National opinion. [volume] (Bradford, Vt.) 1865-1874, 1871-09-29
Converting Y. y. FIye.Twtnties.

Mcssrs. JAY Cooke & Co., have issued
the following financial circular, relative
to the general condition Of the loan mar,
ket, and the exchanging of government
bonds for railroad securities
BAspIs0 HOUSE, or JAY CooHv \ Co.,
Philadelphia, septembe
The signal success Of the New Five p nj,
Government Loan foroshadOws the early iund.
ing ~ the entire Public Debt al 3 per cent. or
less rate, and indicates that the average rate OF
interest gu loanabe capital in this country will
not hencoiorward he much above per cent,
! the iendnncy being 10 All equalization of ratios
between America and Europe.
In view OF these facts the present holders ~
| United States Fiye-Twenties must decide
whether Il II not best to make al once such a
change OF investment M will enable them Ia
| realize an profit, or add 10 their capital, the
present average premium ~ IA per cent. on
Five fwenues, while at the same time largely
increasing their annual income.
/ Holders of Five-Twenties OF the issues of
1862, which, under the recent announcement of
the Secretary Of the II auury, will be paid of
IN December next. have special and immediate
reason to CONSIDER the question or conversion,
unless they wish 20 receive coin for their Five
Twcntlos, or exchange them at par for bonds of
the new issue bearing an average rate Of A
per cent.
To all holders Of United States securities who
wish 10 take advantage OF the present most
favorable opportunity for making the suggested
change Of Investment We strongly recommend
Northern Pacific Seven Thrtes principal and
interest payable in gold) now selling at par In
currency. rho results already accomplished
IN the construction and equipment II nearly
Three Hundred Miles of road, and the rapid
development Of the adjacent country, have es-
iablshod the permanency and success of the
Northern Pacific enterprise, aud created large
ana rapidly increasing demand for the First
Mortgage Bonds of the Company. With their
high rate OF interest ample security, and their
conyertabihty into the Lands of the Company
at 10 per cent. premium, they constitute mos,
desirable Investment, aud can hardly fail to ad-
vance considerably above par at an cary day.
The holder of a 81 900 Five-Twonty bond who
exchanges II nor for Northern Pacifcs thereby
increases his principal by IL per c, -, receiving
81 40 ~ Northern Pactcs for 81 coo in Five
lWtnues. lie also permanently Increases the
yearly interest income on his Investment more
than IS per cent, or from $50 90 in gold to
1922 in gold.
Funds invested in Five-Twenties at their
present premium yield 81 per cent. interest ia
gold or $40 IN currency. Northern Pacific
Scyen-Thirties yield $40 per cent. in gold or
81 in currency.
These most unusual opportunities for the
profitable conversion OF Government Bonds INTO
Corporat Securities of undouhtcd reliability
cannot the nature Of the case. long contin-
ne The increasing abundance OF loanable
capital both at home aud abroad the almost
certain rise IN value Of all desirable railroad
mort ages, the early funding OF the residue of
the National Debt at lower rates. the rapid ab.
sorptlOn of Northern Pacific Seven-Thirtios and
the probable early substitution of a xix per
cent. bond for the remainder of the Northern
Pacific loan. promise very soon 10 change the
entire aspect Of the loan market, which is lust
now 20 peculiarly favorable 10 investors.
This state of things suggests PROMPT ACTIN
on the part Of those who wish to exchange
securities in time to profit by the present high
premium on Five rwenties.
JAY Cooke 4 Co.,
Philadelphia, New York and Washington.