larger number of tons than another might actually be doing less business, because the number of tons carried was for a less distance. The product of tons and miles is used by railroads to compare business done with that of other roads, or with their own business in other years. Ton Mile Cost. The cost of carrying one ton of freight one mile. This cost cannot be accurately ascertained. It is merely a rough approximation used by railroads for comparative statistical purposes. Tonnage. The amount of freight carried by rail or boat. Tonopah. Tonopah Mining Co. of Nevada. (Gold and silver.) Tontine Insurance. A life insurance contract which provides that all payments made by the insured and all accrued profits shall be forfeited and the contract terminated upon the non-payment of any premium when due. Sometimes used incorrectly to designate deferred dividend policies which have both cash surrender and paid-up values. These policies are semi or free "tontine," being "tontine" only as to their dividends, which are lost to the insured in case of death or lapse. To Order. See "Payable to Order." Top-Heavy. A market is, or prices are, "top-heavy" when too high for the times, and ought, judging from existing conditions, to tip over, react, or decline. Toppy. Prices getting dangerously high and ready to topple over; top-heavy. Torrington. The Torrington Co. (Needles, etc.) Total Surplus. See "Surplus." Touched. "General Electric touched 180;" meaning that the stock of that company reached the price of $180 per share. TR. The "ticker" abbreviation for "trust receipts." It is also otherwise used to mean "transit or trust." Traction Shares. In general, the stock of any or all street railway companies; but, as used in the New York newspapers, stocks of the local companies. Traction Stocks (or Bonds). Issues of securities by street railway companies of all kinds, whether operating elevated roads, surface lines, or subways. It is to distinguish these securities from railroad companies, as commonly understood, that the word "traction" is used. (See "Electric Railway Securities.") Trade Balance. Same as 66 Balance of Trade." Trade Bills. An English term for "inland (exchange) commercial bills." (See "Exchange.") Trader-Broker. A member of the stock exchange who buys and sells on his own account. Trade Discount. The discount allowed by the manufacturer or wholesaler to some one else in the trade, generally the retailer, on goods purchased; the goods themselves to be billed at the retail price, and the discount, therefore, being so much off the retail price. Dealers of certain commodities, the prices of which have a wide range of fluctuation, such as paper, glass, etc., have fixed charges for their goods, and issue discount sheets, from time to time, stating what discounts from these prices will be allowed. Trade Dollars. Authorized by the Act of February 12, 1873, containing 420 grains troy; intended for circulation in oriental countries as a substitute for the Mexican dollar; slightly exceeding the same in weight; formerly legal tender in the United States in sums not exceeding $5. This latter quality was withdrawn in 1876 and the coinage was limited to such amounts as the Secretary of the Treasury should consider sufficient to meet the export demand. In 1887 the retirement of trade dollars and their recoinage into standard silver dollars or subsidiary silver was provided for by law. The total number of trade dollars coined was 35,965,924. The number redeemed under the Act of 1887 was 7,689,036. For six months after the passing of the Act of 1887 trade dollars could be exchanged, dollar for dollar, for standard silver dollars or subsidiary coin. Since the expiration of that redemption period Trade Dollars have been purchased as bullion when presented at the mints. Trade Paper. See "Business Paper." Traders. Those who make a business of buying and selling securities upon their own accounts. They must not be confused with bankers who sell to regular clients, or with brokers who execute orders on a commission for others. There are several classes of "traders" so-called; first, those who are not stock exchange members; second, professional traders, who differ from the first named only in owning stock exchange seats, who also have their orders executed by some other stock exchange member, and to whom they pay a very much reduced commission, in accordance with the stock exchange rules, but do not go upon the floor of the stock exchange to execute their own orders, although they would be privileged so to do, in which latter event they would become, third, room traders; i. e. those upon the floor of the stock exchange, who buy and sell securities for their own account. Such, of course, must be members of the stock exchange. One writer very well says: "Trading in stocks can ordinarily be divided into professional and public dealings. There is a great difference between the two. Professional trading includes manipulation and the operations of those who make trading in stocks a considerable part of their daily business. Trading by the public covers investment business and a form of dealing which is partly speculative and partly investment. The professional operator trades all the time. Public trading is variable and very uncertain." Trading. Buying and selling securities for personal gain, the dealings being with bankers or brokers and not with the investment public. A reading of the subject under the heading "Traders" will give a fair idea of what is known as "trading." Traffic Density. May be either "freight density," or passenger density." (See those subjects.) Traffic Pools. See footnote to the subject "Pool." Train Mile. The movement of a train one mile. It is taken as the unit of movement of trains between terminals. Transfer. See "Transfer of Stock." Transfer Agent. A person, banking house, bank, or trust company generally the latter which has in its possession the books of unissued stock certificates, and, probably, a seal of the corporation, for which it acts as transfer agent, and which is authorized to issue new certificates for old ones when presented, properly assigned and witnessed, and to keep a record of all such transfers. A "transfer agent" is one through whom a change in ownership of a corporation is made; corresponds to a register of deeds in a transfer of real estate. A great many corporations do not have "transfer agents," in which case transfers of stock are made through the office of each corporation itself, some officer generally the treasurer keeping the records and seal. Transfer Book. A book in which is recorded transfers of shares of stock, showing a change of ownership. Transfer Books Closed. See "Books Close." Transfer in Blank. First read "Transfer of Stock." It will there be observed that there is a blank on the back of each stock certificate which provides that the one wishing to make a transfer of it may fill in the name of the person to whom the stock is sold, or to be transferred. If, for instance, Maria Morton sells her fifty shares to John Roe, and fills in his name in this blank, then he only is entitled to have a new certificate issued in his name, and it is notice to the corporation that John Roe owns the certificate. But if Maria Morton sells and delivers her certificate to John Roe, and no name is filled in as above, then the certificate can pass from owner to owner, without the necessity of a new one being issued each time. However, should there be any dividend declared in the meantime and while the books of the company still showed Maria Morton to be the owner of the stock, the dividend would go to her and not to John Roe, or any subsequent owner. It would be proper and legal for the owner of the stock at the time of the declaration of any dividend to demand of the person from whom he bought the stock, and so on back to Maria Morton, the payment of the amount of such dividend, and she should pay it to John Roe, taking a receipt from him at the time of so doing. There is an exception in case of the stock being sold "exdividend," for an explanation of which turn to that subject. In the case of the sale of a stock of doubtful value, where possibly the corporation is in danger of failure, it is very important that the seller should personally attend to making the transfer on the company's books, for the name on the records of the company would be accepted, in law, as evidence of ownership, and if the stockholders, as in national banks, were liable for the debts of the corporation to an additional amount equal to the par value of the stock, then those whose names appeared on the records, at the time of the failure, as owners of the stock, would be the ones liable. By far the safest way is for the seller to forward the certificate to the transfer agent (see " Transfer Agent "), giving instructions for the issuing of the new one, thus being assured of the change in name upon the records. Never "transfer in blank" any 1 The very pertinent objection may be raised here, of forwarding a stock to be transferred into the name of another party before receiving payment for the same. Likewise, the transferee might object to paying for the stock until delivered. To prevent all doubt and risk, this may be effectually accomplished, as follows: The seller agrees to make delivery by transfer, as it is called. The transferee agrees to pay for the stock upon delivery. The latter executes a power of attorney, authorizing the transfer of the stock from himself to the original party; so that, at any time previous to the delivery and payment for the stock, the seller could, by the use of power of attorney, have it re-transferred to himself. He will hold this power of attorney; forward the stock to the transfer office with instructions for it to be returned to him after transfer. Upon its receipt, he will deliver to the purchaser the certificate of stock in the latter's name, together with the power of attorney referred to. By this method, if, for any reason, the purchaser should refuse or be unable to accept the certificate of stock, then the seller, by the use of the power of attorney, could have a new certificate issued in his own name. The ordinary method, which is considered sufficiently free from risk by stock which carries additional liability for debts or which is subject to any assessment whatsoever. (See "Non-Assessable.") Transfer Office. See "Transfer Agent." Transfer of Stock. Transfer of ownership in a corporation from one person to another. The actual method of accomplishing this is for the holder of the certificate (see "Stock Certificate") to fill in a blank to be found upon the back of the same, inserting the name and address of the next owner and signing his or her name. (If owned by another corporation, then that corporation's name followed by the signature of the officer authorized to sign for such purpose, and accompanied by a copy of the vote or extract from the company's by-laws, authorizing the transfer, and certified by some officer other than the one signing the transfer.) Then the signature should be witnessed by another person who should sign after the word "Witness." Care should always be taken to make the owner's signature upon the back agree exactly in wording and spelling with the name as filled in upon the front of the certificate. For example, if Mrs. Maria Morton is the name on the front, then she must prefix the Mrs. to her signature on the back. The certificate may then be sent to the transfer agent (see Transfer Agent ") and a new one the old certificate being cancelled will be issued in the name of the new owner, and delivered in accordance with instructions accompanying the old certificate. Suppose, however, Maria Morton owned a certificate for fifty shares of a certain stock, of which she had sold to John Roe, twenty. She would then fill in upon the back, in the blank showing the next owner, as follows: John Roe twenty shares - Give in each case the full And then the transfer agent would issue new certificates accordingly. There is another part of the blank upon the back of a stock certificate, which is sometimes filled in by the person wishing to make transfer; that part which allows the naming of an attorney to make the transfer. If, for any reason, Maria Morton should wish to send her certificates to some one in whom she placed confidence, giving this person not necessarily a lawyer-power to go to the transfer agent and accomplish the transfer, she must fill in the name of the person to whom she wishes to delegate such power and in the blank the brokers, is for the seller of a certificate to fill in upon the back the name of the party to whom he is selling. This will compel a transfer of the certificate before it can again be sold. |