KINGS IN BUSINESS

Press, Volume LXXIV, Issue 22419, 4 June 1938, Page 19

KINGS IN BUSINESS

European Royalties as Financiers

KINGS are not always national figureheads content to draw their salaries from the State, and to spend them on a ceremonial life. Kings to-day are often independently wealthy, or go into business to become so, writes F. C. Hanighen in the “Digest.” Some of them figure as stockholders in the great industries of their own and other countries. History has been made many times through royal adventures in finance. Former King Alfonso’s interest in oil shares led him into conflict with General Primo de Rivera, and contributed to the general’s downfall, which in turn led to Alfonso’s loss of his throne. If rumour is correct, large investments in New York property have kept King Alfonso in comfort during his exile. Queen Wilhelmina of Holland possesses such an enormous block of stock in the Great Dutch trading company that profits from oil and rubber in the Orient that Princess Juliana could afford to reject wealthy suitors and marry the comparatively impecunious Prince Bernard zur Lippe-Biesterfeld. Most of these members of royalty inherited large fortunes and were at least able to put down some inargin at the broker’s. One, howlever, started with nothing and built up an extremely large fortune by |iis own enterprise. Well-placed Investments i This was the late King Alexander |pf Jugoslavia. His son, the present boy-king r’eter, well deserves to be called the poor little rich king.” • Romping bround in lonely state with valets (and tutors in his great palaces, he fenjoys an impressive inheritance. He receives an income variously estimated at from £6OO to £IOOO a pay, based on the £4,000,000 which |Cing Alexander amassed. King Alexander knew a good thing When he saw it. His subservient parliament voted him one of the largest civil, lists in Europe—--58,000,000 dinars, or approximately l£ 250,000 a year. Unable to spend such a vast sum, pang Alexander naturally looked teround for investments. He found one place for his money in the flourishing grape and wine business of Jugoslavia. His business led all competitors. Hotels, cafes, barracks, public institutions of all kinds where wine was consumed found it tactful to sell wine from the King’s firms.

In cement, machinery, timber lands, King Alexander was a true patriot —with dividends. King Alexander became the greatest individual owner of Packard cars in the world. Starting his rule with one Daimler, he ended it with 25 Packards, some of them bulletproof. Unfortunately he left these cars at home when he went on the journey to Marseilles where, in 1934, he was assassinated. King Carol of Rumania has also proved his ability as a money-maker. Contrary to general opinion, he is really quite frugal and shrewd in financial matters. His exile in France made him so. Reduced almost to penury, he studied business methods, scraped and saved and managed to live in a small Riviera villa on a remarkably slim income. When he returned to the throne he received a civil list of about £73,000 a year. Out of this he is said to save about £20,000 a year, and not even the whims of Mme. Lupescu caused him to squander more than a little of it. Gossip says he has accumulated a personal fortune by savings and investments of about £200,000. Kings possess financial information which puts them in a position to make money. Like King Alexander, King Carol has a great deal of money placed abroad. The Poor Relation King Boris of Bulgaria is the poor relation among European kings. He receives only £ 12,000 a year salary. He married Princess Giovanna of Italy, who had a dowry of 25,000,000 lira, interest from which approximately equalled Boris’s income. Even with about £ 24,000, the royal household of Bulgaria remains hard hit. Out of this sum must be paid the expenses of the royal palace, all social functions and the upkeep of country places. The result is that Sofia has the reputation of being one of the dullest capitals in Europe. Foreign legations and embassies know better than to entertain lavishly or often. King Boris has made it known that he cannot keep up with a gay diplomatic set. Champagne rarely flows at the palace. Besides, he rather exploits his poverty. It makes him shine as a sparing monarch in a very poor country. He tends his rose gardens, pushes the baby prince round in the perambulator, pilots railway engines whenever he goes on trips, and democratically shakes

hands with peasants in the streets of the capital. King Zog of Albania gets less than King Boris—only £4OOO a year—but considering the small size and lack of wealth of his kingdom the salary is not out of proportion. Besides, he has looked after his personal financial interests. As dictator, King Zog has been in a good position to profit from Italian penetrations in Albania. He has built up a fortune of £300,000 safely invested in Swiss stocks and bonds.