TeachMeFinance.com - explain Consol
Consol -- An abbreviation or contraction for consolidated
stock or bond.
The stock representing the consolidation of the funded debt
of Great Britain is called consols. A large part of the public
debt of Great Britain, nine separate loans, being in the form
of annuities , was consolidated in a 3 per cent stock (or bond)
in 1751. In 1888 the 3 per cents were converted into 2 3-4 per
cents with the provision that in 1903 the rate should be reduced
to 2 1-2 per cent. The price of consols is regarded as
the gage of the national credit of Great Britain. The official
name of consols is consolidated annuities.
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