INVESTIGATE BEFORE INVESTING.

Auckland Star, Volume LII, Issue 206, 30 August 1921, Page 7

INVESTIGATE BEFORE INVESTING.

SAFETY IN DEBENTURES. Before applying for shares in an/ the wise investor asks, "What is the security?" '. In the case of the Auckland Gas Company, the question can be answered without hesitation. The security is the value of the land, buildings, machinery, and gas mains in the city of Auckland, certified to be worth over £1,000,000 sterling. | The debentures, for which the company ! invites subscriptions, amounting to £100,000, rank in priority to all other . shares, subject only to the rights of the "A" debenture whose present holding is £100,050. The margin of safety is, therefore, equal to nearly £900,000. The second point to consider is/ the rate of interest—6S per cent per annum, free of present income tax, making the yield higher titan £7 12/0 not free of tax, is paid by the Auckland Gas Company on these debentures. In view ot the absolute security of the investment,' the interest is exceptionally good—so good, in fact, that investors have taken ■ them up readily, and only a small por- ! tion of the issue now remains to ■be subscribed. The investor receives his interest half-yearly for seven years, and at the end of that time the full amount subscribed is repaid. The more you investigate, the more i will you be convinced that the Auckland j Gas Company's debentures offer a per-1 feetly sound and profitable investment,, which should not be missed. Owing to recent heavy subscriptions, the lists will close very soon. Sums of £50, £100, £250, and £500 are being accepted. j A cheque in full payment for amount i required should accompany the applica-1 tion, which should be addressed to the secretary, Auckland Gas Company, Wyndham Street, Auckland, from whom a copy of the prospectus may also be obtains?

by Arrangement.) I