Financial History Issue 121 (Spring 2017) | Page 14
shares of the Bank of the United States.
Despite the dangers — a war with Britain
would mean additional borrowing by the
government with possible adverse effects
on stock prices while the failure of the
effort to re-charter the Bank could mean
significant losses to shareholders — Girard
proceeded with the purchases. In 1811,
almost 60% of the assets returned to the
United States were in the form of govern-
ment stock and Bank shares.
A second element critical to placing
Girard in a leading role regarding the War
Loan of 1813 was the demise of the First
Bank of the United States. Chartered in
1791 for a 20-year period, the Bank had
gro