This section of the book is from the "Canadian Banking Practice" book, by John T. P. Knight.
Question 569.— Why do trust companies in Canada require such large paid-up capitals? How do they employ their money ?
Answer. — Trust companies doubtless find that their business and credit are best subserved by having large capitals, and paid-up rather than partially paid, because of the liability attached to the latter. The Government returns show what investments are made of the capital.