investment :
. el préstamo a la antigua usanza, cuyo uso ha
101'^ come down from an earlier day ; and the stock ii (J J share, whereby funds are invested in a joint stock
JtP I compañía o corporación. Esta última es un crédito
(H instrument, so far as touches the management of the property represented, in that {in earlier usage at least) it effects a transfer of a given body of property from the hands of an owner who resigns discretion in its control to a board of directors who assume the management of it. In addition to these two methods of credit relation there haa, during the late-modem industrial period, come into extensive use a third class of expedients, viz.
obligaciones de una u otra forma —bonos de diversa índole, acciones preferentes, acciones privilegiadas, etc., que van, en cuanto a su carácter técnico y grado de responsabilidad, desde algo que se acerca a la naturaleza de una escritura de venta hasta algo que en la práctica apenas se distingue de un pagaré personal—.
El típico (el más reciente y altamente especializado)
etc., the main 6nal outcome is a redistribution of the ownership of property whereby the creditor class, including holders and claimants of funds, is benefited.
THE USE OF LOAN CREDIT 115 instrument of this class is the preferred stock. This is in form a deed of ownership and in effect an evidence of debt. It is typical of a somewhat comprehensive class of securities in use in the business community, in the respect that it sets aside the distinction between capital and credit. l-fTt'