The World’s Oldest Perpetual Bond Celebrates 400 Years – And It Still Delivers

A Four-Century-Old Bond Finds New Life on Wall Street

In a fascinating turn of events, the New York Stock Exchange received a remarkable payment in 2023: a bond dating back to the 17th century. Issued in 1624 by a Dutch water management authority, this “perpetual bond,” as it’s known, promises its owner annual payments for as long as both the issuer and the bond itself exist. While the Stock Exchange hadn’t received interest payments since 2004, they were unexpectedly presented with a lump sum of £299.42.This unique sum was subsequently donated to a dam museum, showcasing the enduring legacy of this centuries-old financial instrument. The story of this bond highlights the remarkable longevity of certain financial instruments and their ability to transcend time. It serves as a tangible reminder of the enduring power of financial agreements and the enduring value placed on long-term commitments. A bond issued over 350 years ago in 17th-century Holland is a testament to the enduring nature of financial commitments. The bond, originally issued by the Hoogheemraadschap Lekdijk Bovendams to fund essential dam repairs following a devastating event, raised a notable sum of 23,000 Caroline guilders. Through a remarkable series of events, this historical financial instrument made its way across the Atlantic. In 1938, a Dutch-American banker gifted the bond to the New York Stock Exchange, symbolizing the enduring friendship between the Netherlands and the united States and honoring New York City’s rich Dutch heritage. While the original issuer has as dissolved into history,its successor,the Dutch water authority Hoogheemraadschap De Stichtse Rijnlanden,has inherited the obligation of upholding the bond’s enduring promise. Perpetual bonds, financial instruments with no maturity date, have a long and intriguing history. Their use stretches far beyond isolated examples, demonstrating their enduring relevance. Historic Instances of Perpetual Bonds A compelling example can be found in the actions of the British government. In 2015, they redeemed several “British consols,” bonds dating back a remarkable 250 years. Originally issued to manage debts accumulated during conflicts like the Napoleonic and Crimean wars, their redemption reflected the prevailing low interest rates and the government’s aim to reduce national debt. France in the 18th century also utilized perpetual bonds, albeit in the form of annuities. This strategy allowed the country to ease financial strain while providing aristocrats and the Church with a steady stream of interest payments.

Perpetual Bonds Gain Traction in Modern Finance

Perpetual bonds are gaining recognition as a viable financial instrument in the global market. countries like India are leading the charge, recognizing the potential these bonds hold for modern finance. By easing regulatory restrictions, India is paving the way for banks to issue perpetual bonds more freely. This move aims to provide financial institutions with an choice avenue for raising capital, moving beyond the reliance on traditional deposit methods. Perpetual bonds offer a unique proposition for both issuers and investors. Their enduring nature, without a fixed maturity date, presents a distinct advantage in today’s dynamic financial landscape.

perpetual Bonds Gain Traction in Modern Finance

Perpetual bonds are gaining recognition as a viable financial instrument in the global market. Countries like India are leading the charge, recognizing the potential these bonds hold for modern finance. By easing regulatory restrictions, India is paving the way for banks to issue perpetual bonds more freely. This move aims to provide financial institutions with an alternative avenue for raising capital, moving beyond the reliance on traditional deposit methods. Perpetual bonds offer a unique proposition for both issuers and investors. Their enduring nature, without a fixed maturity date, presents a distinct advantage in today’s dynamic financial landscape.
## A Bond that Bridges Centuries: An Interview





**(Archyde News)**



In a remarkable event, the New York Stock Exchange (NYSE) recently received an incredibly unusual payment—a bond from the 17th century. This surprisingly persistent financial instrument highlights the enduring power of financial agreements and the captivating stories they weave across time.



Joining us today to discuss this interesting advancement is Dr. Eleanor van der Waal,a financial historian specializing in early modern finance and the history of the Dutch financial infrastructure.



**archyde:** Dr. van der Waal, thank you so much for joining us. This story is truly remarkable. Could you shed some light on the origins of this bond and its journey to the NYSE?



**Dr. van der Waal:** It’s a pleasure to be here. Well, the bond was issued in 1624 by the Hoogheemraadschap Lekdijk Bovendams, a Dutch water management authority responsible for maintaining dikes and protecting from floods. It was issued to raise funds for crucial dam repairs after a devastating flooding event.



Back then, this type of bond, known as a “perpetual bond”, was a common tool used by organizations needing to fund large, ongoing projects. These bonds promised annual payments to the holder for as long as the issuer existed.



The bond’s journey to the NYSE is quite fascinating. It made its way across the Atlantic in 1938 when a Dutch-American banker gifted it to the exchange. This act was seen as a symbolic gesture of friendship between the Netherlands and the United States, acknowledging New york City’s rich dutch heritage.



**Archyde:** Amazing! It’s amazing to think about the bond’s journey through time and across continents. The fact that it’s still honored today is truly remarkable. What does this say about the enduring nature of financial agreements?



**Dr. van der Waal:** Absolutely. This bond truly exemplifies the enduring power of financial commitments. Its very existence serves as a powerful reminder of the lasting impact financial agreements can have, transcending generations and continents.It also speaks to the



importance of trust and credibility built into these instruments. The fact that the Hoogheemraadschap Lekdijk Bovendams, despite being established centuries ago, is still recognized and honored by the NYSE speaks volumes about



the foundations upon which these financial systems were built.



**Archyde:** It’s remarkable to see a piece of history so tangibly linked to modern finance. What do you think the broader implications are of this unique event?



**Dr. van der Waal:** This story serves as a compelling reminder of the past depth of financial structures



and the enduring nature of certain financial instruments. Studying these historical examples can offer valuable



insights for understanding current financial practices, risk management, and the evolution of trust within financial



systems. It also highlights the fascinating interplay between finance,history,and social values.



**Archyde:** Dr. van der Waal, thank you so much for sharing your expertise and shedding light on this captivating story.This truly unique event offers a fascinating glimpse into the past and reminds us of the power and longevity of financial commitments.



**Dr. van der Waal:** It was my pleasure.

A bond issued over 350 years ago in 17th-century Holland is a testament to the enduring nature of financial commitments. The bond, originally issued by the Hoogheemraadschap Lekdijk Bovendams to fund essential dam repairs following a devastating event, raised a notable sum of 23,000 Caroline guilders. Through a remarkable series of events, this historical financial instrument made its way across the Atlantic. In 1938, a Dutch-American banker gifted the bond to the New York Stock Exchange, symbolizing the enduring friendship between the Netherlands and the united States and honoring New York City’s rich Dutch heritage. While the original issuer has as dissolved into history,its successor,the Dutch water authority Hoogheemraadschap De Stichtse Rijnlanden,has inherited the obligation of upholding the bond’s enduring promise. Perpetual bonds, financial instruments with no maturity date, have a long and intriguing history. Their use stretches far beyond isolated examples, demonstrating their enduring relevance. Historic Instances of Perpetual Bonds A compelling example can be found in the actions of the British government. In 2015, they redeemed several “British consols,” bonds dating back a remarkable 250 years. Originally issued to manage debts accumulated during conflicts like the Napoleonic and Crimean wars, their redemption reflected the prevailing low interest rates and the government’s aim to reduce national debt. France in the 18th century also utilized perpetual bonds, albeit in the form of annuities. This strategy allowed the country to ease financial strain while providing aristocrats and the Church with a steady stream of interest payments.

Perpetual Bonds Gain Traction in Modern Finance

Perpetual bonds are gaining recognition as a viable financial instrument in the global market. countries like India are leading the charge, recognizing the potential these bonds hold for modern finance. By easing regulatory restrictions, India is paving the way for banks to issue perpetual bonds more freely. This move aims to provide financial institutions with an choice avenue for raising capital, moving beyond the reliance on traditional deposit methods. Perpetual bonds offer a unique proposition for both issuers and investors. Their enduring nature, without a fixed maturity date, presents a distinct advantage in today’s dynamic financial landscape.

perpetual Bonds Gain Traction in Modern Finance

Perpetual bonds are gaining recognition as a viable financial instrument in the global market. Countries like India are leading the charge, recognizing the potential these bonds hold for modern finance. By easing regulatory restrictions, India is paving the way for banks to issue perpetual bonds more freely. This move aims to provide financial institutions with an alternative avenue for raising capital, moving beyond the reliance on traditional deposit methods. Perpetual bonds offer a unique proposition for both issuers and investors. Their enduring nature, without a fixed maturity date, presents a distinct advantage in today’s dynamic financial landscape.
## A Bond that Bridges Centuries: An Interview





**(Archyde News)**



In a remarkable event, the New York Stock Exchange (NYSE) recently received an incredibly unusual payment—a bond from the 17th century. This surprisingly persistent financial instrument highlights the enduring power of financial agreements and the captivating stories they weave across time.



Joining us today to discuss this interesting advancement is Dr. Eleanor van der Waal,a financial historian specializing in early modern finance and the history of the Dutch financial infrastructure.



**archyde:** Dr. van der Waal, thank you so much for joining us. This story is truly remarkable. Could you shed some light on the origins of this bond and its journey to the NYSE?



**Dr. van der Waal:** It’s a pleasure to be here. Well, the bond was issued in 1624 by the Hoogheemraadschap Lekdijk Bovendams, a Dutch water management authority responsible for maintaining dikes and protecting from floods. It was issued to raise funds for crucial dam repairs after a devastating flooding event.



Back then, this type of bond, known as a “perpetual bond”, was a common tool used by organizations needing to fund large, ongoing projects. These bonds promised annual payments to the holder for as long as the issuer existed.



The bond’s journey to the NYSE is quite fascinating. It made its way across the Atlantic in 1938 when a Dutch-American banker gifted it to the exchange. This act was seen as a symbolic gesture of friendship between the Netherlands and the United States, acknowledging New york City’s rich dutch heritage.



**Archyde:** Amazing! It’s amazing to think about the bond’s journey through time and across continents. The fact that it’s still honored today is truly remarkable. What does this say about the enduring nature of financial agreements?



**Dr. van der Waal:** Absolutely. This bond truly exemplifies the enduring power of financial commitments. Its very existence serves as a powerful reminder of the lasting impact financial agreements can have, transcending generations and continents.It also speaks to the



importance of trust and credibility built into these instruments. The fact that the Hoogheemraadschap Lekdijk Bovendams, despite being established centuries ago, is still recognized and honored by the NYSE speaks volumes about



the foundations upon which these financial systems were built.



**Archyde:** It’s remarkable to see a piece of history so tangibly linked to modern finance. What do you think the broader implications are of this unique event?



**Dr. van der Waal:** This story serves as a compelling reminder of the past depth of financial structures



and the enduring nature of certain financial instruments. Studying these historical examples can offer valuable



insights for understanding current financial practices, risk management, and the evolution of trust within financial



systems. It also highlights the fascinating interplay between finance,history,and social values.



**Archyde:** Dr. van der Waal, thank you so much for sharing your expertise and shedding light on this captivating story.This truly unique event offers a fascinating glimpse into the past and reminds us of the power and longevity of financial commitments.



**Dr. van der Waal:** It was my pleasure.