THE SMALL INVESTOR

Evening Post, Volume XCIII, Issue 27, 31 January 1917, Page 6

THE SMALL INVESTOR

Sis Joseph "Ward, speaking at Eastbourne, England, suggested that the war is yet to bo won by the copper bullet in association with the projectile of more Drccious metal. Presumably be referred to the quite small investor. Well, that class of investor in Now Zealand has taken up to it-be present -81-,214,380 of the War Loan in £1 and £10 certificates. To some extent this fully justifies the action of the Government to encourage the man with the small means. "Taking -the figures furnished by the Acting-Minister for Finance (Hon. 1 A. M. Myers), it is curious to see how 'the response to the invitation to itake up war certificates varied in different places. Auckland took up £149,982.in certificates against Inverca-rgill's £65,361; but on a per capita basis Auckland's contribution is given ac only 19s sd, while InvercargilTs is £2 2s 9d; Wellington heads the list in the total taken up, bui Hokitika subscribed on the basis of nearly £4 per head, its purchase of certificates amounting to £8887 and its pojnilation 2238; New Plymouth took *up certificates amounting to over £6 per head of its town population of 7625; and Timaru just under £3 ,per bead on its population of 13,175. The variations open up a large field for speculation.. Was the advantage of subscribing to the loan through these- certificates more clearly realised in the country towns than in the cities? Is the small investor more numerous or more confident, or both, in the towns than in the metropolitan centres? Are the conditions of living, as well- as the- prices of things, easier in the tovms than in the cities? or axe the people less thrifty in the big centres than in the smaller centres? It -is very difficult to explain -why these variations are sovgreai. Attractive as the terms ;may be, perhaps the period, -for which the money invested' in certificates is required (five years) ie considered by some people rather too long for small investors of"" the-cities, -whose seaicb, for employment, or ofcher reasons rn^y necessitate their- removal ifrom place to place, or even out-of the Dominion/ The post i'ofnce-and;:-local savings banks have tha i advantages of a comparatively high rate Lof interest, cafe custody, and the pay;;.ment of deposits on demand. Should :"ifc be necessary tto issue a .further war :'loan.;inthe Dominion-it might be of ad"vantage to consider the whole question •••of' tho small investor with a view oi •sfurther interesting him in the proposal, and if necessary arrange facilities for his ■utilisajtion of liis capital, or part of it, -.in tho case of some sudden, unforeseen ■emergency. The cities, at any rate, ■■might then make an even better showing in the purchase of war certificates than they have- done up to the present.