Saturday, July 23, 2011
More on German Young Bonds
In the 1920s and early 1930s, top investment banks in the United States were underwriting and promoting German bonds. The bonds met all the conditions for a prudent and low risk investment. Little did these investors know that the outbreak of World War II would stop all interest payments and it wouldn’t be until the 1950s that solutions to the problem would even be discussed.
West Germany did not want to appear to nullify their financial liability in the bonds, so a treaty, called the London Debt Agreement (LDA), was established under which West Germany took advantage. Political interference undermined the fair market process and a financial scandal of major proportions ensued, fed by political hysteria, false accusations and unsubstantiated stories.
For more information visit our web site, http://www.glabarre.com, or call George LaBarre at 1-800-717-9529.
George H. LaBarre Galleries - Collectible Old Stocks and Bonds and Old Stocks and Bonds
http://www.glabarre.com A foreign antique stock and bond company.