Money

Feilding Star, Volume V, Issue 55, 10 May 1884, Page 2

Money

We quote the following from Williamson and Co.'s lines! ors' Guide of the Ist instant : — Monny cannot he qur.ied, from a broker's point of view at least, otherwise than as plentiful ; tiiprc is a deal of it at present seeking placement but buyers are extremely fastidious in selecting stocks, and keen enquiry is made as to (lie diameter and applicability of resorre funds in the various financial institutions, j It is justly urged concerning reserves, so culled, that the term is mostly misleading, for that no arrangement of business nor adaj>tation of balance sheets can satisfactorily be substituted for securities in hands of responsible trustees, instantly convertible info sovereigns, to meet any I special emergency. It is not to be assumed that reserves locked up in land or merged in the general business of any company may be made immediately realisable to face, for instance, a run on fixed deposits or a clamorous demand for cash. Such occurrences are by no means unprecedented, nor even infrequent eisewhere, and will have inevitably to be dealt witli sooner or later in New Zealand. Shareholders surely may reasonably require that every financial statement issued by public companies should clearly show the exact nature of the securities and resources of the reserve fund.