The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-04-29

Swiss. Swedish. Danish. Russian and Mexican
government and municipal loans offered In this
market during the last year.
Attention Is at present directed 20 Russian Sc
curities 10y extensive purchases OF bonds OF that
ance companies In New York. which has been
followed by the offering OF Russian government
guaranteed railway bonds TO the American pub
lie. In this connection a review Of the history
OF Russian investments Is most timely and In
4 study Of this character naturally divides
itself into two divisions. the first covering for
eign holdings OF Russian bonds and the second
the investment or foreign capital In industrial
and commercial enterprises In that empire. Pre-
a I'm the present. ee mt dhlssribntion OF i Russian SnslhrnHbs bonds. an
accurate idea OF the size and character OF the
Russian national debt h essential. The out
standing Indebtedness amounts az present 10 ap-
prOximately 81. 162. 30. 600, about three fourths the
debt OF France ana praonssiy slusr 20 tn an e ~
a year has been shown during the last ten years.
income over expenditures during the same period
OF $51. 600. 900 per annum. indicates a healthy con-
edged authority on Russian Affairs. writing from
ST. Petersburg In November, states that during
the period from 1857 10 800. every penny OF new
for the refunding Of existing obligations mafur-
ing. bearing a materially higher rate of Interest
s.. 200. 900. COO. according TO this statement. have
been redeemed during that period. II VIII be
seen, therefore. that the interest charges and
sinking fund on the Russian national debt have
decreased OF late years much moro rapidly than
the principal Of the debt Itself. Ihis Item now
amounts 10 about sl26. 900. Oo0 per annum.
Turning now TO the distribution OF Russian
bonds among foreign investors. the extensive
French holdings first attract attention. There
are. according 10 the latest official reports. on
vestors Russian state bonds yielding 81. 100000
francs interest yearly. which. taking the average
cent. represents an aggregate amount Of about
775.0O0.eO francs. Competent authorities esti-
ing institutions-the credit Lyonnais. the Comp
toir National d'kscompte Dc Paris and the So-
large deposits Of EgfTlan bonds. which would
make a total OF more than 5,t1.coltO0 francs.
exclusive OF bonds in private custody English.
Dutch and Belgian capitalists are also large
holders OF Russian bonds.
Among German Investors Russian railway
ZONES rnarauteed bv the state. are greater "a
yorites than tho direct obligations of the gov
eminent a large number ~ these railway is
s,,es hearing an average interest rate ~ ner
cent. have been foated IN the German market
dining recent wears. where Russian railway
cause OF tho consistent policy Of the Russian
government OF late in the building OF state rail-
The investment Of foreign capitol in business
EN- n drnncern,ng his II n S,alruii 70 ohtsIn az.
curate statistics. The Belgians are leaders IN
this field. latest reports showing the share capt.
tai of Belgian metaliurgical companies 10 amount
10 2S0 Olo.pDo francs. with ofe- l6l.oo.t0o Invested
by other Belgian Industrial concerns operating
IN Russia. principally in the southern section.
French capital follows. 20 n great extent. The
Belgian as 10 the manner OF It's employment and
capitalists have inclined rather 10 investments
in Russian bonds than 20 the exploitation II the
lIIMNNIAfn vi TIT AaAAHH NNNAA
German holdings OF the Russian railway stocks
and bonds have been alluded o.. and constitute
the greater part u their interests o. that coun-
Try. though a number 81 fourishing electrical
concerns throughout European Russia owe their
establishment and successful operation 10 Ger
man capital The English have taken the lead
Try ir southern Russia and the exploitation OF
the oil fields bordering the Caspian sea. The
most successful Of the Engiish companies are
Schfhaer Petroleum Company and the Russian
Petroleum and Liquid Fuel Company. whose
pfonu - -. \ c-a-r 500 arc
In view. therefore. 81 the established S.andlnr
and great popularity ~ Russian sccsr.;ies with
the investors q other nations; Ia n net surpri--
ing that American capital should now be in
auiring into the desirabiiify ~ Russian invest
rents. In regard % the Investment OF capital in
Industrial concerns operating In Russia history
would seem 20 show that such enterprises have
either failed completely or made a munincent
return. Failure has been met with. here a. else
where. through lack % a proper appreciation %
the Industrial and commercial conditions under
which operations must b. carried on. IN.
measure OF success that has been achieved Nv
intelligent adaptation o. existing conditions mar
be- Judged from the fact that dividends pats bs
AS Joint stock companies operating in Russia
last year were az an average rate Of IL uer
cent. per annum. II should not be forgotten
however. that tho concessions now granted q
foreign capital are not - liberal as those grant
81 IN the case OF concerns established a number
Of years ago.
direct obligations II the government. as 20 which
this Inquiry was FIRST directed. would seem. In
the light of the facts passed under review. 20
be OF the highest order. Based. a. they are. on
unparalleled natural resources. which are now
being developed along comprehensive and lntelli-
gent lines: having as a fund Tor the payment Of
sfantly growing revenues - the Russian state.
and behind them a record unmarried ~ the
~fatntest blot Of reputation. their value would
seem 10 be a. great a. the obligations OF any
government on C4rrh-