The Knoxville independent. [volume] (Knoxville, Tenn.) 1894-current, 1919-03-08
Y issy4s
SHORT TERM BONDS
AT HIGH INTEREST
FOR VICTORY LOAN.
Fifth Issue of Liberty Bonds
Will Be Most Attractive
Investment of All, in the
Opinion of Finan-
cial Experts

The fifth issue of Liberty bonds, or
Victory Bonds" as they will be called,
will offer the investor the most attrac-
i've opportunity Of any issue made
oy the government, according to a
.entative agreement made by Secre-
:ary of the Treasury Carter Glass with
The ways and means committee Of
he National House of Representa-
ives
1t is considered probable that the
bonds will pay higher rate of inter
EST than any of the previous issues,
out they will be issued for shorter
.erms, maturing in from one to FIVE
years.
The government does not wish to
assume the obligation of high in
crest rate for long period of years,
out is willing to pay an attractive rate
Turing the present unsettled condi-
lions. 1t is expected that events will
so shape themselves in the next few
years that a holder Of these short
term bonds, after drawing good in
terest rate until they mature, will then
be able to "cash them in and invest
he returns in business or in otner
forms of securities at an advantage
GUS time. For this reason it is ex-
pected that the new bonds will find a
ready market.
Secretary Glass announces that an
intensive popular campaign for the
Victory loan will start not later than
April 81. 1t is not expected that any
definite statement as to interest tax ex-
emptions or other details will be made
much in advance of that date, as con-
ditions are constantly changing. But
that the new bonds will be made an at
tractiye investment is considered GER
| tain.
Secretary Makes Statement
An official statement issued by Sec
rotary Glass follows:
"The Victory Liberty Loan campaign
will begin not later than April Il. The
requirements of the treasury are i'm
perative and cannot be financed with
out such campaign. The form and
terms of the securities to be issued
remain to be determined. Whether
they be bonds or notes, it is absolutely
essential that the widest possible
measure of distribution be realized
This will necessitate a campaign OF
the same character as that conducted
in the past through the existing LIB
erty Loan organizations. They have
pledged again their united support IN
order that the Victory Liberty Loan
bonds or notes may be distributed as
widely as possible among the Amerl-
can people"
This furnishes the first official no.
tice of the date Of the campaign, and
disposes of the rumor that securities
would be disposed of among the banks
instead of being offered the general
public.
Workers Are Busy
Reports received from chairmen and
other members of the Liberty Loan Or
carnations all over the country and
, especially in the Sixth Federal Re
serve District, gives assurance that
the faithful workers in former cam
! paigns do not intend to quit until the
, lob is finished. Organization is be-
ing perfected we'll in advance, and
plans laid for brief and effective
campaign.
Four types of bonds are now be-
ing considered by the Treasury De-
partment, to suit varying tastes in in
yestments. Their principal features
are:
One class Of bonds at low rate
of interest, possibly four per cent, and
exempt from all federal taxation; one
at a comparatively high rate; posi-
bly, five per cent, and subject to all
| federal taxes; third bearing mod
crate rate of interest, perhaps "A per
cent, and exempt from normal income
| tax: and a fourth class, exempt from
! taxation ND to a certain amount.