"Therefore the only chance a company has to make money is from the use of money--from the use of its premiums between the time they are received and the time they are paid out in losses. And as this is really our only chance, we ought to take every advantage--and make as much of an investment profit as we possibly can." "I trust you do not mean to suggest that we use the Guardian's assets for purposes of speculation," Mr. Wintermuth remarked. "Certainly not--unless it is speculating to take advantage of what foresight and knowledge of conditions our finance committee possesses. I do not suggest buying on margin or selling what we haven't got. But I do suggest that we carry more liquid assets and a bigger cash balance than we have ever done, so as to be able to take advantage of opportunities that may present themselves. Now, take our Ninth National Bank stock, for instance. The Duane Trust Company crowd are trying to buy the control, and the stock's higher than it's ever been. In my opinion the block we hold is worth more to the Duane people than it is to us; I'd let them have it." "Why, we've had that stock for twenty years!" the President said. "Well, we've probably had it long enough," said his subordinate, with a smile. "At least I'd like to have Mr. Griswold's opinion on the point. And you certainly will never lose much by getting out of a security at the highest price it's touched in that entire period." "Perhaps not. I will speak to Griswold about it," said Mr. Wintermuth. "I am not a financier, and all this is somewhat outside my province," Smith went on; "but I think we ought to follow more closely the trend of modern business methods. We hold far more than we need of solid railroad bonds that net us four per cent on our investment. With very little extra risk I am sure we can secure a good deal larger return." It was a rather daring speech to make, for four per cent first-mortgage railroad bonds had been Mr. Wintermuth's idea of finance for almost a generation. It spoke well for his confidence in his Vice-President that he did not regard the remark as an impertinence. "That may be true, Richard," he said mildly, "although I have held to the contrary for twenty years. Still, times change, and to-day you may be right." "I think I am, sir," returned Smith, respectfully. "At any rate, why shouldn't the question be laid before the directors?" "We could do that," agreed Mr. Wintermuth, with, it must be confessed, a covert feeling of relief. After all, the assimilation of new ideas is not the most painless of processes, whatever the age of the assimilator. "There's no meeting before the January one, is there?" "No. January fifth--dividend meeting. But that's comparatively soon. I'll lay it before the board at that time." "Thank you, sir," said his subordinate, rising; "and I think that at least one person present will approve a little more elastic financial policy for the Guardian."