THE CONVERSION CAMPAIGN.
Two main arguments were used to influence the minds of holders of the old Loan. One was along the lines of patriotism, much being made not only of the amount which would be saved to the Exchequer annually but of the extent to which this placing of the national credit on a higher basis would also aid industry by helping industrial concerns to borrow at a much lower rate than has been possible for many years past. Holders of the 5 per cent. War Loan were, however, also urged in their own interests to take advantage of the Government's offer, the alterna- tive, it was suggested, being that of being placed in the position in December of failing to obtain as good a yield on a Government stock as if they had accepted tie conversion offer. These appeals, supported by the offer of the cash bonus of £1 per £100 converted, had the effect of occa- sioning a real rush on the part of old War Loan holders, with the result that the total amount converted out of the outstanding figure. of 12,085,000,000 by the end of July can scarcely have been much less than £1,600,000,000.
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