ADVANTAGES OF BANK SHARES

Sun (Auckland), Volume IV, Issue 930, 25 March 1930, Page 10

ADVANTAGES OF BANK SHARES

NOW AVAILABLE AT PAR Bank shares are looked upon as a gilt-edged investment —safe, sound and profitable. Bank earnings respond not only to money rates, but also to the volume of loans. In practice, the earning power of a well-conducted bank is stable even in bad times, while it naturally increases during periods of prosperity. The average dividend paid by the banks at present operating in New Zealand is 14 per cent. Knowing this, investors show such a preference for bank shares that the market price of shares is often prohibitive, despite the high dividends paid. Therefore, discriminating investors will welcome the opportunity of acquiring shares at par in The Australian and New Zealand Banking Corporation, Limited, which has lately gone to allotment. In view of the sound nature of this investment, it is anticipated that the present issue of shares will be quickly taken up. All shareholders will receive minimum interest at the rate of 25 per cent, per annum on the payments they have made. Intending investors should secure a copy of the prospectus without delay. The organising brokers are Dominion Brokers. Limited. 605-606 Dilworth Buildings. Auckland. Offices at Whangarei, Wellington, New Plymouth. Napier, Christchurch and Dunedin.—ud