The work of the Stock Exchange

Bibliographic data

Monograph

Identifikator:: 1831284952

URN:: urn:nbn:de:zbw-retromon-225876

Document type:: Monograph

Author:: Meeker, James Edward http://d-nb.info/gnd/126597340

Title:: The work of the Stock Exchange

Edition:: Revised edition

Place of publication:: New York

Publisher:: The Ronald Press Company

Year of publication:: [1930]

Scope:: XVI, 720 Seiten; Illustrationen, Diagramme

Digitisation:: 2022

Collection:: Economics Books

Usage license:: Get license information via the feedback formular.

Chapter

Document type:: Monograph

Structure type:: Chapter

Title:: Chapter XV. The commission house

Collection:: Economics Books

THE COMMISSION HOUSE proper. As the included example shows, this statement is ruled into vertical columns for the entry of details regarding trans- actions, and is dated horizontally. Throughout, each transac- tion recorded is clearly designated as a purchase or sale, and its financial extensions as either debits or credits. At the bottom of the statement it is balanced to show the final money debit or credit balance, and the “long” or “short” securities in the account. Summary of Mr. Blank’s Transactions.—In the account of Mr. Blank here taken as an example, the customer in the beginning deposited as margin 5 Atchison general 4s, 40 shares of Pennsylvania, and his check for $8,000. He at once pro- ceeded to sell 100 Columbia Gas short at 8014, and to buy 100 Reading at 114)%. A few days later he successfully “made a turn” in Southern Pacific by purchasing 100 shares at 13214 and two days afterward selling them again at 135. After this Mr. Blank did nothing for two weeks, when he “covered” his previous short sale by purchasing 100 Columbia Gas at 8114 at a loss of 34 of a point; at the same time he purchased 100 shares of Baltimore & Ohio R. R. at 125. After a few days more he purchased 100 shares of Pan-American Petroleum B stock at 553% and sold short 100 shares of Crucible Steel at 1098. This latter short sale was more successful than the former, since later on Blank “covered” at 10314, although for three days he was forced to pay a premium of 4 for borrow- ing the short stock. Let us see how the bookkeepers of Jenkins & Co. posted the above and other items upon Blank’s monthly statement. At the outset Blank’s securities deposited as margin on August 1 are entered as “Received” and he is credited with his check for $8,000. His first two transactions—the short sale of Columbia Gas and the purchase of Reading, were also actu- ally made on August 1. The date of these items on the state- ment, however, is August 2, for items are dated not according to the dates when contracts for the purchase and sale of securi-

Access restriction

Copyright

fullscreen: The work of the Stock Exchange

Monograph

Chapter

Table of contents

Download

Monograph

Chapter

This page

Image fragment

Citation links

Citation recommendation