In 1785, a stockbroker, named Atkinson, probably from the "North Countree," speculated enormously, but skilfully, we must suppose, for he realised a fortune of £500,000. His habits were eccentric. At a friend's dinner party he abruptly turned to a lady who occupied the next chair, saying, "If you, madam, will entrust me with £1,000 for three years, I will employ it advantageously." The speaker was well known, and his offer accepted; and at the end of the three years, to the very day, Atkinson called on the lady with £10,000, to which, by his adroit management, her deposit had increased.
In general (says "Aleph," in the City Press), a stock-jobber's pursuits tend to shorten life; violent excitement, and the constant alternation of hope and fear, wear out the brain, and soon lead to disease or death. Yet instances of great longevity occur in this class: John Rive, after many active years in the Alley, retired to the Continent, and died at the age of 118.
The author of "The Bank Mirror" (circa 1795) gives a graphic description of the Stock Exchange of that period. "The scene opens," he says, "about twelve, with the call of the prices of stock, the shouting out of names, the recital of news, &c., much in the following manner:—'A mail come in—What news? what news?—Steady, steady—Consols for to-morrow—Here, Consols!—You old Timber-toe, have you got any scrip?—Private advices from—A wicked old peer in disguise sold—What do you do?—Here, Consols! Consols!—Letters from—A great house has stopt—Payment of the Five per Cents commences—Across the Rhine—The Austrians routed—The French pursuing!—Four per Cents for the opening!—Four per Cents—Sir Sydney Smith exchanged for—Short Annuities—Shorts! Shorts! Shorts!—A messenger extraordinary sent to—Gibraltar fortifying against—A Spanish fleet seen in—Reduced Annuities for to-morrow—I'm a seller of—Lame ducks waddling—Under a cloud hanging over—The Cape of Good Hope retaken by—Lottery tickets!—Here, tickets! tickets! tickets!—The Archduke Charles of Austria fled into—India Stock!—Clear the way, there, Moses!—Reduced Annuities for money!—I'm a buyer—Reduced! Reduced! (Rattles spring.) What a d——d noise you make there with the rattles!—Five per Cents!—I'm a seller!—Five per Cents! Five per Cents!—The French in full march for—The Pope on his knees—following the direction of his native meekness into—Consols! Consols!—Smoke the old girl in silk shoes there! Madam, do you want a broker?—Four per Cents—The Dutch fleet skulked into—Short Annuities!—The French army retreating!—The Austrians pursuing!—Consols! Consols! Bravo!—Who's afraid?—Up they go! up they go!—'De Empress de Russia dead!'—You lie, Mordecai! I'll stuff your mouth with pork, you dog!—Long Annuities! Long Annuities! Knock that fellow's hat off, there!—He'll waddle, to-morrow—Here, Long Annuities! Short Annuities—Longs and Shorts!—The Prince of Condé fled!—Consols!—The French bombarding Frankfort!—Reduced Annuities—Down they go! down they go!—You, Levi, you're a thief, and I'm a gentleman—Step to Garraway's, and bid Isaacs come here—Bank Stock!—Consols!—Give me thy hand, Solomon!—Didst thou not hear the guns fire?—Noble news! great news!—Here, Consols! St. Lucia taken!—St. Vincent taken!—French fleets blocked up! English fleets triumphant! Bravo! Up we go! up, up, up!—Imperial Annuities! Imperial! Imperial!—Get out of my sunshine, Moses, you d—d little Israelite!—Consols! Consols! &c.' ... The noise of the screech-owl, the howling of the wolf, the barking of the mastiff, the grunting of the hog, the braying of the ass, the nocturnal wooing of the cat, the hissing of the snake, the croaking of toads, frogs, and grasshoppers—all these in unison could not be more hideous than the noise which these beings make in the Stock Exchange. And as several of them get into the Bank, the beadles are provided with rattles, which they occasionally spring, to drown their noise and give the fair purchaser or seller room and opportunity to transact their business; for that part of the Rotunda to which the avenue from Bartholomew Lane leads is often so crowded with them that people cannot enter."
About 1799, the shares of this old Stock Exchange having fallen into few hands, they boldly attempted, instead of a sixpenny diurnal admission to every person presenting himself at the bar, to make it a close subscription-room of ten guineas per annum for each member, and thereby to shut out all petty or irregular traffickers, to increase the revenues of this their monopolised market. A violent democracy revolted at this imposition and invasion of the rights, privileges, and immunities of a public market for the public stock. They proposed to raise 263 shares of £50 each, creating a fund of £13,150 wherewith to build a new, uninfluenced, unaristocraticised, free, open market. Those shares were never, as in the old conventicle, to condense into a few hands, for fear of a dread aristocracy returning. Mendoza's boxing-room, the debating-forum up Capel Court, and buildings contiguous with the freehold site, were purchased, and the foundation-stone was laid for this temple, to be, when completed, consecrated to free, open traffic.
In 1805 Ambrose Charles, a Bank clerk, publicly charged the Earl of Moira, a cabinet minister, with using official intelligence to aid him in speculating in the funds. The Premier was compelled to investigate the charge, but no truthful evidence could be adduced, and the falsehood of his allegations was made apparent.
Mark Sprat, a remarkable speculator, died in 1808. He came to London with small means, but getting an introduction to the Stock Exchange, was wonderfully successful. In 1799 he contracted for the Lottery; and in 1800 and the three following years he was foremost among those who contracted for the loans. During Lord Melville's trial, he was asked whether he did not act as banker for members of both houses. "I never do business with privileged persons!" was his reply, which might have referred to the following fact:—A broker came to Sprat in great distress. He had acted largely for a principal who, the prices going against him, refused to make up his losses. "Who was the scoundrel?" "A nobleman of immense property." Sprat volunteered to go with him to his dishonest debtor. The great man coolly answered, it was not convenient to pay. The broker declared that unless the account was settled by a fixed hour next day, his lordship would be posted as a defaulter. Long before the time appointed the matter was arranged, and Sprat's friend rescued from ruin.
The history of the money articles in the London papers is thus given by the author of "The City." In 1809 and 1810 (says the writer), the papers had commenced regularly to publish the prices of Consols and the other securities then in the market, but the list was merely furnished by a stockbroker, who was allowed, as a privilege for his services, to append his name and address, thereby receiving the advantages of an advertisement without having to pay for it. A further improvement was effected by inserting small paragraphs, giving an outline of events occurring in relation to City matters, but these occupied no acknowledged position, and only existed as ordinary intelligence. However, from 1810 up to 1817, considerable changes took place in the arrangements of the several daily journals; and a new era almost commenced in City life with the numerous companies started on the joint-stock principle at the more advanced period, and then it was that this department appears to have received serious attention from the heads of the leading journals.
The description of matter comprised in City articles has not been known in its present form more than fifty years. There seems a doubt whether they first originated with the Times or the Herald. Opinion is by some parties given in favour of the last-mentioned paper. Whichever establishment may be entitled to the praise for commencing so useful a compendium of City news, one thing appears very certain—viz., that no sooner was it adopted by the one paper, than the other followed closely in the line chalked out. The regular City article appears only to have had existence since 1824-25, when the first effect of that over-speculating period was felt in the insolvency of public companies, and the breakage of banks. Contributions of this description had been made and published, as already noticed, in separate paragraphs throughout the papers as early as 1811 and 1812; but these took no very prominent position till the more important period of the close of the war, and the declaration of peace with Europe.
In 1811, the case of Benjamin Walsh, M.P., a member of the Stock Exchange, occasioned a prodigious sensation. Sir Thomas Plomer employed him as his broker, and, buying an estate, found it necessary to sell stock. Walsh advised him not to sell directly, as the funds were rising; the deeds were not prepared, and the advice was accepted. Soon after, Walsh said the time to sell was come, for the funds would quickly fall. The money being realised, Walsh recommended the purchase of exchequer bills as a good investment. Till the cash was wanted, Sir Thomas gave a cheque for £22,000 to Walsh, who undertook to lodge the notes at Gosling's. In the evening he brought an acknowledgment for £6,000, promising to make up the amount next day. Sir Thomas called at his bankers, and found that a cheque for £16,000 had been sent, but too late for presentation, and in the morning the cheque was refused. In fact, Walsh had disposed of the whole; giving £1,000 to his broker, purchasing £11,000 of American stock, and buying £5,000 worth of Portuguese doubloons. He was tried and declared guilty; but certain legal difficulties were interposed; the judges gave a favourable decision; he was released from Newgate, and formally expelled from the House of Commons. Such crimes seem almost incredible, for such culprits can have no chance of escape; as, even when the verdict of a jury is favourable, their character and position must be absolutely and hopelessly lost.
In these comparatively steady-going times, the funds often remain for months with little or no variation; but during the last years of the French war, a difference of eight or even ten per cent. might happen in an hour, and scripholders might realise eighteen or twenty per cent. by the change in the loans they so eagerly sought. From what a fearful load of ever-increasing expenditure the nation was relieved by the peace resulting from the battle of Waterloo, may be judged from the fact that the decrease of Government charges was at once declared to exceed £2,000,000 per month.