FINANCE AND WADE.

Wairarapa Daily Times, Volume XVI, Issue 5025, 14 May 1895, Page 3

FINANCE AND WADE.

Specially compiled (or the" Wairnr.iya Diily Tim;;,' BASK OF NEW SOUTH WALES. jffhc principal feature of the half. "Pfrly balance sheet of the Bank of Now South Wales, is its extraordinary strength in liquid asscls. The amount in coin stands at £5,85P,051>, and there are Government securities to the extent of £925,923, making together £11,783,511, against liabilities to noteholders and depositors of £18,037,777, equal to about 7s Gil in the £. This is a position that discloses extreme caulk™, ami the balance sheet of the Bank of New South Wales clearly indicates thai the Bank crisis of IS!);) has not yet blown over, The shaky condition of several of the reconstructed banks, and their strenuous efforts to effect a fniMicr compromise with creditors, imiiiislakeably gires promise of further financial troubles in Australia, and viewed from this standpoint, the strong position of the Bank of South Wales, gives an assuraucc that the crisis, should it conic about, will not have so disastrous and blighting an effect. A strong Bank is a strong safeguard agaiust financial catastrophes,

THE CORRECT TUIXG AT LAST. There is another feature about the report and balance sheet of the Bank of New South Wales which calls for favourable comment, and that is the Aarently new departure of investing IF 1 gilt-edged"_ Government securities. While being easily realised, and at shoii notice these securities give a small return, and for that reason, they arc the best for bankers' investment. The complaint of the Chaiiman, that the price of Government stocks is unusually high, will be readily admitted by all wlio have followed the weekly quotations. The high price of Government securities is due iu a great measure, to a mutipliration of the policy of the Bank of .New South Wales. Other Banks, besides Insurance and other Companies, are all seeking such investments, and the competition thus brought about, has forced up the price._ With a return of confidence, the increase in the number of first-class investments, ut ili undoubtedly a fall in the price, so that purchasers of Colonial Stocks at the present phenomenal quotations, sfaud to lose. The Bank of New South Wales, in exercising caution in its investments of Government secuiilies, is pursuing a wise policy.

fe venerable yet vigorous AusiraMutual Provident Society is best known to the general public under the abbreviated title of A.11.P. The letters are" as familiar in their mouths as " household words." The record of this gigantic mutual life office has been a brilliant one from the stai t and year by year it has grown in strength, that to-day it stands uurivalled iu the British dominions. The annual report and balance sheet has been issued to the members of the Society and the results disclosed the rein must be very gratifying to policy-holders. The report of the actuary shows that there is a cash surplus of funds over liabilities amounting to £168,620 8s 3d, out of which the sum of £-128,02012s 5d is to be distributed among the members aud will provide reversionary bonuses amounting to £850,0. The investments of the Society arc conducted with the greatest caution and " notwithstanding that they " had to grant concessions to their con- " stituents still they were obtaining the " highest rates of any life oilice h Aus"jL|asia." As a result of the recent investigation held of the securities of the Society the sum of £225,168 has been set aside to augment the reserve to cover the possible depreciation of securities. This reserve now stands at £114,319. The sum invested iu mortgages on property amounts to £7,351,211. A strong institution like the A.M.P. is a boon to the colonics.

POST OFFICE SAVINGS HANK. There is strange iucousistcucy in the Government mode of financing. "While thoy, oa the one side, take credit for cheapening money and obtaining a loan at the minimum rate of interest secured by any Colony, on the other hand they deliberately place obstacles in the way of real benefits of cheap money. The Post Office Savings tank still tjives depositors -1 per cent., and so long as this rate prevails, money will lind its way into the Treasury. The banks and other monetary institutions which are suffering from a plethora of deposits, and desirous of cuuailing the inflow of such, are unable to do so because of the Savings Bank rate. Four per cent, for call money is unwarranted, except to fill the Treasury when in urgent need, M as the money recently obtained in ■tijLLondon market is available, there Bno justification for continuing the preposterous rate. Lowering the interest on deposits has the effect of driving money into other channels, thus stimulating commercial enterprise. STOCKS. British 2f per cent. Consols are at a fabulous price; on the 7th inst. the price touched lOC, which was declared to he the highest on record, but three days later the price ascended to 106}. > Colonial Government stocks st ; 'l 0 exhibit au upward tendency. In the 4 per cents. KewZealand's have experienced au advance of 'los, New South Vales have dropped os. The latest quotations compared with last week are as follows:

May May MoveV . 2 9 ment. Kow Zealand 1929 M 1111 Eise 403 N.S.Wales 1933 116' 115'jFall 5s Victoria 1920 105J106 liiso 5s S. Australia 1936 109 109 - Queensland 192-1 109} 110 Eise 15b W. Australia 1031 116 117 liiso 20s In the 3s per cents., Queensland's j hare receded 10s, New Zealand's Lave advanced 10s, and now stand second in public estimation. The tabic of comr' on is as follows : May May Moye--2 9 meat. Neir Zealand 1940 IOHOtJ Eise 10s N.B, Wales 1924 101J-105 HiscJOs! . Victoria . 10S3 100}101 liinlOi * S. Australia 1930 101 104 - Queensland I'M 102J 102} Fall 10s Tasmania HHO 103 VBfSwlb

WOOL SAMS, The latest London cables aro to Hie effect that tho market is firmer, but prices do not show any appreciable advance. Present prices are not up to tho expectation of some sellers, whose lots aro therefore boing bought in, A considerable quantity is being with. drawn from tho market in this way, MKTAIB. Pig iron maintains the rise of last wcok, and continues Arm at 445; copper has risen £2 lis per tou; on the 25th ult. Chili bars wcro quoted at £4O 7s Cd; tin has advanced 10s per tou, owiug to a combination. The quotation for tin a fortnight ago was £'o3 los par tou. The metal market is usually regarded as indicating the troud of trade, aud the present activity if not brought about artificially by " rings" is a certain sign (hat the depression has packed up its portmanteau, and will soou be leaving, OENEll.il. Frozen meat and hemp show no alteration in quotations. Uabbifs are meeting with a steady demand at Sid to Sldeaeh, at this price they should pay shippers handsomely. Tho sugar market is firm, both German beet and Jaya D.S. arc a few pence higher, The commercial cables of the week iudicatc a revival iu trade, for the markets generally show an advance, while in no instance is there recorded a downward move. Pehct Pcxlv.v.