The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1919-08-31

| London, July 24.-With the subscription
lists opened on June 10 and closing or
July u, the offering of the Victory
Loan" has been the event OF the pas
month in British finance
| The Governments new loan for an un.
| limited amount has taken two terms
| with alternative attractions for differ
| ent classes of investors, but it's single
| object, that of funding as much as pos
| sible of the outstanding Floating" and
early-maturing short-dated debt raised
during the war. Apart from it's own in
herent recommendations to the subscrip
ers, strong appeal has been made tt
the nation to invest in it, as a matter
of patriotic duty, in order that by this
funding, the London money market may
be freed Nfrom the continuous demands
of the Exchequer for renewing it's short
borrowings, and this made able to devote
its resources to the financing of trade
and industry, while at the same time a
great step will have been taken to re-
store stable currency position by the
reduction of initiation" The issue has
been a great success
One of the two securities offered l.;
termed Funding Loan 1t is fou.
per cent stock convertible into bonds at
the holders option. issued at 80. an re.
deemable at par d00) not earlier than the
year 1860 nor later than 1890 With a
clear interest yield of per cent, it il
thus an ideal long-dated investment OF
the trustee type 1t has sinking fun
of half of one per cent per annum on
the total issue attached to it: and the
stock will be accepted at it's subscrip-
ton price Of so per cent as cash for
payment of death duties to the govern
rent on the estates entries of original
subscribers or of holders for six months
immediately preceding death. Dividends
are paid half yearly on May /, and No
vember l.
The other issue is in the form of Lib
erty Bonds. These are four per cen.
9cnds, al n subscription price of fs5 for
zach f1oo bond. redeemable by annual
drawings at par t1o0) between Septem :
YER l., 1920. and September 1. 1876 Thei,
interest yield over tho full period of ~
Years thus works out at about AZ PEI
cent. but of course. the return to the
INVESTOR is higher according as the, re-
femption by annual drawings comes ear
Ter. Thus on bands drawn in the first
year 0920 the oririnal subscriber really
Gets return of f22T0 per cent: in 1927
1910 per cent in 1922 f10.70 per cent:
and so on 70 &c 30 per cent IL his bonds
are drawn in 1893. 1850. per cent IN Is~a.
,r ALSO in 1859 To secure the final re-
'en,pt'on BY annual drawings in Sc years
= sinking fund of half IF ore ner cent
Der annurr provided. Dividends are paid
Nalf yHrrlv on March and September J.
The VICTORY Bonds will be accepted as
cash raynent IF death duties not at their
substitution price as in the case of the
Funding Loan" but at their face value
=. e., as f1c0 for each fS5 paid band, 4
specially valuable point.
Apart from cash subscriptions both
rorrns Of loan have been offered to the
snlders Of British Government Treasury
Dills. which could he converted into them
'nder discount at ?'S per cent. or Of tho
following short dated Government Sc
curities. couvertih'e at par: the AZ ner
cent War loan ro"s-ta4s,. per cent F.v-
rheouer Bonds rsts 1890 1921 ard 1927.
& ner cent Exchcrner Fnrds ro'"'I and
4 and rer cent National War P~t's Of
the LIST. End and Bird series q -cluH-
jn~ only the last series ~ War Bonds
dated from February I, 1871.
For the benefit Of foreign investors. o.
Of al those ordinarily resident in the