The Paris Loan.

Manawatu Herald, 10 July 1894, Page 3

The Paris Loan.

Thus writes our own correspondent : — The Ville de Paris Loan has turned out to be one of the gieateat financial successes of modern times. It was covered eighty-five times. The loan demanded was one of 200 millions, and the public have offered 16.962,434,900fi\, of which 16,224,---000,000 was subscribed by Paris alone, the Credit Lyonnais paying 443,000,000fr cash." According to the French custom, applicants for single bonds are certain of obtaining what they apply for, and as the loan before issue stood at a premium of 15 francs, these applications amounted to nearly half the loan demanded. As many of the gi'eat financial houses applied for the entire loan, it is easy to perceive how it came to pass that the loan was covered over eighty-five times. It also follows that, if the great financil houses had abstained from all interference in the matter, the loan would have been only half covered notwithstanding the bait of a comparitively high premium. No doubt the greater part of the single bonds were at once sold by the lucky applicants, in order to secure the premium at which the bonds stood in the market, the purchasers being the great financial houses. Thus the popular loan, when divested of its obligatory trappings and decorations, becomes a jolly piece of financial humbug.