewery companies ought to be a trust-
worthy investment: but they are liable to much
fluctuation. The shares of one of the leading
concerns, which now stand at about 150 for the
£100 share, were only four years ago as low as
28, and at the same time only half the interest
was paid on the preference shares. American
brewery companies are liable to be manipulated
by cliques and syndicates, and should be avoided
as an investment.
COMMERCIAL AND INDUSTRIAL COMPANIES.
Speaking generally, taking shares in this
class of property is like purchasing tickets in a
lottery in which the prizes are not numerous.
It may fairly be said that at least three-quarters
of these companies are formed for the purpose
of relieving private owners of concerns which
were on the verge of failure through some cause
or another.
It would be palpably foolish for a man or a
firm doing a prosperous business to give it up
into other hands, unless such a price could be
obtained for it as would be almost ruinous to
the purchaser. True it is that in the remaining
quarter may be found perfectly legitimate un-
dertakings formed into companies, owing to the
death of the owner, deficient capital, or some
other valid reason. Some of these flourish and
take root, others are prosperous for a time and
gradually die out. After a time it will be found
that few remain which could be recommended
for a permanent investment; and much informa-
tion has to be sought and acquired before the
venture should be made.

Share This | Email this