■ FROM 41 TO 5 PER CENT

It is good to see that there is still a kick left in the gilt-edged market. Even a slight turn of the official screw has brought a rally in cfnotations, and with War Loan over par again the gilt-edged holder may well feel that even if prices in the long run are to decline, as I still believe to be inevitable, he is to be lowered gently and not let down with a resounding bump. Insurance companies, at any rate, have been tempted back into the market, and although slightly tattered, the Cheap Money flag is again fluttering bravely over Whitehall. So far, the rally in gilt-edged has scarcely been reflected in the indus- trial prior charge market and investors can still fill their needs on reasonable terms. Here is a group of preferences which I commend to those whose income needs dictate a yield of 41 per

cent. or more :— No. of Times Divideni Current Yield.

Covered. Price. % ,

4i

£12

12 0

31,6

4

13 0

31

'24/3

4

10 6

3i 19/9 5

1 3

3}

1916

5

2 0

4 28,`-

5

0 0 The average return on this group of half a dozen shares is just over £4 16s. per cent., a satisfactory yield in relation to the security offered. Only a very serious contraction in earnings could jenpardiie the dividends on any of these preferences, and in present conditions all , the companies in my list should be increasing their trade.-- Borax Consolidated 51 p.c. Cumula-

tive Lip Preference • - • Carpet Trades 5 p.c. Li Cumulative Preference Colvilles 51 p.c. Li Cumulative Preference ' .. • • • • Pease & Partners 5 p.c. Cumulative

Li Preference ... • Neuchatel Asphalte 5 p.c. 'Cumula-

tive £i Preference - - • Venesta 7 p.c. Cumulative Li Pre- ference .. .. • • • •