NEW STOCK EXCHANGE.

Auckland Star, Volume LXIII, Issue 234, 3 October 1932, Page 8

NEW STOCK EXCHANGE.

INAUGURAL MEETING. ADDRESS BY CHAIRMAN. FACILITIES FOR INVESTORS. ;' fc The inaugural meeting of the Stock Exchange Corporation of New Zealand Was'held this afternoon, when'members of the corporation representing all the chief Dominion "centres were present. The chairman' of directors, Mr. V. "B. Mclnnes, in outlining .the objects of the corporation, ,6aid: — "This meeting should prove an epoch in the life of this institution, for as such it represents a definite step forward in.'connection .with the operations of this Exchange. , . -. . "Having chosen the brokerage business as a profession it is, only, right that enterprising ■ brokers should have an organisation enabling them to offer market facilities to their-investors and i to the public- generally, and be in tlioi | position . by organisation to compile ! financial information, and investigate j I propositions put befpre them from time j to time for the development of the Dominion's resources. To act as the medium between buyer and seller to the extent of hundreds of ' thousands of pounds per annum is certainly a. great privilege, but as every privilege constitutes an obligation, it is necessary, that - we leave no stone unturned to see that •the investing public receive the necessary protection. Every part of the community, that is, the corporation, .which requires money,. the brokers, who are the medium, and the . investor, who would help enterprise provided he has protection against the unsound project, have expressed to US' the need of an Exchange that will investigate new issues thoroughly and, providing that they are sound, will place them before the public in a business-like manner and will adopt all honest methods of helping to obtain finance to develop this land of ours. V ' ' ' "This corporation is not antagonistic to any other organisation, but as brokers we believe that an organisation is required that will adopt up-to-date methods. The turnover of the gentlemen present is a proof of the need.

Supporters of Advertising. • "Newspaper advertising has been called the silent salesman, but we believe that it has the greatest selling medium that can be employed; therefore, as a corporation we believe emphatically in advertising. If.a proposition .is worth' handling it is worth advertising, and the proposition that, cannot be openly advertised is not worthy of attention. Therefore, this corporation will not prevent the individual members from' advertising, but will encourage every effort' to do 'so. I do not know of a. better method to show the public-as ti. broker ( that one has confidence in his wares than to advertise, particularly in the daily newspapers. For a -written statement is'one that carries responsibility. "It is also the policy of the Exchange to quote price lists of established companies, and while these lists may not appear daily at first, they will appear more frequently" as the business of this Exchange develops and transactions in-

J crease. It is also our intention to introduce, and quote .a number of the best English investments; not quoted on any ' Exchange .in New Zealand, but quoted on the London Stock Exchange; and in connection with this considerable data have, been accumulated. The Companies Act. "As .brokers, who . have a desire to. protect our clientele we will welcome any legislation that will protect the investor by making it compulsory to supply full and- detailed information in connection with-all-transactions affectinj: pvojeets. concerned. If. it can be assured through legislation that, a company.must give full information to the investor before he invests, then the necessity for limiting .organisation by conservativej regulations, in eliminated. ''An attempt to make a monopoly of personally submitting and. explaining investments to the public, is detrimental to the progress and development of a young country such' as New- Zealand," which to-day may be' said to be only in the infancy of its development."