Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1919-11-04

But there is speculative element in the
purchase of government bonds. Before the
war; for instance, this governme was able
to sell its bonds at par when they bore inter
est at the rate of three per cent. When a
nation is at war, matter how strong it may
be- its securities will not sell as readily as in
times of peace. 1t must offer higher rates of
interest The United States offered those rates
of interest. 1t sold most of its bonds around
four and half. 1t will continue to pay that
| four and half until their muturity, which will
| be ten, twenty and thirty years.
If it is granted that, after we have returned
to normal conditions, tie rate of interest the
government will have to pay will be as high
| be handsome interest premium on these long
time loans. 1t can hardly fail to be true that
the prices of these bonds will rise in the open
market One of the Liberty Loan bonds can
sell at 100 and yet WELD a three per cent re-
turn to the government. Those wise in finance
believe that 120 will be about the normal price
of the best of these bonds two or three wears
from now. If one buys at ninety-five today
and sells at 100 three y NarS from now he will
have cleared SIS Oh each hundred dyllar bond.
| In the meantime, he will have secured interest
on his investment.
The financial authorities cite the facts of
history. In the Civil war government six per
cent bonds were issued and sold at eighty three
At the end of the war they went to 118 and
finally reached 126. In the Spanish-American
war three per cent bonds were sold at par.
and in year had gone to 40. British conSuls
nave always been cheap when England was at
war, and nigh in times of peace. Germar. bonds
sold at Seventy-eight during the Franco-PruSsian
war, despite the fact that Germany was winning
all the time, and went to ninety eight soon
after peace was restored If the financial ex-
perience OF nations in wars of the past are in
dcationS of what may be expected, our issues
should gain twenty points in the next few
years.
So the treasury department thinks no in
weston can make wiser choice than govern
ment securities. 1t believes that any man with
money in his pocket viii fare handsomely if
he goes to his banker and says: "Here are
my savings Put them in Liberty Loan bonds"
AS matter of fact, many people are buy
ing them: When on the New York stock ex-
to fifteen million, twelve million of Il is likely
to be government securities The only reason
why the price has not gone Sky-rocketing is
because there is so much of this paper in ex-
it begins to settle down deeper into the safety
deposit vaults of the nation, to disappear from
the counters, the price will rise.
When you buy Liberty bond the govern
ment warns, do not put it in tin box or
pigeonhoe at home. 1t may be stolen or
burned up, and you would probably be unable
to recover its value. Leave it in your bank
Almost any bank will keep your bonds without
any charge Many of them will clip the cou-
ponS as they mature and credit them to your
account. They are safe in the bank
And, finally, the government calls attention
to another form of investment it offers-Treas-
ury Savings Certificates. One may buy "a
Treasury Savings Certificate whenever he has
sum of money from fifty to thousand dol
lars. They are for sale at all first and second
class postoffices, and any banker will take your
order for one. 1t will pay you four and
quarter to four and half per cent. 1t is reg
iStered and cannot be lost Whenever YOU
want your money on it you can cash it any
where. 1t is like getting hundred dollar bill
on which interest is paid. You might as well
keep your extra money working.