Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1917-06-08
The Worlds Premier Investment.

The law authorizing the issue OF the
Liberty Loan Bonds of 1917 invests these
bonds with certain advantages which no
other bonds in the world. be they national.
state. municipal Or corporate. possess and
makes them in many respects a uniquely
desirable investment.
These bonds are not taxable by the ma
ton. state, county or city; nor will any
war tax subsequently levied by the United
States during this war affect them. State.
county and city taxes often amount to as
much as three cents on the dollar the
exemption from taxation Of these bonds
makes them in such cases equivalent TO a
8 l-2 per cent investment. An invest
ment absolutely safe bringing in 6 1-2 per
cent is exceptionally desirable.
The holders Of these Liberty Loan Bonds
are given the right. should the United
States subsequently during this war issue
bonds bearing higher rate Of interest, to
exchange their Liberty Loan Bonds at par
for similar bonds bearing the higher rate.
Holders Of Liberty Loan Bonds are assured
that their investments win not be i'm
paired in market value by coming in CON-
petition with later issued bonds Of the
Government bearing higher rate Of In
terest
There Is yet another quality attaching
to these bonds which give them world
wide value and character which no other
bonds In the world possess. and which will
not only create the widest possible market
for their sale when normal times come again
but which viii stabilize their value through
out the world. This is best expressed by
the New York Times:
-0ne merit Of the Liberty Loan is the
market which II will have No other bond
viii have equal value throughout the ma
ton, or q like international value. No
other bond can be bought and sold on q
universal quotation and In leading centers
in any amounts without spelling the mar
ket There viii always be bids and offers
for the Liberty Loan. and they may be
cashed or bought for cash with the great
est ease. The Liberty Loan will be re-
lated to the money market more closely
than other bonds, and. furthermore, will
be related to the gold market as a conse-
quence Of having an international market.
Government bonds are now being ex-
changed 90 generally and in such sums
that there is q prospect Of realization Of
the idle dream Of the past that a substi-
tute could be found for International ship
ments Of gold on the balance Of merchan-
disc exchanges. II is easier and safer to
ship securities than specie. and the inter-
national relations are now becoming so
intimate that bonds in safe deposit may
be sufficient guarantee Of credit exchanges
without shifting even securities from one
side Of the ocean to the other. The Federal
Reserve Bank now balances credits by
teleeraphic orders on gold fund at Wash
inston. without shifting the gold. 1t is
not difficult to believe that the relations
between the Federal Reserve Bank and the
Bank Of England may yet justify the con-
troll Of international exchanges in the same
manner, under the safeguard of an ex-
change Of securities as good as gold.
These uses give value to the Liberty
Loan which can be shared with no other
bonds. The modest holder Of few hun
dreds or thousands Of the worlds premier
security may consider that such uses are
nothing to him. That lie a mistake. He
may not want the loan for those purposes
but the fact that the loan has such uses
adds to its value in the hands Of even the
smallest holders. The Liberty Loan Is a
national utility, whoever owns il. and il
utility increases with the universally Of
its ownership"
The Liberty Loen Bonds are the premier
security Of the world to-day.
Nnh,. naeGaRN neAAlrNa a N AS.-l,..