Scripophily collector is a library of interesting reference works can add real enjoyment to the hobby

A Collection of References for New Collectors

In the next few issues of WHACO! News we will discuss "Building a Library." We will emphasize learning about the hobby, the history of industry, and the people who made America great. In addition to attending shows and auctions as a good way to learn, building a library of interesting reference works can add real enjoyment to the hobby. A Standard Oil Trust Certificate takes on real meaning when you know about the life of J. D. Rockefeller, the evolution of the oil industry, and the history of how this trust lead to American supremacy in oil and eventually government "trust busting." See the article on page 19 on how Standard Oil Trust delayed the government breakup order for seven years and which certificates they used to do it.

Our first article will introduce a set of inexpensive books that provide enjoyable and informative reading. These books are a good references as you focus in on your areas of interest as discussed in the accompanying article, Theme Collecting. Articles two and three in this series will discuss larger libraries and specialized libraries.

In the next issue, we will describe a general library that should take care of the most avid collector. The next article will introduce reference material for specific industries like railroads, aviation, automobiles, canals, oil, etc. If you have an area of interest, drop WHACO! a line and we'll try to include it in that article.

The $200 Reference Library

Let's go back to Rick Malone's Rule #1 from the first issue of WHACO! News: "Do your homework." Homework has always implied books, periodicals, and libraries to me. You are already getting WHACO! News, and in Periodicals Corner we try to keep you informed of good articles in other publications. We suggest six books that should be available from used book stores that will greatly enhance your enjoyment of your collection. These books will allow you to begin research on those items you have and want to know more about, and autographs or certificates you are considering purchasing.

Suggested Library

These books are listed in the order that a Scripophily collector might wish to purchase them. The suggested price is an estimate of the current market for those books.

Scripophily: Collecting Bonds and Stock Certificates, Keith Hollender, Facts on File, NY, 1983. Scripophily is a defining book in the hobby. The book is illustrated throughout, and is divided into three parts: part one covers the background and history of Scripophily; part two describes some of the collecting themes by country and subject; and part three gives advice on buying, selling, and preserving, and pitfalls to avoid. ($27-used) Scripophily: The Art of Finance is an updated version of the same book tha is in print and available through the Friends of Financial History Museum for $30.

The Age of the Moguls, Stewart H. Holbrook, Doubleday & Co., NY, 1953. Recommended as the beginning basic reference for students of American business history. Holbrook has written a fascinating study of the days when America's great fortunes were built. Covers all major industries and the robber barons and moguls who helped develop them. ($15-20)

The Robber Barrons, Matthew Josephson, Harcourt, Brace, Jovanovich, San Diego, 1934 and renewed 1962. Josephson's story is informative and entertaining. The expanding America of the post-Civil War era was paradise for free wheeling capitalists-no regulation, no taxes, and all new territory. This is the story of survival of the fittest. ($15-25)

Concise Dictionary of American Biography, Charles Scribner's Sons, NY, 1964 (various dates available and can be substituted unless collecting recent autographs), 1273 pp. The concise version of a multi-volume Dictionary of American Biography (DAB). A ready reference to an unrivaled treasury of American achievement. A fourth edition was published in 1991 for $150. The Concise DAB is an absolutely essential reference for scripophilists. ($75-90)

Concise Dictionary of American History, Charles Scribner's Sons, NY, 1962, 1156 pp. Over 2,200 authoritative articles of the "what, why, and how" of every major event, social force, and trend in the history of the United States. ($25, in print at $70)

The History of American Business & Industry, American Heritage Publishing Co., NY, 1972, 384 pp. A concise and well-illustrated history of American business from 1607. Onerous and amusing tales of making steam engines behave, keeping the stock market honest, and getting pigs to market. The story of the wheelers and dealers. ($25)

Several of the descriptions used were extracted from Guide to Business History, Henrietta M. Larson, J. S. Canner & Company, Inc., MA, 1948 (reprinted 1964). While we do not recommend this volume for beginning libraries, it is a critical bibliography of 4,904 business related publications and is the key to extensive business history research (available for about $45-50).

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Scripophily collectors

Determining The Value Of Old Stocks And Bonds

There are many factors that help determine the value of your old stocks and bonds. Condition of course is always an important consideration - with share certificates catalogued as 'uncirculated' or 'extremely fine' being valued at as much as ten times the price of the same stock in fair or poor condition. The age of your item is also important - the general rule of thumb is that the older your certificates the more valuable they are likely to be. Another factor to bear in mind is the original face value of your bond - the greater the amount the more you are likely to realise this time around. The feel and look of your stocks and bonds is also significant. Good quality paper with appropriate watermarking is the most desirable. Many stocks carry vignette illustrations and incorporate calligraphic lettering and ornate coloured borders - generally speaking, the more decorative your bonds the more valuable they are likely to be. The engraving process employed is also significant - lithographed specimens usually demand a greater price than wood cuts. Other factors include the nature of the company issuing the stock, the printer responsible for producing the bond and the identity of the individual or company purchasing the stock.

Given the vast numbers of stock and bonds in circulation many scripophily enthusiasts choose to specialise in certain collecting areas. The most lucrative categories include railroads, automobiles, mining and foreign issues such as Tsarist Russia and Imperial China. Autograph collectors also keep a watchful eye on the scripophily market as signed certificates by famous people also appear from time to time. Thus, early American Express company stock signed by William Fargo (of Wells Fargo fame) can sell for about $750. Items signed by Fargo can make less of course, American Express is one of the companies more keenly sought by collectors. Other stock certificates carry the signatures of such luminaries as J.P. Morgan, John Paul Getty and the great Harry Houdini. For more modern tastes, a Planet Hollywood stock certificate endorsed by Demi Moore, Bruce Willis and Arnold Schwarzenegger could be yours for about $100.

The American Banknote Company

The American Banknote Company has been producing some of the finest examples of stocks and shares certificates for over 200 years and many scripophily collectors have managed to build a fine collection based around these fascinating documents. Prices for stock certificates from the 19th century can go up to $100 or more and those from the early 20th century generally range from $30 - $50. However unlike many companies valued by collectors, the American Banknote Company is still in operation and producing stock certificates for today’s investors. The firm produces documentation for many of America’s 17,000 publicly traded companies as well as travellers checks, foreign currency, passports and gift certificates such as coupons and bank checks. With the company’s reputation for producing the highest quality documents, these items too may become collectible in the future.

The American Banknote Company was formally created in 1858 and its longevity stands as testimony to fantastic corporate success. Its most important contribution to ensuring the stability of the American economy was in bank note production. The company’s first achievement was to recognise the need to use art and technology as a bank note safety measure - the second was to develop a sophisticated engraving method based on steel plate printing. This system was adapted to print small images of Greek gods on share certificates which made them into an attractive visual document and virtually impossible to copy. Yet another development was the introduction of ‘planchette paper’ for more accurate printing. The paper made use of coloured paper discs rather than silk fibres and is still the most popular material used to produce currency today. The company’s emphasis on increasing security made it immediately popular. In the mid 19th century the US desperately needed more security and efficiency regarding the economy and financial documents. This reputation for quality was not lost during the troubled years of the Civil War - even though it was a lengthy process to produce a good note or certificate, the American Banknote Company still managed to turn them out in their thousands. The company always prided itself on its high standards and amassed considerable profit from printing stock certificates for public companies across the country. Its reputation secured commissions from some of the most important overseas governments, such as Brazil, Greece, Italy, Peru, Columbia, Ecuador and various British colonies.

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