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By 1914 Tatem had built up a substantial fleet of sixteen ships. He was knighted in 1916 and in 1918 was elevated to the peerage, taking the title Baron Glanely of St Fagans. A perceptive and far-sighted shipowner, he sold off his entire fleet for a vast sum at the height of the post-First World War boom in 1919, only to re-enter shipowning with the purchase of six new ships, obtained at bargain prices, a few years later. This enabled him to survive the depression years far better than many of his contemporaries.
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