Alexander Fordyce
Encyclopedia
Alexander Fordyce was a Scottish banker, centrally involved in the bank run
on Neal, James, Fordyce and Down
in 1772.
, and brother to David Fordyce
, James Fordyce
, and William Fordyce
. He was educated under his uncle, Thomas Blackwell the younger, and was then for some time in the hosiery trade at Aberdeen. He went to London, and found a situation as outdoor clerk to a banker named Boldero. Eventually he became the most active partner in the firm of Neale, James, Fordyce, & Down.
stock rose greatly in 1764–5. With the proceeds of these and other speculations Fordyce purchased an estate and built a fine house at Roehampton
, where he lived magnificently.
He stood as a candidate for the borough of Colchester
at the general election of 1768
, and spent nearly £14,000; but was defeated by twenty-four votes. After this he spent money to build a hospital and otherwise cultivate the borough. In 1770 he married Lady Margaret Lindsay, second daughter of James Lindsay, 5th Earl of Balcarres
.
The tide of fortune then turned; Fordyce lost heavily at the beginning of 1771 in the fluctuations of the market caused by the dispute with Spain about the Falkland Islands. His partners became alarmed, but it is said he succeeded in quieting their fears by showing them a pile of bank notes which he had borrowed for the purpose for a few hours. His losses continuing, he absconded, and the bank stopped payment on 10 June 1772.
and Sir Thomas Hallifax stopped payment temporarily, and a stoppage by Sir George Colebrooke came close.
Fordyce, supposedly in danger from the mob, returned and went through an examination at the Guildhall
. His debt was about £100,000.
Fordyce was again the defeated candidate at Colchester in 1780. He died 8 September 1789, at Mr. Mead's in George Street, Portman Square
. A sermon by Thomas Toller, minister sharing a church with James Fordyce, published in London in 1775, describes Fordyce's fall. His widow married in 1812 Sir James Bland Burges.
Bank run
A bank run occurs when a large number of bank customers withdraw their deposits because they believe the bank is, or might become, insolvent...
on Neal, James, Fordyce and Down
Neal, James, Fordyce and Down
Neal, James, Fordyce and Down was a London banking house which collapsed in June 1772, precipitating a major banking crisis which included the collapse of almost every private bank in Scotland, and a liquidity crisis in the two major banking centres of the world, London and Amsterdam...
in 1772.
Early life
He was the youngest son of Provost George Fordyce (1663-1733) of AberdeenAberdeen
Aberdeen is Scotland's third most populous city, one of Scotland's 32 local government council areas and the United Kingdom's 25th most populous city, with an official population estimate of ....
, and brother to David Fordyce
David Fordyce
David Fordyce was a Scottish philosopher, a contributor to the Scottish Enlightenment.Fordyce was educated at Marischal College, Aberdeen . He entered the ministry and returned to Marischal as regent in 1742, teaching Moral Philosophy there until 1751, when he died by drowning at sea...
, James Fordyce
James Fordyce
James Fordyce, DD , was a Scottish Presbyterian minister and poet. He is best known for his collection of sermons published in 1766 as Sermons for Young Women, popularly known as Fordyce's Sermons.-Early life:...
, and William Fordyce
William Fordyce
-Life:The son of Provost George Fordyce of Aberdeen, and brother of David Fordyce, was born at Aberdeen in 1724, and educated at Marischal College; also serving a medical pupilage with a local practitioner and with his brother John at Uppingham in 1743...
. He was educated under his uncle, Thomas Blackwell the younger, and was then for some time in the hosiery trade at Aberdeen. He went to London, and found a situation as outdoor clerk to a banker named Boldero. Eventually he became the most active partner in the firm of Neale, James, Fordyce, & Down.
Banker and speculator
Under his guidance the firm speculated freely, and gained by obtaining early intelligence of the signature of the preliminaries of the Peace of Paris in 1763, and a when East India CompanyEast India Company
The East India Company was an early English joint-stock company that was formed initially for pursuing trade with the East Indies, but that ended up trading mainly with the Indian subcontinent and China...
stock rose greatly in 1764–5. With the proceeds of these and other speculations Fordyce purchased an estate and built a fine house at Roehampton
Roehampton
Roehampton is a district in south-west London, forming the western end of the London Borough of Wandsworth. It lies between the town of Barnes to the north, Putney to the east and Wimbledon Common to the south. The Richmond Park golf courses are west of the neighbourhood, and just south of these is...
, where he lived magnificently.
He stood as a candidate for the borough of Colchester
Colchester (UK Parliament constituency)
Colchester is a parliamentary constituency represented in the House of Commons of the Parliament of the United Kingdom. It elects one Member of Parliament by the first past the post system of election.-History:...
at the general election of 1768
British general election, 1768
The British general election, 1768 returned members to serve in the House of Commons of the 13th Parliament of Great Britain to be held, after the merger of the Parliament of England and the Parliament of Scotland in 1707.-Summary of the Constituencies:...
, and spent nearly £14,000; but was defeated by twenty-four votes. After this he spent money to build a hospital and otherwise cultivate the borough. In 1770 he married Lady Margaret Lindsay, second daughter of James Lindsay, 5th Earl of Balcarres
James Lindsay, 5th Earl of Balcarres
James Lindsay, 5th Earl of Balcarres was a Scottish peer, the son of Colin, 3rd Earl of Balcarres and Lady Margaret Campbell, daughter of the Earl of Loudoun...
.
The tide of fortune then turned; Fordyce lost heavily at the beginning of 1771 in the fluctuations of the market caused by the dispute with Spain about the Falkland Islands. His partners became alarmed, but it is said he succeeded in quieting their fears by showing them a pile of bank notes which he had borrowed for the purpose for a few hours. His losses continuing, he absconded, and the bank stopped payment on 10 June 1772.
Financial crash and aftermath
The stoppage precipitated a crisis, after a few days, when a major panic arose in the City of London. Sir Richard GlynSir Richard Glyn, 1st Baronet, of Ewell
Sir Richard Glyn, 1st Baronet was a British banker and politician.Together with Joseph Vere and Thomas Hallifax he founded the bank of Vere, Glyn & Hallifax, which evolved into Williams & Glyn's Bank....
and Sir Thomas Hallifax stopped payment temporarily, and a stoppage by Sir George Colebrooke came close.
Fordyce, supposedly in danger from the mob, returned and went through an examination at the Guildhall
Guildhall, London
The Guildhall is a building in the City of London, off Gresham and Basinghall streets, in the wards of Bassishaw and Cheap. It has been used as a town hall for several hundred years, and is still the ceremonial and administrative centre of the City of London and its Corporation...
. His debt was about £100,000.
Fordyce was again the defeated candidate at Colchester in 1780. He died 8 September 1789, at Mr. Mead's in George Street, Portman Square
Portman Square
Portman Square is a square in London, part of the Portman Estate. It is located at the western end of Wigmore Street, which connects it to Cavendish Square to its east. It is served by London bus route 274...
. A sermon by Thomas Toller, minister sharing a church with James Fordyce, published in London in 1775, describes Fordyce's fall. His widow married in 1812 Sir James Bland Burges.