The Financier · Chapter
Chapter XVI explained
Cowperwood leverages his arrangement with City Treasurer Stener to manipulate city loan certificates, building a vast financial operation.
What happens
Cowperwood leverages his arrangement with City Treasurer Stener to manipulate city loan certificates, building a vast financial operation. He uses the funds to speculate in stocks and considers entering street-railway investments, while Strobik and Stener plot to use him as a front for their own schemes. Cowperwood dreams of controlling street-railways and forming a partnership with the city's political bosses.
Themes in this chapter
Ambition and Success
Cowperwood's relentless drive to build a financial empire, using city funds and street-railway schemes to achieve power and wealth.
Corruption and Power
The unethical manipulation of city loan certificates, secret deals between Stener, Strobik, and Cowperwood, and the political bosses' behind-the-scenes control.
Deception and Self-Justification
Cowperwood believes himself financially honest despite his manipulative practices, while Stener and Strobik engage in deceit for personal gain.
Characters to notice
- Frank Algernon Cowperwood
At 28-29, he masterfully manipulates city loan certificates, using them as collateral and engaging in 'pyramiding' and 'kiting.' He considers street-railway investments and dreams of controlling lines.
- George W. Stener
City treasurer who sets over city loan certificates to Cowperwood, netting a personal profit of $2,000. He is easily swayed and conspires with Strobik to use Cowperwood for street-railway schemes.
- Edward Strobik
Politician who proposes using Cowperwood as a secret representative to buy street-railway shares, planning to later shake Stener out. He is cautious of his superiors.
- Edward Malia Butler
One of the political bosses interested in street-railways; Cowperwood deals privately for him as an agent, though Butler is not yet aware of all of Cowperwood's plans.
- Henry A. Mollenhauer
Political boss who, along with Simpson and Butler, is interested in street-railways. He becomes aware of Cowperwood by reputation as the man handling city loan.
- Mark Simpson
Political boss and senator, part of the triumvirate with Mollenhauer and Butler. He is interested in street-railways and knows of Cowperwood's success with city loan.
Key passages
“take this cash, which need not be accounted for until the end of the month, and cover other stock transactions, on which he could borrow again.”
Cowperwood uses the cash from city loan certificates, which he doesn't have to report until month's end, to engage in further stock trades and borrow more money.
Illustrates Cowperwood's financial manipulation and the latitude given by Stener.
“There was no limit to the resources of which he now found himself possessed, except the resources of his own energy, ingenuity, and the limits of time in which he had to work.”
Cowperwood felt his financial resources were boundless, limited only by his own effort, cleverness, and the time available.
Highlights Cowperwood's sense of limitless opportunity and self-reliance.
“The politicians did not realize what a bonanza he was making of it all for himself, because they were as yet unaware of the subtlety of his mind.”
The politicians failed to see how much Cowperwood was profiting, as they underestimated his cunning.
Shows Cowperwood's superior intellect and the politicians' naivety.