consol
1
9.9
- noun
- /ˈkɒn.səl/
- Archaic
:
consola
- Many retirees invest in consols to ensure regular interest payments for their financial stability.
- Consol prices
- supply of Consols
Examples
-
Selling fixed-rate Consols now makes good sense; buying them is nuts.
Blog text (32) -
The rise in the prices of British Consols from 1813 onward appears to have been due, in part, to a reduction in their perceived risk as the Allies approached France and peace returned, and, in part, to a drastic reduction in the annual supply of new Consols through budget deficit financing.
Academic text (2018) -
Consol prices did not return to par quickly, however.
Academic text (2018) -
In their model, the mortgage is treated as a consol with a perpetual put option representing the opportunity to default.
Academic text (2016) -
Consols issued at 60 percent of par; 167 was typically added to the debt.
Academic text (2018) -
Investors have different goals and preferences; you're right that Consols would be gobbled up by investors as well.
Blog text (32) -
Reduced supply of Consols, itself associated with a move toward fiscal surplus, combined with increased demand for them and the anticipated, then actual, resumption of specie payments at the old parity, created a secular decline in interest rates.
Academic text (2018) -
Over the course of the 18th century, government securities ("the funds") and Consols in particular had become the principal nonlanded form of wealth holding for merchants and the middle class, who tended to be more liquid than all but the richest aristocracy.
Academic text (2018) -
In a world in which equity markets were almost nonexistent and in which there was a gigantic government bond market swollen by war financing, fluctuations in the prices of Consols caused swings in investor wealth that had major economic effects, which have been much underappreciated.
Academic text (2018) -
Investors often prefer British consols because they provide a steady stream of income without a maturity date.
Synonyms
564
4.4
A certificate promising to repay borrowed money with interest
14
2.7
A loan to a government that pays interest over time and is usually safe
1
4.0
A bond or note that a government sells to borrow money
Surface Forms
Etymology
The word consol comes from the phrase 'consolidated annuities', and the root consolidate (as in consolidated and solid) means 'joined together'. So, consols were government bonds made by joining many old debts into one long-term loan that pays regular interest and has no fixed end.