The wolves of Wall Street have scented prey: Yale University receives interest on an ancient goat-skin bond

The Dutch bond of 1648, housed in the Beinecke Rare Books and Manuscripts Library at Yale University, differs from the tens of thousands of manuscripts that are stored there. Most of the archive is artifacts, that is, the original purpose of the documents has already been fulfilled. But this unique bond pays annual interest, and this is 369 years after it was written.

The bond was issued on May 15, 1648 by the Dutch cooperative De Stichtse Rijnlanden, consisting of landowners and wealthy citizens who managed the dams and canals of the Lower Rhine region. The security, which is a piece of specially treated goat skin measuring 20 by 33 centimeters, was released to finance the construction of a pier on the Lek River.

According to the initial conditions, it was possible to receive 5 percent per annum indefinitely on this bond, later the rate was reduced to 3.5, and then to 2.5 percent.

In 2003, Yale University purchased the document for 24 thousand euros as a museum exhibit and showed no interest in it as a security. According to the Water Resources Administration, this is one of five bonds issued. It was only after a phone call to De Stichtse Rijnlanden that it was possible to get money from it. In 2015, the curator of the library Timothy Young went to Amsterdam to the headquarters of the office for interest. In total, the management paid 136.2 euros.

"The Yale bond is an extremely rare example of securities issued without maturity and still paying interest. It's amazing that something like this still exists," said Gert Ruwenhorst, a professor at Yale University.