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Emery & Beers Company, Inc. Wholesale Distributors New York www

The Financial Department is prepared to furnish information regarding standard investment securities, but cannot undertake to advise the purchase of any specific security. It will give to inquirers facts of record or information resulting from expert investigation, and a nominal charge of one dollar per inquiry will be made for this special service. All letters of inquiry should be addressed to THE OUTLOOK FINANCIAL DEPARTMENT, 381 Fourth Avenue, New York.

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THE BUSINESS OF A BANK

EVEN thousand bankers from all sections of the United States attended the forty-eighth annual convention of the American Bankers Association, October 2-6, in New York City. Bankers are extremely valuable people in this day and age, and in any scheme of finance banks are first and fundamental. The greatest world problems of the present time are to a large extent banking problems, and it is the bankers who must find the solution. Modern business absolutely could not exist without banks; they provide currency and they supply capital, and trade and industry are dependent upon both of these

things. Business is really the collection and distribution of money, and a bank, loosely defined, is an agency for this purpose.

From the point of view of the investor a bank is as important as in the case of the seeker after capital. The very first thing an investor should learn is how to make use of a bank, for without this knowledge he will never get far. And while banks are not philanthropic institutions, every progressive bank will go out of its way to assist its customers, for its prosperity and success are inextricably interwoven with the prosperity and

A Review of Your
Investment Holdings

CONSTANT review of your gaivestments may be

necessary not only to guard against loss, but to take advantage of opportunities for profitable sale or exchange. Have you considered the following matters in connection with your present holdings:

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bank's willingness to help may be in its own interests primarily, but, whatever the motive, this help benefits the customer just the same. And the services a bank can render are manifold.

First of all, a bank is the safest depository for money, for cash in the form of bills and currency. A bank's safedeposit vault is a larger and stronger place for. cash than anything the ordinary individual can afford to maintain. This is protection against fire as well as against robbery, and how many times are bank burglaries successful as compared with those in private residences or offices? No doubt there still exist some people who keep money in stockings, old teapots, or tucked away in bureau drawers, but these people are running big risks which might be almost entirely eliminated if they would avail themselves of the facilities offered free of charge by banks.

When money is placed in a bank, the depositor is thereupon entitled to draw against his account by means of checks. Payment by check is of inestimable benefit to the depositor, for it does away with the expense and inconvenience of paying by cash, and avoids the risks of loss or theft which are always present when cash is carried on the person or kept in the house. A bank makes no charge for this service, and, further, a bank almost always allows a depositor interest on his checking account, the usual condition being that he keep a minimum balance that is, not allow the amount of money he has on deposit to fall below a certain agreed amount.

A depositor may also call upon his bank to collect checks for him that are drawn on other banks, and usually no charge is made for this service, which is a real one. For instance, if John Doe presents a check at his bank in New York drawn to his order by Richard Roe on a Chicago bank, the New York bank will collect the money from the bank in Chicago and credit it to Mr. Doe's account. This is another service of great convenience to the depositor, and, like many of the other services rendered by banks, has become so commonplace that it is taken pretty much for granted and its full worth not always appreciated.

If a man has a sum of money he knows he will not need for several months, he can arrange with his bank to deposit the money there; the bank will give him an instrument known as a Certificate of Deposit and agree to pay him a certain percentage for the use of his money for the duration of the time fixed upon. This is a very simple method of making a short-term investment, and, although the rate of interest paid is customarily low, it is far better to keep money working all the time, even if the return is low, than to let it be idle.

It is easier for a man to obtain a loan at a bank if he has an account there than is the case otherwise. A bank usually considers itself under certain obligations to its depositors, not only in the matter of making loans, but so far

NO LOSS TO ANY INVESTOR IN 49 YEARS

7%

Not Much Longer

When 8% was the prevailing rate of interest on First Mortgages in the National Capital, we sold our First Mortgage Investments to yield 8%.

During the year 1922 the prevailing rate has been 7%, which we will continue to offer only so long as we can obtain it for our investors with unquestioned safety.

Investments made before a lower rate goes into effect will receive 7% for two years to ten years, depending upon the maturity desired. Payment may be extended over a period of 10 months.

$50, $100, $500, $1,000 Write for Booklet N-7

The F.H.SMITH COMPANY

Founded 1873

WASHINGTON. D.C.

SAFETY

AND

7%

NO LOSS TO ANY INVESTOR IN 49 YEARS

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for the Investor

As the gem expert appraises precious stones, the bond expert weighs and judges bonds. You cannot expect to arrive at sound conclusions single-handed.

The National City Company's complete investment organization in 50 leading cities, and its years of specialized experience, are at your service. The security back of every bond we offer has been carefully weighed and judged by our officers. We would

welcome an opportunity to help you select bonds for the investment of your funds.

NATIONAL CITY

THE

COMPAR

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FINANCIAL DEPARTMENT

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as terms are concerned. If a man is a stranger, a bank naturally requires security for any loan it may make him— stocks, bonds, mortgages, or other tangi. ble property. In the case of a depositor, however, the bank is familiar with his affairs, knows his financial standing, and very possibly will consider his note ample security. In times of financial stress the loaning function of a bank is of most value to a depositor, for at such times banks will not customarily accommodate any one other than their own depositors. And often a ready loan may mean the difference between bankruptcy and solvency.

Bank deposits are repayable upon demand. That is to say, a depositor may withdraw the full amount of his deposit whenever he desires, and he may do this either by means of a check to his own order or to the order of whomsoever he may desire. It naturally follows from this that any part of his account may also be withdrawn upon demand. In other words, he may draw against his account in any amount or amounts up to the total sum deposited, and unless the bank pays these sums it lays itself open to a suit for damages.

In the modern business world the emphasis is continually upon short cuts and simplification. The practice of sending receipted bills is growing in disfavor, and here a checking account is very handy. A check sent in payment of a bill must be indorsed-that is, signed-on its back by the person or firm to whom it is made payable, so that when the check is returned from the bank it is itself a valid receipt. Further, the person who draws the check may make a note on its face of the item being paid, and when this is done the check is a complete record of the transaction.

Bond coupons may be deposited in your bank and the bank will collect them for you and place the proceeds to the credit of your account. Many banks sell steamship tickets these days; travelers' checks may be obtained at banks; banks will give advice and help on the income tax; they will act as brokers for the purchase and sale of securities. Many banks have trust departments for the administration and handling of estates. In fine, their business is so varied that in one short article it is impossible to do more than sketch the vague outlines.

For our purpose, however, perhaps the

Organizing a Company?

Save expenses and taxes by organizing on the popular, COMMON LAW plan under a pure DECLARATION OF TRUST. Anyone, anywhere, can fill in DEMAREE STANDARD FORMS, issue shares and begin doing business at once. Insist upon DEMAREE FORMS, the original, nationally-accepted forms, approved and used by well known attorneys. Send for large, free pamphlet (D-19) containing much information that you will need. C. S. DEMAREE, Legal Blank Printer, 708 Walnut, Kansas City, Mo.

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most important business of a bank is the service it can render investors. It is the duty of a banker to keep informed on this subject, and his knowledge and experience are always at the disposal of his depositors. A bank will not only buy and sell securities for you, but it will obtain information about investments, about the standing and reliability of brokers and investment concerns, and about business concerns as well. If you live in Richmond and want to find out about a firm in Cleveland, your bank will write to a bank in Cleveland and obtain the information you want. Banks

W. L.DOUGLAS

$5 $6 $7 &$8 SHOES

are actually demanded year after year by
more people than any other shoe in the world

BECAUSE: For style, material and workmanship

Protection against unreasonable profits is guaranteed
by the price stamped on every pair.

Years of satisfactory service have given them confi-
dence in the shoes and in the protection afforded by the
W. L. Douglas Trade Mark.

are conducted so as to render service, W. L. DOUGLAS shoes are put into all of our 110 stores at
factory cost. We do not make one cent of

and a man is foolish who does not avai! himself of its facilities. Never hesitate to appeal to your banker for help and advice on all matters pertaining to investments. Remember, that is the business of a bank.

profit until the shoes are sold to you. It is worth dollars for Boys Shoes $4.00 & $4.50
you to remember that when you buy shoes at our stores
YOU PAY ONLY ONE PROFIT.

W. L. Douglas name
and portrait is the best
known shoe Trade Mark
No matter where you live, shoe dealers can supply you with
in the world. It stands
W. L. Douglas shoes. They cost no more in for the highest standard
San Francisco than they do in New England.of quality at the lowest

stamped on the sole. possible cost. The name and price is plainly

Mo Douglas

YOU CAN MAKE IT SIMPLE

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BY THOMAS L. MASSON

NE of the most constant illusions among all classes of men is that the so-called "deep" subjects are unin.teresting and hard to understand. They have been made deadly dull by a whole succession of writers who, in order to make themselves important, have used a whole lot of big words to obscure their meaning. They are hard to understand only because we make them so. Another error is that children cannot be made to understand them. When I was a boy of fourteen, playing baseball, I used to talk constantly with a group of boys of my own age about God and infinity, and the conclusions we arrived at then were about the same as I hold now.

At the present moment there is a great deal of agitation going on all over the world, especially among the so-called thinkers. Bernard Shaw, in England, said only the other day, "The world is going to the devil." Anatole France, perhaps the most illustrious figure in France, declared that "civilization is dying." The biologists tell us that the highest types of people are dying out, giving place to the lowest types. The spiritualists are tremendously agitated, and declare that we are in the midst of a great spiritual revolution. Dean Inge, of London, thinks that we are in a pretty bad way, and his nickname of "the gloomy dean" does not mitigate the force of his criticism of mankind. The churches are a good deal upset. Labor troubles are rampant. Most people are thought to be very indifferent, and the standard of intelligence is said to be rapidly falling. What does all this mean?

Now there are a few men-you can count them on the fingers of one hand as a rule in every age who are able to define what is the matter with that particular age. They don't show up until long afterwards; then posterity-their posterity-looks back on them and knows them to be wise men. None of us knows now who are the really wise men of this age; many of the critics

ARE YOU AN INVESTOR?

During the past year the Financial Editor of The Outlook has helped hundreds of
Outlook readers to solve intelligently their particular investment problems. Perhaps
you are contemplating a shifting of your present holdings or have fresh funds to
invest. In either case we shall be glad to give you specific information on any
securities in which you may be interested. A nominal charge of one dollar per
inquiry will be made for this special service.

THE OUTLOOK FINANCIAL DEPARTMENT
THE OUTLOOK COMPANY, 381 Fourth Ave., N. Y.

declare that there aren't any-except themselves.

Nevertheless, out of all this apparent chaos of thought and typography it is not so very difficult to sum up the whole matter and put it in a few simple words. After that has been done as a basis, one can go on and think out the rest if he chooses-until he comes to a full stop as he always will. That is in the nature of things.

To begin with, let us say that philosophy is the science of boiling everything we know down to the point where we can tell where we get off; that is, we know what's what and what isn't what.

Your consciousness is all you have to go by. Eliminate that, and there isn't anything left. It is therefore with your consciousness that you must deal.

Now there are two parts to our consciousness; that is to say, there are two ways in which we come to know things. One is through the visible, and the other through the invisible. The visible world about us appears to be in the utmost disorder. We go into a forest and the trees, dead and dying, are lying any which way, and as we go about everything is piled up and being carted away; if there are regular masses, like cities, etc., they are changing all the time. So much for the outside. But the scientists tell us that they have sifted all this mass of matter down to the electron, and that everything is com

posed of electrons, which have a speed of 186,000 miles a second. It is the various combinations of electrons that compose all matter-some say all thought.

So that underneath this visible world, as we see it or think we see it, there is an absolute law. It is all founded on mathematics; nothing can happen that isn't based on material law. The sun rises and sets, the planets and the electrons both revolve, according to this law.

So much for the visible world. Now when it comes to the invisible world, the same thing is true, if we are patient enough to work it out for ourselves; this not only takes time, but much pain. We cannot expect to develop ourselves without self-discipline.

How can we come to know all this? The greatest of philosophers, Kant, pointed out the way long ago. It is through experience.

The present moment isn't causing any of us any trouble. We are not worrying about it. We worry only about the future. Let us, therefore, rest upon the present moment, and increase our faith in the moral law by checking ourselves up with our past experience. Looking back upon it, we shall find that there a good reason for everything, although we did not think so at the time. Start from this point and work ahead for yourself.

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