COLONIAL LOANS.

Evening Star, Issue 4037, 3 February 1876, Page 2

COLONIAL LOANS.

During liis recent visit to England, Sir Julius Vogel made arrangements with * the Bank of England for placing New Zewabd stock on the London market under such favorable conditions as cannot fail to hWe a very beneficial effect' on Australian€eharities, for there can" be little' doubt that-tkfe arrangement will be made to apply to alt the Colonies. The Bank of EnglandJbas agreed to inscribe New Zealand stock, - whetttcr in the shape of fresh loans or iif fh.e conversion of outstanding debentures, 'ipto inscribed stock. .The stock is to be plaiceft on the same footing as Consols,, or Metropolitan Board of Works stock—that is to say, any person having inscribed stock map at his pleasure "receive certificates payable to bearer instead of the stock, and .thesetoertificates cab. again at anytime be.changed into inscribed stock. The , Bank, as already stated, is to convert ontsttodingdebenltfes which it is desired, to convert, -tend in the case of loan® the'bank isto receive the * deposits and issue the scrip certificates till the full ,amoqnt is - paid pp ; the. Bank, to grant certificafes to bearer 'W re-insonbe •when desirdd, and to pay or quarterly.- The change'to be made bythe Bank is, we . believe, to.be : at Tthe pite# riir annum of 1600 per. million,,, pi( Is 2d> ser cento tor all, the, services enumerated. When the labor and roeporisibilities of inscription and of creating bonds to bearer are* taken into account* the; charge' must bb considered angularly ' low.' This, arrangement will give,, in effect* the .result so often;, desired,. of ; substituting , registered stock for debentures. Eor speculaftiv&sales debentures' .ace most oonvenieut, but for ipetmanentf investment . and especially for the investment . funds, inscribed stock has Sin . every way the 1 advantage. The Imperial.. .CovenMnent. Jiave.. consented- to introduce a - BilL .to authorise 8' composition of the, stamp ; duties on the wn&e terms as those provided -for the stock of the Metropolitan Board of- Works, so thrift the’ stock will become transferable or bibchangeable''for celtificAtes : to' 'b&lrer, and again eXchangeableto inscribed stock without fee or charge. , Although,-of course, Sir Julius has only'.aoted for. New' Zealand, the Imperial Government are disposed to make , the Bill applicable to all the other CrfomCs, and there .as no iftbubt that* the Bank, in agreeing to the tbrins, haditui consideration that thfe whole.of the Cblohi&j wpnld oi later pliace; :thfiT loans on the name footing. ’ Of course, the agreeilitiat depends for effect, upon the New Zealand : Legislature giving the' necebsary authority by legislation. Many of our readers: are aware that for yews past great exertion have, been made to obtain. the tejuisite ! ati- ■ thority to enable trustees to'. invest wist funds in Colonial seourities/ as they are permitted to do jfr Metropolitan Boards Works ! &c. ; The chsfjitter Colonial loaiikwill"ehjoy whefi managcdhy the Bank of Ehigiohd is likely to hasten the desired result of perinifting- their em* i ployment for theinvefttment'bt trust funds.