election, together with the president and treasurer. Suitable standing committees are appointed by the Governing Committee from their own number, to whom are intrusted the details of the several departments of the government of the Exchange, and of the administration of its affairs. Its organization is thus rendered compact, symmetrical, and efficient, and its government commands the confidence and respect of the membership. There is probably no equal area of territory on the earth's surface within which transactions so numerous and involving interests so large are entered into and faithfully carried out almost literally upon honor, without written contract or other evidence than hastily scratched pencil memoranda, as on the floor of the New York Stock Exchange.
Contrary to the prevailing notion that there is no public utility in anything which does not produce something, or that does not transform and improve products by the processes of manufacture, or interchange them by the operations of commerce, the Stock Exchange is an institution of the highest utility and of vital necessity in an age and country of progress, of commercial and financial activity and of material development. It is the great national mart and market place, where investments inviting capital and capital seeking investment are brought together, where the relative values of money and of securities representing national, municipal or corporate credit are established and expressed, where securities may be quickly turned into money, and where money, in itself inert and incapable of self-increase, may find its way into the channels in which it will impart life and activity to business enterprise and material development, and become productive to its owner through interest, dividends or the fluctuations in values. While there is much of what may be deemed pure speculation (some of it reckless and unprincipled enough) carried on through the medium of the Stock Exchange, it should be remembered that there is no business, however legitimate or conservative in its character or pretensions, that has not its speculative side, and does not present ample opportunities for reckless or inexperienced men to ruin themselves if they choose. It is a fact, moreover, not generally known perhaps, that most of the men whose names are associated in the popular mind with gigantic speculations, and who are credited with deep-laid schemes for taking in the innocent and unsophisticated lamb, are not members of the Stock Exchange, but carry on their operations through members who are generally ignorant and innocent of the designs of the parties from whom the orders come to buy or sell, these orders often passing through several hands before reaching the broker who executes them.
The membership of the Stock Exchange is limited to eleven hundred,
