CO129-549-1 Remittance of funds between Hong Kong and London 12-2-1934 - 14-2-1935 — Page 46

2

3.

45

As the opening buying and selling rates on August 17th were the same as on August 14th a comparison of my purchase of sterling on 14th and Treasury Chest Officer's sale of sterling

on 17th may be made. If the mean of the two Treasury Chest Officer's rates be taken, i.e. 1/6, the comparison would be

as under :-

£50,000 at 1/62/2

£50,000 at 1/68

Difference

$648,648.64 ↑

646,464.64

$ 2,184.

B

Supposing, however, that the suggested mean of the opening

buying and selling rates had been taken the comparison would

have been

Opening buying rate

Opening selling rate

1 s/6/d

1s/6/d

4a.

The mean, therefore, is 1/6%.

£50,000 at 1/6/

whereas I obtained

£50,000 at 1/62/2

A loss to me of

$653,061.22

648,648.64

$ 4,412.58

The opening selling rate is no guide at all, it is a gesture.

The market selling rate varies sometimes hourly and depends on

many influences, so that it is not practical anyhow to obtain

a mean.

There remains the question of the Treasury Chest Officer

and Treasurer arranging between them such remittances in an

ordinary business way when it suits them but as I have pointed

out there will be very little money in it on either side and

I now come to the administrative point of view.