Novel Full Chapter 1283 - 1188: Government Bonds
Chapter 1283: Chapter 1188: Government Bonds
“So much!” Joseph sighed, “He’s being too irrational.”
He understood that when Camellia mentioned the collar, she was indicating that Charles wanted a Golden “Merit Contribution Badge.”
This item was a gimmick he designed for selling war bonds—everyone who purchased a substantial amount of bonds would receive a shield and an iris-shaped pin.
Purchasing 30,000 francs awarded a bronze badge, 100,000 francs a silver badge, and a gold badge required purchasing 300,000 francs worth of bonds.
He himself carried a Golden Merit Contribution Badge on him.
Under his arrangements, from Louis XVI to Queen Mary, and even Alexandra, they recently showed a noticeable fondness for nobles wearing badges.
Just last week, Mirabeau, who owned two gold badges, even received the honor of dining at the same table with the King, which spurred a “badge comparison craze” among the nobles of the Palace of Versailles.
At the very least, nobles without a bronze badge felt embarrassed to greet others. Some families in dire financial straits even had to rent badges to attend social occasions.
Of course, this was mainly because the war bond yields were quite decent—annual interest rates of 5.6% for three-year terms and 6.8% for five-year terms.
Joseph knew that Charles had previously used all his savings to purchase bonds and received a silver badge, possibly influenced by other nobles’ urging, and now wanted a gold one.
Camellia said, “Your Highness, you may not realize the pressure you bring to Charles. He’s always striving hard to improve himself to keep up with your pace.”
Joseph nodded.
Charles was 13 this year, the age to pursue self-worth, and naturally, his elder brother became his most immediate reference. The troubling part was that his brother was indeed somewhat strong.
“He’s already done very well. 300,000 francs is not something he can…”
Joseph was speaking when he saw Eman approaching with Baron Northspan, the envoy from the Foreign Ministry.
The maid lowered her head and withdrew. Northspan bowed to Joseph, looking dejectedly, and said, “Your Highness, I failed to complete the task you assigned me.
“The Poles are engulfed in fervent and extremely sensitive emotions. From parliamentarians to serfs, they are all shouting to fight the Russians to the end even if they only have husks to eat.”
His visit to Poland was to persuade the Poles, according to the Crown Prince’s plan, not to fight the superior enemy troops head-on if Russia, Prussia, and Austria invaded, but instead to negotiate and retreat their forces to avoid pointless attrition. Wait until the war between France and England, Prussia, and Austria erupts, then take advantage of Prussia and Austria’s distraction to launch a concentrated counterattack.
But evidently, the Poles did not accept his suggestion.
Baron Northspan continued, “Regent Poniatowski supports your plan, but he cannot overpower the numerous nobles and parliamentarians.”
Joseph began to feel a headache.
If the Poles exhausted themselves, it would only give Russia, Prussia, and Austria an undeserved large piece of territory without any purpose.
Perhaps he had to personally visit Poland, but at such a sensitive time, it would be tantamount to publicly announcing a France-Poland alliance, which could lead to Poland’s greater demise.
Suddenly recalling the young man who hastily “escaped” earlier, Joseph nodded secretly. Just send him; as long as he can instill unwavering confidence in the Polish King and Regent, they could dare to risk preserving the Polish Army.
He returned to the study, wrote a letter by hand, and handed it to Baron Northspan, saying, “Please accompany Prince Charles back to Warsaw…”
Before departing, Charles still managed to raise 300,000 francs—he mortgaged his estate and fund—proudly wearing a gold contribution badge, contributing to the 7.7 million francs sales of war bonds in Paris.
As France’s war bonds sold briskly domestically, they also began to appear on the markets of various Italian countries in Northern Italy.
The old port street in Genoa.
In a luxurious seaside villa, a salon hosted by Countess Ranelli was taking place.
Baron Ikobeley, sitting on the west side, turned to the few people beside him and said, “What do you think of that French bond? It seems to be gaining tremendous popularity lately.”
“The interest is quite average, it’s better to buy stocks from the steam paddle ship company,” said a double-chinned middle-aged man nearby, “The Berni Company rose by over 7% last year, with dividends, yielding at least 10%.”
A younger nobleman scoffed, “The most laughable thing is, that French bond supposedly requires a ’lottery’ to purchase. Anyone unaware might think their annual interest rate reaches 20%.”
“There are rumors everywhere about impending war, and the French government is surely eager to raise funds. I would bet that before long, the bond interest rate will be raised to over 9%.”
Others nodded in agreement, “It would need to reach at least 9% before I’d consider buying.”
“If there’s still a ’lottery’, I’d rather invest in steam paddle ships.”
“I think considering British bonds is an option, their interest supposedly reaches 10%, but with discounts, the annual yield is nearly 14%.”
“But British bonds can’t be bought in Genoa.”
“I know some friends, all that’s needed is a 1% commission, and they can help with the purchase.”
Just then, a friend of Baron Ikobeley walked over holding a newspaper and whispered, “Have you seen the news? Over 10 million francs worth of French bonds were sold out this morning!”
Everyone present was taken aback.
It had been less than five days since the French bonds went on sale, yet they sold out 10 million?!
“Hmph, it’s surely just a publicity stunt,” Count Fei Luo sneered, “You can go check at the banks if you don’t believe it; there’s definitely no actual fund exchange, the French government took the bonds, and falsely claimed they were sold.”
“Yes, that’s likely the case. By the way, Baron Ikobeley, you have quite a few connections at the banks. Could you dig up some insider news?”
They were merely talking casually, but Ikobeley actually went to investigate, and the results were shocking to him.
A few days later, these nobles met again at a gathering—a social circle of the same class members tends to be limited, often coming together.
Then Ikobeley revealed the astonishing news: “Do you know? Those French bonds were genuinely purchased. The largest funds were in total four transactions, amounting to 6.5 million francs.
“I can confirm, the fund records are clear, and the bonds were delivered to private holders.”
“Are they crazy?” Count Fei Luo exclaimed, “Scrambling for such low-interest rates?”
They wouldn’t know that the 6.5 million francs came from the French Royal Family. Louis XVI and the Queen followed their son’s advice, refraining from purchasing bonds domestically, instead sending people all the way to Genoa to buy.
At that moment, Baron Todrick mysteriously leaned over and said, “Have you heard? The Anglo-Austrian Army has already planned to invade Northern Italy. Genoa might very well be destroyed by war!”