To the Editor of the "Nowi-Cunwa Dany News"
Su—The fact that commissions in Shanghai are on a level with those London and other places does not alter the fact that the present brokers' Commissions on low-priced shares in Shanghai are so high that it is almost. impossible for the public to get ud out of the market and make a At the present time the shares of eight companies in the list of rubber plantations stand vat between $1.00 and $2.00. The brokerage on these shares $002 each way, but price fuctua-Wong in many eases during the last week or so do not amount to as much as four cents ($0.04).
The rise or fall has to be at least $008" before an outside speculator can make any profit. The result is that except when there is a strong movement it does not pay, the public to come in. This may be a. good thing, but as far as these low-priced shares are concerned it is certainly true that brokers are cutting their own throats. This may be a good thing too, but I doubt if that is what they Intended to do.
The present rates are too high, unscientifically graded, and act as a definite handicap to business.
'A simpler grading on a percentage basis say 1 per cent. on shares up to $500, % per cent. up to $1000; and 3 per cent. from then onwards would be fairer to the public and in the long run better for the brokers themselves.
Shanghai, Mar, 22, Shanghai, Mar. 16.
Text read from the printed page and cleaned; old type leaves the occasional error.