The Sun.
London, England, 1850-01-16 00:00:00

THE NEW RUSSIAN LOAN.

The new Four and-a-llalf per Cent. Russian Loan
has been the chief topic of attention in the City. to-day.
That the terms are favourable, looking at the pre-
vious Five per Cents , is universally admitted, and
the investment is still further recommended by the
allegation that the money is wanted for the comple-
tion of a work of internal improvement. At the same
time this allegation must be received with some al-
lowance, since it is understood that the railway in
question has long been nearly finished, that the iron
and rolling stock are on the ground, and that little
remains except to lay down the rails ; so that it would
appear probable the undertaking is in a great measure
used as a pretext, in order to obtain in a popular way
supplies for exigencies which have resulted from the
recent war. A notice which has been given of a
meeting in the City to reprobate the transaction has,
it need hardly be said, produced no effect on the
capitalists who may be expected to subscribe.
So far as the speeches at the former meeting tended
to expose any political or financial weaknesses of the
Russian Empire, it was felt amongst business men
that a service had been rendered, since it would
help to put them on their guard to exact sufficient
terms to compensate fur the danger of lending money
under such circumstances, but when these calcula-
tions have been made it is of course useless, and
not only useless, but most undesirable, to expect that
any other considerations should operate. If a trader
in parting with a commodity, whether it be money
or anything else, is to be held answerable for the
uses to which the article may subsequently be put,
there must be an end at once to all commercial
transactions; and it is because this truth is recog-
nised by every merchant and shopkeeper that regret
is entertained, even by the sincerest friends of peace,
at the course which has been proposed. It is ad-
mitted that any statements calculated to demonstrate
the perils of lending money to Governments whose
rule is maintained upon objectionable principles
are worthy of respectful attention, and can have no
other effect than that of benefiting the lender by caus-
ing him to demand a higher premium for his risk ; but
it is at the same time seen that an attempt to denounce
him for accepting the risk when the adequate terms
have been decided upon could have no other effect than
that of disturbing the natural order of events (which
will, in their due course,bring all proper consequences
upon those who borrow money or who buy goods for
the purpose of misapplying them), and of fostering
morality by a sort of protective system. The risk in
the present case has been estimated to amount to
this, namely, that while an annuity of 31. per cent
from Great Britain is worth 97/., an annuity of 4/.
10s. per cent. from Russia is only worth 931. By
this disparity the intelligent capitalists of England
express their sense of the relative degree of security
the respective Governments possess, and no one can
doubt that it would be prejudicial to the best inte-
rests of the world if, neglecting their legitimate avo-
cations, they were to seek to express it in any other
way. Judging from the feeling in the money-
market, the estimate which has fixed the
price at 93 is to be regarded as a fair one.
Meanwhile, however, if any one can point out suffi-
csent reasons why the price should be lower, they
will confer a benefit by so doing, and should he
thankfully listened to. If they are unable to
accomplish this, and should resolve to substi-
tute in its place the intimidation of popular anger, i
t
can only result in weakening the cause with which
their proceedings are professedly connected, and for
the ultimate success of which by legitimate means all
persons, and none more than those connected with
commerce, must entertain an earnest hope.
Subjoined is a calculation of the exact results in the
shape of interest which will be yielded by the pro-
posed loan:—
Discounts on the instalments at 3 per cent. ..C3 13 6
71. profit on disbursement of each 1001. bond--
estimating the redemption at an average of
26 years, is worth now (interest at 3 per
cent.) ...

... 3 5 0

£3 18 6
which deducted from 93, the contract price, leaves
891. Is. 6d. as the sum expended in the purchase of a
4i per cent. stock, with an average duration of 26
years, and therefore yielding for that time an interest
of about 51. ls. per cent.—Times' City Article.

Mr. Love, the Polyphonist, was last night engaged
to give an entertainment before a large party at the
residence of Baron Alderson, in Park CreF cent.

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ultimately he was admitted into the hospital, whence, after the
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able ; yet, to the astonishment of all, this dreadful bad wound
was soundly healed by the use of Holloway's Ointment and
Pills, a supply of which was kindly presented to him by the
minister of his parish.—Sold by all Drugzists, and at Protessor
Holloway': Establi§hmeat, 244, Strand, Lviadyn.