Most Viewed Automatic Re-investment Of Dividends
Canals And Docks
American Railways
Bonuses
British Government Funds
Banks
Foreign Government Stocks
Borrowers
Colonial Government Securities
Dividends
Least Viewed
Insurance Companies
Surrenders
The Stock Exchange
Loans - The Interest On Which Is Guaran-teed By The British Government
Mortgages
Loans To Corporations And Counties Of The United Kingdom
Terminable Annuities
Table Of Interest On Investments Sample
Railways
Government Annuities
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Loans - The Interest On Which Is Guaran-teed By The British Government
These consist of loans to the Government of
Canada for railway purposes, upon which 4 per
cent. per annum is guaranteed. Also loans to
the Colonies of Jamaica at 4 per cent. and Mauri-
tius at 3 per cent., to the Egyptian Government
at 3 per cent. and to the Turkish Government at
4 per cent.; in this latter case the French
Government joins in the guarantee.
These are all perfectly safe investments, so far
as the interest or income derived is concerned,
but there appears to be no arrangement for the
redemption of the loans.
The large loans to the Government of India at
3 1/2 and 3 per cent., repayable in 1931 and 1948,
are guaranteed by the Secretary of State for
India, practically the British Government.
Any amount may be invested in the above
stocks and annuities through the medium of
either a banker through his broker, or by a
broker direct. The broker's charge for trans-
acting in Consols is 25. 6d. (1/8) per cent. on the
amount invested, but provincial bankers make a
further small charge for guaranteeing the busi-
ness, that is, they protect their customer from
any loss that may arise owing to the failure of
the broker to carry out the contract.
The dividends, interest, or annuity derivable
from these investments, may be received by
personal application of the holder at the Bank
of England on certain fixed days, or on signing
a printed form furnished on application by the
Bank of England, per post, they will send from
time to time without further notice a warrant or
order for the amount due, which warrant or order
may be paid into a bank account, or, on a proper
introduction, cashed at any bank or post office.
The simplest plan, however, may be to give your
banker a Power of Attorney to receive the divi-
dends from time to time and place the amount
to the credit of your account.
Income tax is deducted from all dividends;
but if a person is not liable to such tax, by
reason of the total income coming within the
Exemption Clause, the amount can be recovered
through a surveyor of taxes, as to which the
banker would give all the information required (*).
(*) Such information may also be found in detail in a little handy
book, "Income Tax, and how to get it Refunded." 1s. 6d. Pub-
lished by Messrs. Effingham, Wilson & Co.
The stock of the Bank of England, which may
be purchased in any amount, the same as
Consols, is a favourite investment with some,
but the price is so high that the income to be
derived therefrom is no more, and sometimes
even less, than from the Funds.
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