To How OR TO SELL.
I am sure that my correspondent is right in thinking that he is not alone in his misfortunes, and I must imagine also from his letter that he possibly failed to do as some were fortunate enough to do, namely, to average the price by purchasing the :bonds when they were at an exceedingly low level. On the : other hand, it is fair to remember that these bonds are not among those which were offered specifically by the French Government on this side through the Bank of England, but constituted a local issue, though probably enough some of the foreign banks sent over on behalf of English clients sub- scriptions for participation. As no doubt my correspondent is aware, there are constant drawings at a premium, and, having regard to the reasonable hope that there will be no further fall in the franc, I gather that most holders who are in the position of this correspondent are electing to hold on rather than cut their loss, hoping to get something back either through drawings, through some recovery in the franc, or through both. Personally, I should not be inclined to build much on hopes of a great improvement in the franc, but the prospect of steadiness perhaps strengthens the argument of those who recommend holding for a longer period. Having regard to what I have said above, I scarcely think that much would be gained by any special representations to the French Government on the part of British holders.
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