Holmes County Republican. [volume] (Millersburg, Holmes Co., O. [Ohio]) 1870-1895, 1871-10-26
CONVERTING U. s. FIvE-TWENTIEs.

CONVEh iNo We =. FIE-f 0GNtiESs
Messers jay Cooke & Co. have issued the fol-
lowing financial circular relative to the gener-
al conditions of the loan market, and the ex-
changing of government bonds for railroad
- = .l' Office of JAY COOKE Co.
Philadelphia, September, ISL
The signal success of the New Five Per Cent.
Government Loan foreshadows the early fund
ing of the entire public debt at less rate than
per cent, and indicates that the average rate
of interest on loanable capital in this country
will henceforward be considerably lower than
it has been, the tendency being TO an equaliza-
tion of rates between America and Europe.
In view of these facts, the present holders OF
United States Fiye-Twenties must decide
whether it is not best to make at once such q
realize proft, aid to theircapital, the pres
ent average premium of IA per cent on Five
Twenties, while at the same time largely in
creasing their annual income. n
Holders of Five-Twenties of the issues Of
1862 which, under the recent announcement OF
the Secretary of the Treasury, will be paid on
in December next, have special and immediate
reason to consider the question ofcOnyersation,
unless they wish TO receive coin for their Five
Twenties, or exchange them at par for bonds Of
the new issue, bearing an average rste of ~
per cent.
To all holders Of United States securities
who wish to take advantage OF the present
most favorable opportunity for changing their
II sfe Sfay
cipal and interest payable in gold.) now sell
ing at par in currency. The results already
accomplished in the construction and equip
ment of nearly Three Hundred Miles OF road,
and the repaid development of adjacent coun-
try. have established the permanency and suc-
cess of the Northern Pacific enterprise, and
created large and rapidly increasing demand
for the First Mortgage Bonds Of the Company.
With their high rate of interest, ample securi-
ty, and their eonyertability into the Lands OF
the Company at 10 per cent. premium. they
n nj n
can hardly fail to advance considerably above
par at an early day.
The holder of a 1900 Fiye-Twenty bond who
exchanges it no,o for Northern Prcihcs, thereby
increases his principal by IA per cent, receiv-
ing s1140 in Northern Pacifics for Sl000in Five
Twenties- He also permanently Increases the
than IS per cent, from $50, 90 in gold to ssS,-
- in gold. 49, ~H-4 lf
Funds invested in Fiye-Twenties at their
gold id'r or $40 in eurreneyi Northern Psciac
Seven-Thirties yield 1910 per cent in gold or
81 in currency. -li4.
These most unusual opportunities for the
profitable conversion of Government Bonds
into Corporate Securities of undoubted relia-
bility cannot in the nature of the case, long
continue. The increasing abundance AZ loan
able capital both at home and abroad, the al
most certain rise in value Of all desirable rail-
road mortgages, the rapid absorption of North
ern Pacific Seyen-Thirties and the probable
early substitution of q six per cent. hond for
the remainder of the Northern Pacific loan,
and the early funding of the remainder OF the
National Debt at lower rates, promise very
soon to change the entire aspect of the loan
market, which is just now so peculiarly favor
able to Investors.
This state of things suggest prop,ps aeiios on
the part of those who wish to exchange secn-
rites In time to profit by the present high pre-
mum U" '''' JAY COOKE 4 co.
Philadelphia, New York and Washington.
.J.v. PAINTER, Cleveland, General Agent
el....s. n = N ar..N