Venturers' Corner
Like every other key commodity tin is tied to the wheels of American industry. I feel, however, that the statistical position is such that only a modest recovery in American consumption would be required to induce quite a sharp rise in tin prices. The reduced rate of production fixed by the International Committee for the third quarter means that the total output, including the allocation to the buffer pool, will be below even the current rate of consumption. These are conditions in which I think the speculative investor willing to take a long view might do well to look at tin shares. My choice, from the standpoint of a well-spread interest in this field and also from the standpoint of a reasonably free market, is British Tin Investment ios. shares, quoted around 13s. 9d.
This holding company has a large portfolio which includes shares in many of the best-known producers, such as Malayan Tin Dredging, Petaling, Southern Kinta, Southern Malayan, Tronoh, and Southern Tronoh. For 1937, admittedly a very favourable year, a dividend of 15 per cent. was paid out of earnings of JO- . per cent. This year revenue will certainly be lower, although it will get the benefit of some of the dividends earned by the operating companies in 1937. My own view is that the adverse factors in the present situation are fully allowed for in the current market price. Th6se willing to take a moderate risk on general recovery possibilities—and to exercise patience—should not conic out
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