April 13, 1928 (16th Parliament, 2nd Session)

CON

Richard Bedford Bennett (Leader of the Official Opposition)

Conservative (1867-1942)

Mr. BENNETT:

Obviously to buy those
at.SHO will make it necessary for the minister to sell securities at a lower yield than 41 per cent, say about 4.10 per cent. When you take into consideration other matters in connection with them the minister would have to sell securities at not more than 4J per cent to be able to buy these other securities, so I cannot see how he can make any money if the market continues as it is at present. Two or three years from now, however, when they begin to go down in price due to the fact that they are nearing maturity-because the price is dependent upon the nearness to maturity in some instances-he might be able to make a little money, but that is the only way I can see in the circumstances.

Topic:   LOAN OF $500,000,000 REDEMPTION OF LOANS AND PURCHASE OF UNMATURED SECURITIES
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