What Shall I Do with My Money?–Enormous Profits in Trust Companies–The Most Costly Bell in the World–The Bell Telephone–Edward Bellamy’s Vision–The Best Paying Stocks–$11 per Day in a Lodging House–How a Young Man Made $10,000–How to Start with Nothing and Be Worth $100,000 when You are 40 Years Old.

The first question is, How to get fortune? The second, How to invest it? The general distrust of money concerns is seen in the enormous deposits in the savings banks–a disposal of savings which yields the smallest returns–and also in the readiness, not to say rush, to take government bonds when only three per cent. or even less is offered. We give a few of the best paying investments, but the list is by no means exhaustive. The first four are in a section (Brooklyn Borough) of a single city, but there is no reason to doubt that other cities, and other sections of the same city, can make an equally good showing. Indeed, many Western concerns pay much higher dividends.

947. ILLUMINATING COMPANIESOf the ten illuminating companies of Brooklyn, not one last year paid a less dividend than five per cent., and one paid ten per cent.

948. TRUST COMPANIESOf the eight trust companies in the same borough, only one paid less than eight per cent., and that paid six. The highest paid sixteen per cent.

949. BANKSOf the twenty-three banks of Brooklyn, State and National, one paid its stockholders sixteen per cent.; one fourteen; two, twelve; one, ten; and four, eight; only one paid less than five per cent.

950. INSURANCE COMPANIESOf the four local insurance companies, one paid its stockholders twenty per cent., and the others twelve, ten and five.

951. TIN PLATE COMPANYAll the tin manufacturers of the country are about to be associated in one great company, to be known as the American Tin Plate Company. The stockholders expect to double their profits.

952. POTTERY COMBINATIONUnder the laws of New Jersey, the pottery trust has just been organized with a capital of $20,000,000. The price of the stock is rapidly advancing.

953. CONSOLIDATED ICEAn ice company, to be called the Consolidated Ice, will soon control all the trade of New York City. Prices are to go up, and profits, instead of a meager four or five per cent., as at present, will, it is expected, be eight or ten per cent.

954. FLOUR TRUSTBritish and American stockholders have combined to form one of the biggest trusts in the world. The capital of the new company will be about $150,000,000, and the output 95,000 barrels of flour daily. Should the profits be only twenty-five cents a barrel, the net earnings will be nearly $25,000 a day; but it is expected that with the increased price, the profits will be at least double that figure.

955. FURNITURE COMBINEThis is a new trust which is soon to be floated, and which proposes to control the manufacture of all the school furniture in the United States. The capital is to be $17,000,000. Some idea of the enormous profits awaiting the stockholders may be formed when it is stated that the present output is more than $15,000,000. The combination means decreased expenses in operation, higher prices for customers, and, of course, greater incomes for stockholders.

956. TELEPHONE MONOPOLYOne of the greatest monopolies of the country is that of the Bell Telephone. The company has increased its capital stock in eighteen years from $110,000 to $30,000,000. In that time it has earned $42,903,680. It pays dividends of eighteen per cent., and could pay more, if allowed to do so by its charter. The surplus is used to increase the capital stock, so that in addition to its enormous dividends, every little while it presents its stockholders with new blocks of this exceedingly profitable stock. The present price of shares is about $280.

957. A GREAT ELECTRICAL COMPANYAnother of Bellamy’s dreams is to be realized. New York capitalists, with millions of dollars at their command, have united in a great scheme to supply electrical energy to run the elevated and surface railroads and the factories of the metropolis. They propose to do away with steam entirely, except for heating purposes. They will control more than 1,000 square miles of the watersheds of the Catskills, and the mountain streams will be harnessed to furnish electricity for New York. The company claim to have the names of such well known persons as Thomas C. Platt, Silas B. Dutcher, and Edward Lauterbach as interested persons in the scheme, and it is said that the undertaking will be on a much grander scale than the similar one at Niagara, to which the Vanderbilts, the Webbs, and other famous manipulators of finance have furnished backing. If this scheme should materialize, it will undoubtedly be one of the best paying investments.

958. INDUSTRIAL STOCKSHere is a partial list of the best paying stocks. Of course, where the interest is large, the price of the stocks is correspondingly high. The investor, before paying the high prices asked, should use his best judgment in considering whether the present rates are likely to be maintained. The highest dividends on industrial stocks last year were as follows: Adams’ Express, 8; Consolidated Gas (New York), 8; Peter Lorillard (tobacco), 8; American Tobacco, 9; Diamond Match, 10; American Sugar Refining Company, 12; American Bell Telephone, 18; Standard Oil, 33; Welsbach Light, 80.

959. RAILROADS DIVIDENDSStock in such railroads as the Pennsylvania, Lake Shore, Michigan Central, New York Central, New York and New Haven, are safe and profitable investments, if you can get them. The last-named road has paid ten per cent. for many years, though recently the figures have dropped to eight. The railroad stocks paying the highest dividends last year were as follows: New York, New Haven and Hartford, 8 per cent.; Great Southern (Alabama), 9; Manchester and Lawrence, 10; Norwich and Worcester, 10; Boston and Providence, 10; Connecticut River, 10; Georgia, 11; Northern (New Hampshire), 11; Philadelphia, Germantown and Northern, 12; Pennsylvania Coal, 16.

960. LODGING HOUSEA man leased an abandoned hotel, containing 100 small rooms, and fitted them up with single beds. He charged a uniform price of twenty-five cents a night. The location was down town in New York, the congested district where congregate travelers, tradesmen, workingmen, and the vast class of floaters. His rooms were nearly always full. Income per day, $25. Daily expenses: Night clerk, $2; two chambermaids ($15 each per month), $1. Rent, $5; lights, $1; laundry, $3; sundries, $1. Total expenses per day, $13. Net profit, $12 per day. He says, “I am sure I could double these profits if I could double my accommodations.”

961. REAL ESTATEA young man twenty-one years of age, and possessing $500, bought a tract of land in the outskirts of a suburban city for $1,500. The tract contained twenty acres, and he paid $500 down and gave a mortgage for the remainder. He had the property surveyed and divided into lots, eight to the acre. The tract was located on the bend of a river, and he called it “Riverside Park.” Lots were advertised for sale at $100 each. The first year he cleared off the mortgage by the sale of lots. He had remaining 145 lots. In five years he sold all these lots at an average price of $85. Total amount received for lots, $13,825. Price of land, $1,500. Taxes, $625. Surveying, grading, etc., $762. Advertising and other methods of booming the property, $1,272. Total cost and expenses, $3,534. Net profit, $10,291. By repeating this process on a larger scale in another city, this young man, who started at sixteen years of age with nothing, and by hard work and economy had save $500 at twenty-one, found himself at the age of forty with $100,000. The secrets of his success were four: Shrewdness in foreseeing where property would be likely to advance; energy in quickly changing the property from a farm into building lots; taste in making them attractive, and giving the place a pretty name; and, most important of all, the knowing how to create a market. We have known this process repeated by others with almost equally marked success. In all our large cities there are land companies developing suburban property and making fortune rapidly.

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