DUNEDIN STOCK EXCHANGE

Evening Star, Issue 19126, 18 December 1925, Page 2

DUNEDIN STOCK EXCHANGE

ANNUAL MEETING The annual meeting of the Dunedin Stock Exchange was held yesterday afternoon. The chairman (Air L. 11. Smith) presided. In addressing the members the chairman said that shares in Australasian hanks all showed handsome increases over prices ruling a year ago. Their reserve funds, with one exception, were well into seven figures, and the market price of the shares would seem to indicate that distributions from these sources in some shape or form were being anticipated by shareholders. In the insurance section each ol the four companies had reserve, funds which largely exceeded the capital, and in the case of the Standard Company it was more than double the capital. The rate of interest realisable on these stocks at present prices was very low, and indicated that there also shareholders were expecting some proposals from the directors. Shipping and coal shares remained much as they were twelve months since, with the exception of R. and 0. deferred stock and Westport Goal, both of which had tailed to maintain their level. Shares of meat preserving and woollen companies had all fallen seriously, and the reports of most of these did not record profits on the usual scale—some disclosed considerable losses. Quotations for _ all brewery stocks had advanced rapidly since the decisions at the recent elections, and a big volume of business had taken place throughout the dominion. Locally shares in the two rubber companies and the Kawarau G.M. Co. had been responsible for a large number of transactions, and values in the former had increased during the year by lully 200 per cent.—an increase that was fully justified by the present price of rubber, which seemed to be steady at about 4s Ad per Hi. The Kawarau dam had taken longer to construct than was anticipated. but should be in operation /n good time for the coming winter. The effort ol' the reduced flow of water in the bod of the river and the possibilities for gold getting that might thus be created would bo watched cagerly_ by many people throughout the dominion. Business generally throughout the year Business generally throughout the year had been on a good scale, and would have been still better had there not been so many new issues by banks and companies who had scope for the use of additional capital. The National Bank alone called for and received £500.000. Locally the City Corporation had been absorbing considerable sums by debenture issues. A distinct firming of prices all round had been in evidence since the result of the elections in November. This tendency was further manifested a little later, when the results of the Commonwealth elections were announed. The Treaty of Locarno, covering seven nations, would have its effect on British and Continental markets, and this, too, should react favorably on this side of the world. The fact that, the Commonwealth loan of £67,000,000 bad been oversubscribed by £500,000 was also a satisfactory feature in the money market of Australia and New Zealand. During the last year or two a number of afforestation schemes had been placed on the market. Uc thought it, would he, in accordance with the meeting’s wishes that a word of warning he given to investors us to the desirability of obtaining export advice prior to taking an interest in these companies. No doubt some of them were good and sound propositions, but this might not be so in every instance. It was, he said, a, matter of surprise to many that no stops had been taken by the Government to educate the people, both young and old, concerning the urgent 'need that exists for purchasing British goods. Ijhc Old Country was | our best customer for primary products, land if people continued in purchase Continental and American goods on the I present scale they were merely pursu- | mg a policy that was attributed to the animal that succeeded in cutting its own throat. There was room for a vigorous propaganda ranging from the lead pencil to (he motor car. He concluded with a word of congratulation |to the directors of the Exhibition. I Their far-sighted vision and pluck and ! determination deserved the success that j they had won. They had placed Dun- | edin in a very proud position. He was j sure that all joined in an expression of appreciation. The annual report and balance-sheet were adopted. The following office-bearers were elected :—Chairman, - Mr Hannan Reeves; secretary, Air E. J. G. Johnston; Executive Committee --Messrs E. R. Smith. W. Vivian, W. E. Sligo, J. ;H. AValker, 11. S. Fenwick; trustees---i Messrs W, Vivian, H. S. !• enwick. E. | R. Smith: auditor. Air J. A) . Smeaton. i The retiring chairman and committee land the secretary (Air 11. B. Battriek) were accorded voles ot ilianks lor services during the past year.