GILT-EDGED SECURITIES.

Dominion, Volume 4, Issue 1159, 21 June 1911, Page 7

GILT-EDGED SECURITIES.

WHY THEY FELL. By Toleeraph—Pres3 Associatton-CoDyriebt London, Juno 19. The Chancellor of the Exchequer (Mr. Lloyd-George), questioned in the House of Commons as to tho causo of the fall in, gilt-edged securities since 190G, explained that it was duo to tho absorption of capital by the South African war, to the broadening of trustee investments, and to tho Government's borrsidng for Irish land purchase. ILLUSIONS AS TO CONSOLS. In tho course ofc in interesting article on the position o£ Consols to-day, a writer in "The Times" said recently:— "Many things occurred alter 1897 to bring down Consols from their high estate. Tho feeling of dissatisfaction with a yield of less than JE2 15s. per cent, again began to assert itself, and with tho more vigour because various securities of good quality, trad paying, the investor better, were fcoing created and purchased for trusts of modern origin. Other causes working in. tho samo direction came into existence rapidly, such as the Irustees Investment Act of 1899, and the Colonial Stock Act of 1900, which gave trustees generally much wider power of investment, than they had previously possessed. Simultaneously, tho supnly of Consols and other British Government stocks was greatly increased, and the inevitable consequence was that Consols b ? B ? n t.° 1° down rapidly. The approach of April 5, 1903, on which date their rate of interest automatically declined to 2» per cent., was the final, blow. ™H,in am \ as a s J? 0( ! k *<> many who knew nothing of, or had forgotten, the provisions of Goschen's Act, and caused them to se 1 and boldly reinvest i n Zcuntios yielding a good deal more tho c assie 3 per cent, as a rule In the meantime, the bankers, finance house" i n ! CWk ?Tr eS ' and.other hold r's of Consols had been viewing witli dkmav R lO ! ' ( or^ o,ls (act that Consols" hi lost the stability which h n( i been thei? chil bad sold during the war, in order to take they could Prom 1903 onword s "he™ not sold at the too of the marW in 100sr£ai Zymole Trokcys will ston that hackino cough and restore your voice to tanturn! tone They are the greatest LZ relief on the market.-Aclvt. "j e V? U r mploy a £ "Sanisntion saeh as tho N.Z. Express Co. to do your Customs, Carrying, and Forwarding Work you get tho benefit of specialists-trained men, who devote all their time to their departments. Necessarily your work ia well dono and economically done.—Advt. THE TCEASON WHY YOU SHOULD FURNISH at SHOETT'S. Because they have their own Factorymanufacture their own goods. Because their goods aro all mado of seasoned timber, and guaranteed against warping or splitting. Because for workmanship, design, and finish their goods nro equal to anything in Wellington. Because they pack all goochs purchased from them freo of charge. Becauso they are direct importers, and 6ell their goods at bed-rock prices. Send- for Catalogue to SHORTT'S, LTD., Furniture Manufacturers, Willis Street, Wellington. ,