December 2005
Online Broker TradeKing Launches with Internet's Lowest Commissions
TradeKing, an online broker led by a team that helped pioneer online trading, unveiled its Web site, www.tradeking.com, offering the next generation of online trading services. With a flat fee of $4.95 for both equity and option trades, plus 65 cents per contract for options, TradeKing offers the lowest trading commissions on the Internet, with no hidden fees or account minimums. All TradeKing customers pay the same fee, regardless of trading volume or assets in the account.
TradeKing customers will be able to trade and manage a full suite of investments, including stocks, traditional options, mutual funds, exchange traded funds, bonds and Treasuries.
The online trading platform is complemented by a comprehensive set of information tools, including access to voluminous, but customized information such as a personalized RSS newsreader, educational podcasts, customized financial blogs and a Wiki community – all designed to make the TradeKing experience more engaging, more efficient and more effective.
TradeKing's founder, Donato A. Montanaro, Jr., created the online broker SURETRADE Inc. in 1997 and is recognized as one of the pioneers in electronic trading.
Donato A. Montanaro, Jr., TradeKing’s founder and CEO, is an electronic brokerage pioneers. He worked in the industry back in 1992 when online trading involved connecting to a broker through CompuServe with a 1200-baud dial-up modem.
Montanaro was the founder of SureTrade, launched in 1997 and it offered the lowest online trading commissions, $7.95. SureTrade became the 8th largest online broker and merged with Quick & Reilly’s online brand as part of Fleet Bank and Fleet Financial.
According to Montanaro, the online brokerage operational model is one of a few “proven”, even mature, business models on the Internet. Data exchanged via the Internet, including stock quotes, research reports, financial statements, analysis and trade order information, makes the net ideally suited to this business. The growth in the popularity of trading online has been driven by a strong desire by an increasing number of people to connect with – and control – their own personal finances. Additionally, revenue for a firm like TradeKing is primarily transaction-based, and expenses are largely variable. That lets you build and scale a business at the appropriate pace.
Montanaro feels TradeKing's idea is to shock clients with a truly fresh approach to their needs. TradeKing is one of the few brokerage firms that offers brokerage clients a real choice.
The company’s target market is a select group of traders who are active, Web-based traders who like to trade options and stocks.
TradeKing investors include members of the Quick family, founders of Quick and Reilly, and Bruce Rauner, a principal at the Chicago private equity firm GTCR. Two other nationally known venture capital firms holding an interest in the firm are Battery Ventures and OCA Ventures.
The typical profile of a TradeKing client is an experienced, knowledgeable online trader – approximately 80% of whom are male – who tends to trade actively during all market conditions and who increasingly uses option trading as a tool, whether to hedge or “insure” an equity stock position or to leverage potential return on a directional prediction.
Differentiation offered by TradeKing
TradeKing integrates a traditional trading platform with new option trading tools, such as the P&L Calculator, the Probability Calculator, and nineteen different strategic option chains. It also is the only brokerage firm in the world to actively use Web 2.0 tools, including a Wiki, blogs and RSS newsreader, within its brokerage platform. The company also places great emphasis on providing world-class customer service. Its motto is that clients are real people, not numbers, – and we treat each person with respect. TradeKing has found a way to offer the lowest commissions in the industry, while still maintaining a healthy operating margin, that displays the ability to manage technology, marketing and clearing expenses while maintaining revenue growth.
TradeKing is a next generation niche player within the industry – nimble, client-focused, and powered by community.
Online Discount Broker TradeKing Introduces Professional-Grade Portfolio Management Capabilities Using Portfolio Director 8.0 Desktop
Online discount broker TradeKing (www.tradeking.com) recently announced it now offers its clients access to portfolio management capabilities from Portfolio Director, Inc. (www.portfoliodirector.com), leaders in developing and supporting best-of-breed portfolio management systems. TradeKing clients can upload their TradeKing account data for both equities and options to the Portfolio Director 8.0 Desktop software to see time-weighed returns, compare their performance to key benchmarks, produce end-of-year gain/loss information and other flexible reports, re-balance holdings instantly according to model portfolios, view asset allocation by symbol, investment type, Morningstar category, and other professional portfolio management capabilities.
Boca Raton, FL (PRWEB) February 15, 2008 -- Online discount broker TradeKing (www.tradeking.com) recently announced it now offers its clients access to portfolio management capabilities from Portfolio Director, Inc. (www.portfoliodirector.com), leaders in developing and supporting best-of-breed portfolio management systems. TradeKing clients can upload their TradeKing account data for both equities and options to the Portfolio Director 8.0 Desktop software to see time-weighed returns, compare their performance to key benchmarks, produce end-of-year gain/loss information and other flexible reports, re-balance holdings instantly according to model portfolios, view asset allocation by symbol, investment type, Morningstar category, and other professional portfolio management capabilities.
"At this time of year, we know clients often review their annual portfolio performance so they can assess tax impact, re-balance their portfolios, check asset allocation, and so forth," said Don Montanaro, CEO and chairman of TradeKing. "We're pleased to give them access to a truly professional-grade portfolio management tool with plenty of firepower as they wrap up their year-end reviews. These new features made possible by Portfolio Director 8.0 Desktop are yet another step in giving our clients greater visibility into their ongoing investment success, helping them to make informed decisions about their equity and options trading."
Anyone looking for a good basic portfolio management and reporting package that won't break the bank should take Portfolio Director Desktop for a test drive.
With Portfolio Director 8.0 Desktop, TradeKing clients can benefit from features including:
Time Weighted Returns - An easy to understand performance report based on Time Weighted Returns shows TradeKing clients at-a-glance how well their portfolio is performing over any timeframe, or against any benchmark, the client chooses.
Asset Allocation - A flexible asset allocation that displays allocation by symbol, investment type, Morningstar Category, or a client's own custom classifications.
Portfolio Rebalancing: Clients can create a model portfolio to know when their portfolio is out of balance and make re-balancing their holdings a snap. The feature even recommends the number of shares to adjust.
Flexible Reports - Clients can create their own spreadsheet-style reports with their selection of columns and headers. Portfolio Director features many reports from which to choose and more than 100 different fields, so clients can tailor reports based on their specific needs. For instance, TradeKing clients can track their stock option strategies (e.g., Covered Calls, Bull Put Spreads) and see the true cost basis, or view the profitability of trading systems using the trade entry/exit notations.
Tax Gain/Loss - Clients can run reports showing their taxable gain / loss against the original purchase price of a stock, including date purchased and sold.
Portfolio Benchmarks - Clients can benchmark their individual portfolios against a number of metrics, including the S&P 500 and the Dow Jones Industrial Average.
Sources
http://www.ip97.com/online_broker_tradeking_launches_with_internet_s_lowest_bjjf.aspx
http://blogs.zdnet.com/micro-markets/?p=462
http://www.prweb.com/releases/2008/2/prweb697373.htm
Friday, February 29, 2008
Monday, February 25, 2008
Credit Suisse Private Banking USA Opens ''Office of the Future''
February 25, 2008
Credit Suisse Private Banking USA Opens ''Office of the Future'' in Northbrook, Illinois
CHICAGO--(BUSINESS WIRE)--Credit Suisse today announced the opening of a Private Banking USA office in Northbrook, IL to serve the wealth management needs of the growing number of high-net worth and ultra-high net worth individuals in the area. The 12,000-square-foot office, headed by Chris Williams, reflects an unmatched focus on clients through its internal workplace zones.
“We are delighted to officially open our Northbrook office and to serve the North Shore, a major wealth market,” said Chris Williams, Head of the Northbrook office, Private Banking USA. “We are committed to further establishing and growing our Private Banking business here."
The office opening is another example of Credit Suisse’s strategy to expand its presence in the United States. Private Banking USA now operates 16 offices across the US and added locations in Greenwich, CT and Philadelphia, PA last year.
Office of the Future
“The client experience is critical to our business and key to Private Banking USA's growth strategy,” said Mr. Williams. “Our intent with this office is to deliver a premium, unforgettable experience not only to our clients, but also to our Relationship Managers and branch staff.”
Credit Suisse worked with Gensler, a global design firm, to create the Northbrook office. The space features sophisticated design elements such as a textured glass wall that acts as a light screening element to create privacy as well as a subtle transparency.
“The Northbrook office caters to different work styles and situations. Outward facing client zones complement internal workspace zones. This dichotomy continues through materiality playing rich and luxurious materials against those that are more comfortable and informal,” said Todd Heiser of Gensler. “For example, we have created discreet, private meeting rooms with high quality furnishings where Relationship Managers can meet with their clients. More comfortable, lounge-like areas enable clients to relax before or after meetings, check their email or have coffee.”
“We've created an inventive and connected atmosphere, where clients have access to Wifi and streaming world news via plasma screens," said Dan McCloskey of Gensler. “The staff also benefits from tabletop access to technology and large format A/V systems. The space is timeless and modern.”
Credit Suisse Private Banking USA combines the benefits of a boutique with access to professionals and product breadth of Credit Suisse, which is one of the world’s leading private banks, a world class global firm with a 152 year heritage of serving the unique needs of wealthy individuals.
Private Banking USA operates out of 16 offices across the United States and works with a select number of wealthy individuals and family groups to provide a high degree of personalized service. Private Banking USA works closely with all areas of Credit Suisse, providing clients with many of the same resources and services offered to the Bank’s largest and most sophisticated institutional investors.
Credit Suisse
As one of the world's leading banks, Credit Suisse provides its clients with investment banking, private banking and asset management services worldwide. Credit Suisse offers advisory services, comprehensive solutions and innovative products to companies, institutional clients and high-net-worth private clients globally, as well as retail clients in Switzerland. Credit Suisse is active in over 50 countries and employs approximately 48,000 people. Credit Suisse's parent company, Credit Suisse Group, is a leading global financial services company headquartered in Zurich. Credit Suisse Group's registered shares (CSGN) are listed in Switzerland and, in the form of American Depositary Shares (CS), in New York. Further information about Credit Suisse can be found at www.credit-suisse.com.
Private Banking
In Private Banking, Credit Suisse provides comprehensive advice and a broad range of investment products and services tailored to the complex needs of high-net-worth individuals globally. Wealth management solutions include tax planning; pension planning; life insurance solutions; wealth and inheritance advice, trusts and foundations. In Switzerland, Credit Suisse supplies banking products and services to private banking clients as well as to business and retail clients.
Credit Suisse Securities (USA) LLC is an indirect subsidiary of Credit Suisse. The Private Banking USA business in Credit Suisse Securities (USA) LLC is a U.S. regulated broker dealer. It is not a chartered bank, trust company or depository institution. It is not authorized to accept deposits or provide corporate trust services and it is not licensed or regulated by any federal banking authority.
Contacts
Credit Suisse
Kristine Duckett, +1-212-325-6830
kristine.duckett@credit-suisse.com
Credit Suisse Private Banking USA Opens ''Office of the Future'' in Northbrook, Illinois
CHICAGO--(BUSINESS WIRE)--Credit Suisse today announced the opening of a Private Banking USA office in Northbrook, IL to serve the wealth management needs of the growing number of high-net worth and ultra-high net worth individuals in the area. The 12,000-square-foot office, headed by Chris Williams, reflects an unmatched focus on clients through its internal workplace zones.
“We are delighted to officially open our Northbrook office and to serve the North Shore, a major wealth market,” said Chris Williams, Head of the Northbrook office, Private Banking USA. “We are committed to further establishing and growing our Private Banking business here."
The office opening is another example of Credit Suisse’s strategy to expand its presence in the United States. Private Banking USA now operates 16 offices across the US and added locations in Greenwich, CT and Philadelphia, PA last year.
Office of the Future
“The client experience is critical to our business and key to Private Banking USA's growth strategy,” said Mr. Williams. “Our intent with this office is to deliver a premium, unforgettable experience not only to our clients, but also to our Relationship Managers and branch staff.”
Credit Suisse worked with Gensler, a global design firm, to create the Northbrook office. The space features sophisticated design elements such as a textured glass wall that acts as a light screening element to create privacy as well as a subtle transparency.
“The Northbrook office caters to different work styles and situations. Outward facing client zones complement internal workspace zones. This dichotomy continues through materiality playing rich and luxurious materials against those that are more comfortable and informal,” said Todd Heiser of Gensler. “For example, we have created discreet, private meeting rooms with high quality furnishings where Relationship Managers can meet with their clients. More comfortable, lounge-like areas enable clients to relax before or after meetings, check their email or have coffee.”
“We've created an inventive and connected atmosphere, where clients have access to Wifi and streaming world news via plasma screens," said Dan McCloskey of Gensler. “The staff also benefits from tabletop access to technology and large format A/V systems. The space is timeless and modern.”
Credit Suisse Private Banking USA combines the benefits of a boutique with access to professionals and product breadth of Credit Suisse, which is one of the world’s leading private banks, a world class global firm with a 152 year heritage of serving the unique needs of wealthy individuals.
Private Banking USA operates out of 16 offices across the United States and works with a select number of wealthy individuals and family groups to provide a high degree of personalized service. Private Banking USA works closely with all areas of Credit Suisse, providing clients with many of the same resources and services offered to the Bank’s largest and most sophisticated institutional investors.
Credit Suisse
As one of the world's leading banks, Credit Suisse provides its clients with investment banking, private banking and asset management services worldwide. Credit Suisse offers advisory services, comprehensive solutions and innovative products to companies, institutional clients and high-net-worth private clients globally, as well as retail clients in Switzerland. Credit Suisse is active in over 50 countries and employs approximately 48,000 people. Credit Suisse's parent company, Credit Suisse Group, is a leading global financial services company headquartered in Zurich. Credit Suisse Group's registered shares (CSGN) are listed in Switzerland and, in the form of American Depositary Shares (CS), in New York. Further information about Credit Suisse can be found at www.credit-suisse.com.
Private Banking
In Private Banking, Credit Suisse provides comprehensive advice and a broad range of investment products and services tailored to the complex needs of high-net-worth individuals globally. Wealth management solutions include tax planning; pension planning; life insurance solutions; wealth and inheritance advice, trusts and foundations. In Switzerland, Credit Suisse supplies banking products and services to private banking clients as well as to business and retail clients.
Credit Suisse Securities (USA) LLC is an indirect subsidiary of Credit Suisse. The Private Banking USA business in Credit Suisse Securities (USA) LLC is a U.S. regulated broker dealer. It is not a chartered bank, trust company or depository institution. It is not authorized to accept deposits or provide corporate trust services and it is not licensed or regulated by any federal banking authority.
Contacts
Credit Suisse
Kristine Duckett, +1-212-325-6830
kristine.duckett@credit-suisse.com
Financial Planning Firms Valley
Financial planning firms: companies ranked by assets under management.
San Fernando Valley Business Journal
Monday, December 25 2006
Rank Firm Assets Under Employees
* name Management * Valley CFPs (1)/
* address (in millions) RIAs (2)
* Valley NASD
licensed (3)
* Valley total
1 Merrill Lynch & Co., $1,800,000 (4) 11/82
Inc. 102
2815 Townsgate Rd. 117
Ste. 300
Westlake Village 91361
2 Smith Barney 1,200,000 (4 5) 38 (6)/38 (6)
21600 Oxnard St., 386
Suite 2000 626
Woodland Hills 91367
3 Wachovia Securities, LLC 689,100 (4) 2/58
5820 Canoga Ave., 64
Ste. 100 113
Woodland Hills 91367
4 Morgan Stanley 633,000 (4) NA/50
15490 Ventura Blvd. N/A
3rd Fl. 86
Sherman Oaks 91403
5 Wells Fargo & Co. 2,214 (7) 2/na
15760 Ventura Blvd. 81
Encino 91436 1,042
6 Brookstreet Securities 475 (9) 1/5
Corp. (8) 10
21820 Burbank Blvd. #305 24
Woodland Hills 91367
7 NBS Financial Services, 165 (9) 3/1
Inc. 2
340 N. Westlake Blvd. 8
Ste. 112
Westlake Village 91362
8 Tow Financial Advisors 120 (9) 1/5
14724 Ventura Blvd. 3
Suite 501 6
Sherman Oaks 91403
9 APEX Financial Services 33 (9) 1/0
1951 Gait St. Ste. 103 1
Simi Valley 93065 1
10 Glen Chester & 9 (9) 1/1
Associates 1
16919 Horace St. 1
Granada Hills 91344
11 Ventura Advisors 5 (9) 1/1
21550 Oxnard St. 3rd Fl na
Woodland Hills 91367
http://www.allbusiness.com/north-america/united-states-california/4010637-1.html
San Fernando Valley Business Journal
Monday, December 25 2006
Rank Firm Assets Under Employees
* name Management * Valley CFPs (1)/
* address (in millions) RIAs (2)
* Valley NASD
licensed (3)
* Valley total
1 Merrill Lynch & Co., $1,800,000 (4) 11/82
Inc. 102
2815 Townsgate Rd. 117
Ste. 300
Westlake Village 91361
2 Smith Barney 1,200,000 (4 5) 38 (6)/38 (6)
21600 Oxnard St., 386
Suite 2000 626
Woodland Hills 91367
3 Wachovia Securities, LLC 689,100 (4) 2/58
5820 Canoga Ave., 64
Ste. 100 113
Woodland Hills 91367
4 Morgan Stanley 633,000 (4) NA/50
15490 Ventura Blvd. N/A
3rd Fl. 86
Sherman Oaks 91403
5 Wells Fargo & Co. 2,214 (7) 2/na
15760 Ventura Blvd. 81
Encino 91436 1,042
6 Brookstreet Securities 475 (9) 1/5
Corp. (8) 10
21820 Burbank Blvd. #305 24
Woodland Hills 91367
7 NBS Financial Services, 165 (9) 3/1
Inc. 2
340 N. Westlake Blvd. 8
Ste. 112
Westlake Village 91362
8 Tow Financial Advisors 120 (9) 1/5
14724 Ventura Blvd. 3
Suite 501 6
Sherman Oaks 91403
9 APEX Financial Services 33 (9) 1/0
1951 Gait St. Ste. 103 1
Simi Valley 93065 1
10 Glen Chester & 9 (9) 1/1
Associates 1
16919 Horace St. 1
Granada Hills 91344
11 Ventura Advisors 5 (9) 1/1
21550 Oxnard St. 3rd Fl na
Woodland Hills 91367
http://www.allbusiness.com/north-america/united-states-california/4010637-1.html
Brokerage offices in L A County
Rank Brokerage ( 2007) Total Employmees
1 Smith Barney 925
444 S. Flower St.,
26th Floor
Los Angeles 90071
2 Wells Fargo 728
333 S. Grand Ave.,
Suite 1100
Los Angeles 90071
3 Merrill Lynch 818
350 S. Grand Ave.,
Suite 2700
Los Angeles 90071
4 Farmers Financial 471
Solutions LLC )
30801 Agoura Road,
Building 1
Agoura Hills 91301
5 Morgan Stanley 601
1999 Avenue of the
Stars, 24th Floor
Los Angeles 90067
6 UBS Financial 615
Services Inc.
725 S. Figueroa St.,
41st Floor
Los Angeles 90017
7 Wachovia Securities 295
LLC
225 S. Lake Ave.,
Suite 700
Pasadena 91101
8 Transamerica Financial 233
Advisors Inc.
1150 S. Olive St.,
Suite T-2501
Los Angeles 90015
9 Wedbush Morgan
Securities
1000 Wilshire Blvd. 362
Los Angeles 90017
10 Sagemark Consulting
Lincoln Financial
Advisors 200
31111 Agoura Road,
Suite 200
Westlake
Village 91361
11 Western International
Securities Inc.
70 S. Lake Ave., 91
Suite 700
Pasadena 90010
12 Bear Stearns & Co.
Inc.
1999 Avenue of the 275
Stars, Suite 3200
Los Angeles 90067
13 Imperial Capital LLC
2000 Avenue of the Stars,
Ninth Floor South 99
Los Angeles 90067
14 Crowell Weedon & Co.
1 Wilshire Blvd.
Los Angeles 90017 116
15 Charles Schwab &
Co. Inc.
1900 Avenue of the 78
Stars, Suite 101
Los Angeles 90067
16 RBC Dain Rauscher
9665 Wilshire Blvd.,
Fourth Floor 98
Beverly Hills 90212
17 Edward Jones 56
870 Hampshire Road,
Suite A
Westlake Village 91361
18 City National
Securities Inc.
400 N. Roxbury Drive 55
Beverly Hills 90210
19 M.L. Stern & Co. LLC
8350 Wilshire Blvd.
Beverly Hills 90211 97
20 B. Riley & Co. LLC
11100 Santa Monica
Blvd., Suite 800 34
Los Angeles 90025
21 Cantor Fitzgerald & Co.
1925 Century Park East
Los Angeles 90067 35
22 First Republic
Securities Co. LLC
1888 Century Park East 17
Los Angeles 90067
23 The Summa Group of
Oppenheimer & Co.
10880 Wilshire 10
Blvd., fl 23
Los Angeles 90024
24 Clark Securities Inc.
1150 S. Olive St.,
Suite T-2120 5
Los Angeles 90015
25 Perennial Financial
Services
11620 Wilshire Blvd., 3
Suite 715
Los Angeles 90025
1 Smith Barney 925
444 S. Flower St.,
26th Floor
Los Angeles 90071
2 Wells Fargo 728
333 S. Grand Ave.,
Suite 1100
Los Angeles 90071
3 Merrill Lynch 818
350 S. Grand Ave.,
Suite 2700
Los Angeles 90071
4 Farmers Financial 471
Solutions LLC )
30801 Agoura Road,
Building 1
Agoura Hills 91301
5 Morgan Stanley 601
1999 Avenue of the
Stars, 24th Floor
Los Angeles 90067
6 UBS Financial 615
Services Inc.
725 S. Figueroa St.,
41st Floor
Los Angeles 90017
7 Wachovia Securities 295
LLC
225 S. Lake Ave.,
Suite 700
Pasadena 91101
8 Transamerica Financial 233
Advisors Inc.
1150 S. Olive St.,
Suite T-2501
Los Angeles 90015
9 Wedbush Morgan
Securities
1000 Wilshire Blvd. 362
Los Angeles 90017
10 Sagemark Consulting
Lincoln Financial
Advisors 200
31111 Agoura Road,
Suite 200
Westlake
Village 91361
11 Western International
Securities Inc.
70 S. Lake Ave., 91
Suite 700
Pasadena 90010
12 Bear Stearns & Co.
Inc.
1999 Avenue of the 275
Stars, Suite 3200
Los Angeles 90067
13 Imperial Capital LLC
2000 Avenue of the Stars,
Ninth Floor South 99
Los Angeles 90067
14 Crowell Weedon & Co.
1 Wilshire Blvd.
Los Angeles 90017 116
15 Charles Schwab &
Co. Inc.
1900 Avenue of the 78
Stars, Suite 101
Los Angeles 90067
16 RBC Dain Rauscher
9665 Wilshire Blvd.,
Fourth Floor 98
Beverly Hills 90212
17 Edward Jones 56
870 Hampshire Road,
Suite A
Westlake Village 91361
18 City National
Securities Inc.
400 N. Roxbury Drive 55
Beverly Hills 90210
19 M.L. Stern & Co. LLC
8350 Wilshire Blvd.
Beverly Hills 90211 97
20 B. Riley & Co. LLC
11100 Santa Monica
Blvd., Suite 800 34
Los Angeles 90025
21 Cantor Fitzgerald & Co.
1925 Century Park East
Los Angeles 90067 35
22 First Republic
Securities Co. LLC
1888 Century Park East 17
Los Angeles 90067
23 The Summa Group of
Oppenheimer & Co.
10880 Wilshire 10
Blvd., fl 23
Los Angeles 90024
24 Clark Securities Inc.
1150 S. Olive St.,
Suite T-2120 5
Los Angeles 90015
25 Perennial Financial
Services
11620 Wilshire Blvd., 3
Suite 715
Los Angeles 90025
Sunday, February 24, 2008
Wachovia Securities - History
Wachovia Corporation
Wachovia was formed by the 2001 merger of First Union Corporation and the former Wachovia Corporation. In connection with the merger, First Union changed its name to Wachovia Corporation.
First Union
First Union's modest beginnings were in the Buford Hotel on Charlotte's Tryon Street not long after the turn of the 20th century. H. M. Victor raised funds to start Union National by selling 1,000 shares of stock at $100 each, then set up his office at a roll-up desk in the hotel's main lobby.
Victor soon earned a reputation as a conservative banker who always confirmed his customers' creditworthiness before making a loan. For years, Victor even refused to make loans on the newly invented automobile. When he finally relented with a loan on a Model-T, he held the owner's keys and title until the loan was repaid.
As Union National grew, it maintained a reputation for high credit quality, strong financial performance and excellent customer service. It was this viability that kept the bank open during the 1930s, when the Depression closed many others.
In 1958, Union National merged with First National Bank and Trust Company of Asheville, forming First Union National Bank of North Carolina. By 1964 First Union further diversified by acquiring Raleigh-based Cameron-Brown Company, a national mortgage banking and insurance firm.
Over the decades, First Union grew into a diversified financial service company encompassing retail brokerage services, wealth management, corporate and investment banking, as well as traditional banking.
Wachovia
When William A. Lemly decided in 1879 to relocate his bank from the quiet Moravian village of Salem to the bustling county seat of Winston, he needed more than a crew of movers. Although the relocation involved moving only a few blocks up the street, changing towns required a new charter and a new name.
Both became effective on June 16, 1879, with the opening of the doors of the new Wachovia National Bank. The bank started business with capital of $100,000, which its directors felt was "very adequate."
Some years later, on June 15, 1893, North Carolina's first trust company - Wachovia Loan and Trust Company - opened its doors for business in the rapidly growing town of Winston. Its two-man staff was headed by a prominent textile and railroad entrepreneur, Francis H. Fries (pronounced "freeze").
In 1911, the two Wachovia's merged to form Wachovia Bank and Trust Company. The consolidated bank began operations with deposits of $4 million, capital stock of $1.25 million and total resources of $7 million. It was the largest bank in the South and the largest trust operation between Baltimore and New Orleans.
Origin of the Name
In 1753, Moravian settlers bought about 100,000 acres in the North Carolina Piedmont. They called the land "Wachau" in appreciation of their benefactor, Count Nicholas Ludwig von Zinzendorf.
"Wachovia" (pronounced wa-KO-vee-yah) comes from "Wachau," the name given by Moravian settlers in 1753 to the tract of about 100,000 acres that they purchased in the North Carolina Piedmont.
Wachau, from the German words "die Wach au" - "Wach" was the name of a stream and "au" means "meadowland" - was a part of Austria, the ancestral home of the Moravians' benefactor, Count Zinzendorf, and, likewise, an area of abundant streams and pastures along a river (the Danube).
The settlers named the Carolina tract bought just east of the Yadkin River Wachau as an expression of appreciation to Zinzendorf. Later, the English form Wachovia was used.
Over the years, the name Wachovia ceased to be used as a designation for the area but remained a popular name for businesses that originated in the Moravian village of Salem and the adjoining town of Winston, which merged in 1913 to form Winston-Salem.
http://www.wachovia.com/inside/page/0,,132_150,00.html
Wachovia Securities Inc.
Wachovia Securities Inc. ws founded in 1986
Wachovia Securities Inc. provides institutional brokerage, lending, trust, and investment banking services. The company's products and services include bonds, mutual funds, annuities, financial services, life insurance, equity research, asset management, estate planning, and retirement plans. It serves energy, financial services, technology, consumer, healthcare, and real estate industries.
The company was formerly known as First Union Securities Inc. It is headquartered in Richmond, Virginia. Wachovia Securities operates as a subsidiary of Wachovia Corporation.
401 South Tryon Street
Charlotte, NC 28288-1167
United States
Founded in 1986
Wachovia was formed by the 2001 merger of First Union Corporation and the former Wachovia Corporation. In connection with the merger, First Union changed its name to Wachovia Corporation.
First Union
First Union's modest beginnings were in the Buford Hotel on Charlotte's Tryon Street not long after the turn of the 20th century. H. M. Victor raised funds to start Union National by selling 1,000 shares of stock at $100 each, then set up his office at a roll-up desk in the hotel's main lobby.
Victor soon earned a reputation as a conservative banker who always confirmed his customers' creditworthiness before making a loan. For years, Victor even refused to make loans on the newly invented automobile. When he finally relented with a loan on a Model-T, he held the owner's keys and title until the loan was repaid.
As Union National grew, it maintained a reputation for high credit quality, strong financial performance and excellent customer service. It was this viability that kept the bank open during the 1930s, when the Depression closed many others.
In 1958, Union National merged with First National Bank and Trust Company of Asheville, forming First Union National Bank of North Carolina. By 1964 First Union further diversified by acquiring Raleigh-based Cameron-Brown Company, a national mortgage banking and insurance firm.
Over the decades, First Union grew into a diversified financial service company encompassing retail brokerage services, wealth management, corporate and investment banking, as well as traditional banking.
Wachovia
When William A. Lemly decided in 1879 to relocate his bank from the quiet Moravian village of Salem to the bustling county seat of Winston, he needed more than a crew of movers. Although the relocation involved moving only a few blocks up the street, changing towns required a new charter and a new name.
Both became effective on June 16, 1879, with the opening of the doors of the new Wachovia National Bank. The bank started business with capital of $100,000, which its directors felt was "very adequate."
Some years later, on June 15, 1893, North Carolina's first trust company - Wachovia Loan and Trust Company - opened its doors for business in the rapidly growing town of Winston. Its two-man staff was headed by a prominent textile and railroad entrepreneur, Francis H. Fries (pronounced "freeze").
In 1911, the two Wachovia's merged to form Wachovia Bank and Trust Company. The consolidated bank began operations with deposits of $4 million, capital stock of $1.25 million and total resources of $7 million. It was the largest bank in the South and the largest trust operation between Baltimore and New Orleans.
Origin of the Name
In 1753, Moravian settlers bought about 100,000 acres in the North Carolina Piedmont. They called the land "Wachau" in appreciation of their benefactor, Count Nicholas Ludwig von Zinzendorf.
"Wachovia" (pronounced wa-KO-vee-yah) comes from "Wachau," the name given by Moravian settlers in 1753 to the tract of about 100,000 acres that they purchased in the North Carolina Piedmont.
Wachau, from the German words "die Wach au" - "Wach" was the name of a stream and "au" means "meadowland" - was a part of Austria, the ancestral home of the Moravians' benefactor, Count Zinzendorf, and, likewise, an area of abundant streams and pastures along a river (the Danube).
The settlers named the Carolina tract bought just east of the Yadkin River Wachau as an expression of appreciation to Zinzendorf. Later, the English form Wachovia was used.
Over the years, the name Wachovia ceased to be used as a designation for the area but remained a popular name for businesses that originated in the Moravian village of Salem and the adjoining town of Winston, which merged in 1913 to form Winston-Salem.
http://www.wachovia.com/inside/page/0,,132_150,00.html
Wachovia Securities Inc.
Wachovia Securities Inc. ws founded in 1986
Wachovia Securities Inc. provides institutional brokerage, lending, trust, and investment banking services. The company's products and services include bonds, mutual funds, annuities, financial services, life insurance, equity research, asset management, estate planning, and retirement plans. It serves energy, financial services, technology, consumer, healthcare, and real estate industries.
The company was formerly known as First Union Securities Inc. It is headquartered in Richmond, Virginia. Wachovia Securities operates as a subsidiary of Wachovia Corporation.
401 South Tryon Street
Charlotte, NC 28288-1167
United States
Founded in 1986
Wachovia Securities
About Wachovia Securities
Wachovia Securities, composed of Wachovia Securities, LLC, Wachovia Securities Financial Network, LLC and Wachovia Capital Markets, LLC, is the nation's third largest brokerage group and a leading corporate and investment bank. We provide financial services, advice, and guidance to successful individuals, institutions, and corporations.
Wachovia Securities, LLC and Wachovia Securities Financial Network, LLC combines the capabilities of a large national firm with a culture more akin to that of the regional firms from which they evolved. Central to that culture is a strong dedication to supporting the relationship of the firm's Financial Advisors with their clients.
Wachovia Capital Markets, LLC offers a full range of products and services to meet the needs of corporate and institutional clients nationwide. With a unified culture and integrated platform, our organization executes without distraction. We have the experience and resources you need to help your business grow and succeed.
Wachovia Securities, LLC, Wachovia Securities Financial Network, LLC and Wachovia Capital Markets, LLC are non-bank subsidiaries of Wachovia Corporation, headquartered in Charlotte, North Carolina. Combined, we have offices in 50 states and the District of Columbia.
Wachovia Securities, LLC and Wachovia Securities Financial Network, LLC
Wachovia Securities, LLC and Wachovia Securities Financial Network, LLC, headquartered in Richmond, Virginia, combine to form the nation's third largest brokerage group with approximately 18,000 registered representatives in more than 3,700 locations nationwide. We provide financial advisory, brokerage, asset management, and other financial services.
President and CEO: Daniel J. (Danny) Ludeman
COO; President, Business Services: Marjorie M. (Marge) Connelly
Director of Human Resources: John McCarthy
Headquarters
1 North Jefferson
St. Louis, Missouri 63103
Media Contacts
WachSecuritiesMediaNationwide@wachoviasec.com
Wachovia Capital Markets, LLC
Wachovia Capital Markets, LLC, member NYSE, NASD, and SIPC, headquartered in Charlotte, North Carolina, offers financial expertise in corporate and investment banking for business customers, including fully integrated capital raising, market making and financial advisory services. As part of the nation's fourth largest financial institution, we serve clients nationwide and globally.
Headquarters
301 South College Street
Suite 4000
One Wachovia Center
Charlotte, North Carolina 28288-0013
Media Contacts
amyh.jones@wachovia.com
http://www.wachoviasecurities.com/pages/0,,11960_12286,00.html
Wachovia owns 62% of Wachovia Securities; Prudential Financial owns the rest.
Wachovia Securities, composed of Wachovia Securities, LLC, Wachovia Securities Financial Network, LLC and Wachovia Capital Markets, LLC, is the nation's third largest brokerage group and a leading corporate and investment bank. We provide financial services, advice, and guidance to successful individuals, institutions, and corporations.
Wachovia Securities, LLC and Wachovia Securities Financial Network, LLC combines the capabilities of a large national firm with a culture more akin to that of the regional firms from which they evolved. Central to that culture is a strong dedication to supporting the relationship of the firm's Financial Advisors with their clients.
Wachovia Capital Markets, LLC offers a full range of products and services to meet the needs of corporate and institutional clients nationwide. With a unified culture and integrated platform, our organization executes without distraction. We have the experience and resources you need to help your business grow and succeed.
Wachovia Securities, LLC, Wachovia Securities Financial Network, LLC and Wachovia Capital Markets, LLC are non-bank subsidiaries of Wachovia Corporation, headquartered in Charlotte, North Carolina. Combined, we have offices in 50 states and the District of Columbia.
Wachovia Securities, LLC and Wachovia Securities Financial Network, LLC
Wachovia Securities, LLC and Wachovia Securities Financial Network, LLC, headquartered in Richmond, Virginia, combine to form the nation's third largest brokerage group with approximately 18,000 registered representatives in more than 3,700 locations nationwide. We provide financial advisory, brokerage, asset management, and other financial services.
President and CEO: Daniel J. (Danny) Ludeman
COO; President, Business Services: Marjorie M. (Marge) Connelly
Director of Human Resources: John McCarthy
Headquarters
1 North Jefferson
St. Louis, Missouri 63103
Media Contacts
WachSecuritiesMediaNationwide@wachoviasec.com
Wachovia Capital Markets, LLC
Wachovia Capital Markets, LLC, member NYSE, NASD, and SIPC, headquartered in Charlotte, North Carolina, offers financial expertise in corporate and investment banking for business customers, including fully integrated capital raising, market making and financial advisory services. As part of the nation's fourth largest financial institution, we serve clients nationwide and globally.
Headquarters
301 South College Street
Suite 4000
One Wachovia Center
Charlotte, North Carolina 28288-0013
Media Contacts
amyh.jones@wachovia.com
http://www.wachoviasecurities.com/pages/0,,11960_12286,00.html
Wachovia owns 62% of Wachovia Securities; Prudential Financial owns the rest.
A.G.Edwards - History
A.G.Edwards and Son founded in 1887 by General Albert Gallatin Edwards with his eldest son Benjamin Frankling Edwards I.
Key Events
1887: Albert Gallatin Edwards forms A.G. Edwards & Son Stock and Bond Traders with his son Benjamin Franklin Edwards.
1898: A.G. Edwards buys a seat on the New York Stock Exchange.
1900: A New York branch office(first office outside St. Louis) is established.
1917: Company sells 'Liberty Bonds,' thus introducing financial savings alternatives to small investors.
1966: Benjamin F. Edwards III, great grandson of founder, is appointed managing partner.
1967: A.G. Edwards incorporates, and Benjamin F. Edwards is named CEO and chairman.
1971: A.G. Edwards becomes a publicly traded company.
1987: Company celebrates its 100th anniversary.
1996: A.G. Edwards launches web site.
The Founder's Connection to Abraham Lincoln
Albert Gallatin Edwards, the founder of A.G. Edwards, was the son of Governor Ninian W. Edwards. Born October 15, 1812, Albert Gallatin Edwards was named after U.S. Secretary of the Treasury Albert Gallatin. Young Edwards was born in Kentucky and grew up in Illinois, of which his father was territorial governor and later state governor and senator after its admission to the Union in 1818. After graduating from West Point in 1832, A.G. Edwards served briefly with the U.S. Army's first permanent cavalry unit, based south of St. Louis. He subsequently resigned from the Army to work for the local wholesaling firm of William L. Ewing.
William Ewing specialized in the supply of goods to stores throughout the southwestern United States, a role for which its St. Louis location rendered the company well suited. Albert Edwards brought to the firm a number of important political connections, most notably with a rising Illinois attorney named Abraham Lincoln. Edwards's older brother, Ninian Wirt Edwards, had followed his father into Illinois politics and was a populr figure in the capital city's social and political circles. Ninian's wife, Elizabeth, was a member of the powerful Todd family of Kentucky, and her cousin, John Todd Stuart, became the law partner of Abraham Lincoln in 1839. The Edwardses were soon close friends of Lincoln--so close, in fact, that the future president married the sister of Elizabeth Todd in the home of Ninian Edwards in 1842. Whether Mary Todd was a good love match for Abe Lincoln has long been a subject of debate, but she was certainly a political asset, as Lincoln would later be of great help economically to the Edwards family.
When the Civil War erupted in 1861, Albert G. Edwards proved loyal to the party of his in-law President Lincoln, staunchly defending the Union cause in a state torn between factions of both parties. Edwards was involved in the defeat of Confederate troops at St. Louis early in the war, and in 1861 he was made a brigadier general in the Missouri State Militia and later bank examiner for the state of Missouri. On April 9, 1865, Edwards was appointed assistant Secretary of the Treasury by Lincoln, who was assassinated six days later. Edwards's job was to oversee the Sub-Treasury Bank in St. Louis, a regional depository similar to today's Federal Reserve Banks. He would continue as assistant secretary throughout the administrations of four subsequent presidents, retiring in 1887 at the age of 75 with a solid reputation in the financial community of St. Louis.
Founding of a Brokerage Firm in the Late 1800s
Edwards's retirement was brief, however. Less than two months later he formed a partnership with his eldest son, Benjamin Franklin Edwards, to buy and sell stocks, bonds, and similar investment instruments. Because banks were then among the heaviest traders in securities, Albert Edwards's strong ties with the St. Louis banking community would be invaluable to the new brokerage house of A.G. Edwards & Sons (AGE). The company soon announced that it would become the first St. Louis broker to handle transactions on the New York Stock Exchange (NYSE) for local banks. By thus allying itself more closely with banking interests and the NYSE, AGE escaped involvement with the briefly fashionable St. Louis Mining and Stock Exchange, where heavily leveraged mining stocks were traded like poker chips until the markets' sudden collapse in the early 1890s. When the Exchange closed for good during the depression of 1893, it took with it many local brokerage companies, but AGE suffered only minor losses. This was the first of many occasions on which AGE's conservative investment policy would save it from the worst of the markets' cyclical downturns.
Albert G. Edwards died in 1892 at age 80, leaving the brokerage business in the hands of George Lane Edwards, the founder's second son, who was born in 1869. George Edwards would serve as managing partner of the firm from 1891 to 1919, at which time his brother Albert Ninian Edwards took over. With the recovery of the St. Louis economy in the late 1890s, AGE increased its trading on the NYSE, buying a seat on the exchange for $29,500 in 1898 and two years later opening its first New York office. A year later, AGE was instrumental in the creation of the St. Louis Stock Exchange, which enjoyed immediate popularity; trade volume reached a peak in 1902 of $44 million that would not be exceeded until the salad days of the late 1920s. Federal regulation of the wilder financial schemes cooled market activity in the intervening years, during which time AGE built on its blue chip reputation and quietly prospered.
Changing Times in the 1920s and 1930s
The nature of the investment business changed radically after World War I. The widespread sale during the war of government 'Liberty Bonds' introduced the concept of financial markets to millions of private citizens who had no alternative to leaving their savings in bank accounts or holding it as hard cash. In the booming 1920s this trend was greatly accelerated and brokers like AGE adjusted accordingly, shifting an increasing amount of their attention from banks and wealthy investors to the mass retail market of small investors. Under the direction of managing partner Albert N. Edwards, the company added its first brokers devoted solely to the soliciting of new individual investors, of whom the firm gained countless numbers as the bull market of the 1920s roared toward its catastrophic conclusion. Stock speculation became a hobby and passion for millions of Americans who ten years before did not know Wall Street from Main Street, many of them trading stocks for which they paid margins as low as ten percent of the current price.
Fortunately for AGE, St. Louis brokerage houses kept their margin requirements higher than the New York firms, thus softening the pain of October 24, 1929, when the stock market crash wiped out many investors and began ten years of national depression. AGE came through the crisis of 1929 in relatively good condition, its largest single loss only $5,000 (on an account of $1 million), but the years following were bleak. Not only had the great crash soured a whole generation of Americans on the notion of stock investments, it brought the entire securities industry under a cloud of suspicion for its role in the calamity. Again, the brunt of this criticism was felt in New York, while regional firms such as AGE were correctly perceived as having acted more responsibly toward their customers. Indeed, when the NYSE reorganized its governing body in the late 1930s in an effort to convince the U.S. Securities and Exchange Commission (SEC) that it had addressed past regulatory lapses, it named AGE's own William McChesney Martin, Jr., as its first paid president. Martin was AGE's first floor broker and only 31 at the time, but his status as an outsider and a man of integrity combined to make him the ideal candidate. He remained president of the Exchange until 1941, when he joined the Army.
In St. Louis, meanwhile, AGE was now led by Presley W. Edwards, son of Benjamin Edwards and grandson of founder Albert Edwards. This latest Edwards faced a brutal business environment in the 1930s--'Every day you went home exhausted from doing nothing,' he was quoted as saying in AGE's official company history--but the lean years forced AGE to adopt the thrift and assiduity that later made the company's fortunes. Presley Edwards foresaw that AGE's future lay in the direction of small branch offices, but his plans were blocked by the United States' entry into World War II in 1941. A boon for most American businesses, the war only continued the Depression's long freeze in the securities markets, and AGE's retail expansion did not get underway until the 1950s.
Expansion in the 1950s and 1960s
A G Edwards has increased its number of branch offices to 11 in five states by 1957. The number went up to 19 by 1960 and then quickly rose to 44 only five years later.
A G Edwards had been installed computers in the 1950s, and its sophisticated approach to data management helped the company coordinate the activities of its widely scattered and generally small branch offices. At the head of this 300-person brokerage force was Benjamin Franklin Edwards III, who joined his great-grandfather's company in 1956 and ten years later was its president at the age of Even though he was quite young, Benjamin Edwards III performed admirably, remained the CEO of a company for along time and was cited numerous times as one of the outstanding CEOs in the securities business.
When Benjamin Edwards took over the top spot in 1965, the nation's economy was booming and brokerage houses were expanding on every front. The question for the company was not whether to expand but in what direction; as a mid-sized regional player in the securities industry the company could have embarked on any number of different paths. Edwards and his staff conducted a two-year study of AGE's strengths and weaknesses relative to the emerging marketplace, concluding in 1968 that they should continue what they were already doing but on a larger scale. As Benjamin Edwards later described in Investor's Daily: 'We ended up with a model that called for the delivery of financial services of value to a `mass/class' market through a network of retail branches acting as agents of the customer. [The brokers'] allegiance was to clients, not to us.'
Central to Edwards's declaration are the terms 'mass/class' and 'allegiance.' By 'mass/class' Edwards meant that his brokerage force would concentrate its energies on the mass of individual investors, the 'little people' of middle America, and only incidentally pursue the wealthy, 'class' investor. That meant continuing to open more retail offices in small communities around the country--from 44 in the mid-1960s to 450 in 1992--and staffing them with a higher proportion of brokers than the average Wall Street outlet. It also meant largely ignoring the big-money deal-making that came to be known on Wall Street as investment banking. A G Edwards participated in stock underwriting, but it did not get caught up in the exotic corporate deals of the 1980s simply because its clients were not corporations.
The second key term of Edwards's statement quoted in Investor's Daily, 'allegiance,' is harder to define but probably more fundamental to the company's success. All brokers claimed to be acting on behalf of their clients, and it would be easy to dismiss Edwards's statement as routine puffery if not for the fact that A G Edward's history appeared to confirm its truth. The firm had long made it a policy not to trade stocks on its own account, just as it did not market its own investment packages to clients. Either step could easily divide the 'allegiance' of a broker between the welfare of his customers and the making of money for the corporation, eventually destroying the relationship of trust between client and broker on which A G Edwards had built its reputation. For the same reason, the firm GE refused to lure top brokers away from other firms with bonuses and high salaries and encouraged its own brokers to maintain annual sales figures about 30 percent lower than the industry average. Freed from the pressure to earn high commissions, A G Edwards' brokers were more likely to consider the interests of their clients instead of looking to make the maximum number of trades possible in every eight-hour day. As compensation, AGE let the brokers keep approximately ten percent more in commission than was standard in the industry.
Growth Through the 1980s
The result of A G Edwards's 'goody two-shoes' philosophy, as Edwards humorously characterized it in the New York Times, was a tradition of loyalty from customers and employees alike. When the company suffered large losses in the industry shakeout of the early 1970s, A G Edwards employees responded to management's frank call for help by working five-day weeks for four-days pay and cutting overall costs by 17 percent in a matter of months. Brokers tended to stay at AGE for its low-pressure approach to sales and closely knit, supportive environment. 'There's less politicking here and more teamwork,' commented one senior broker when interviewed for the company's profile in The 100 Best Companies to Work for in America, which appeared in 1983.
Customer loyalty was tested severely in the period following the SEC's 1975 decision to deregulate commission rates. Soon 'discount houses' appeared in the securities business, offering to transact trades at prices substantially lower than those charged by full-service houses like A G Edwards. Such discounters appealed directly to small investors from whom AGE earned the bulk of its revenues and should have taken a significant piece of market share; but it appeared that the discounters did not adversely affect AGE's business, even though the latter refused to lower its commission rates. Indeed, the period from 1975 to 1990 saw the greatest expansion in AGE history, offices increasing from 100 to more than 400 and employees from 2,000 to over 8,000. Clearly, the company's several hundred thousand customers valued the knowledge and experience of AGE brokers more than the dollars they would have saved by using a discounter, which typically offered no client counseling. A G Edwards' success in the face of such direct competition confirmed the company's long-held belief that when it comes to money handling, customers desire above all a broker whom they know and trust.
The most dramatic demonstration of AGE's independence from Wall Street fashions--and the strength derived from such independence--was provided by the market crash in October 1987, the year AGE celebrated its 100th anniversary. The 1980s had seen a phenomenal rise in the deal-making power of investment bankers, many of whom earned enormous fees for engineering mergers, acquisitions, and leveraged buyouts that were often undercapitalized and sometimes fraudulent, as in the cases of Michael Milken and Ivan Boesky. The market crash destroyed this glitter-and-greed atmosphere, and in its wake about 18 percent of the industry's employees had lost their jobs by 1991. By contrast, AGE, since it did not trade its own account, sustained minor losses in the crash and in the following years increased its workforce by 33 percent.
In a New York Times article metioned this quote of Edwards. Mr. Edwards, the firm's chairman and chief executive, clearly knows what his business is: retail brokerage, pure and simple. Stocks for the little guy in the part of the country that Mr. Edwards calls ''the valley between the coasts.'' If it's Twin Falls, Idaho; Lebanon, Mo., or Longview, Tex., there's an A. G. Edwards office. But, if it's Manhattan, retail customers have to look elsewhere. Even southern California was a relatively recent addition, and came only after considerable internal debate over that area's reputation for high costs and ''fast'' money from fickle investors. What Edwards is doing right is nothing more than sticking to its core retail business. A conservative firm with conservative customers, it has always steered clear of Wall Street's latest trend and now
The 1990s enjoyed a strong economy that gave rise to increased activity and changes in the financial sector. Entering the 1990s, AGE experienced tremendous growth in every category, bottom-line earnings that made its competitors green with envy, and, most remarkable for a company expanding so quickly, virtually no long-term debt. AGE was not, however, without trials; as the market turned toward discounting and fee-based services rather than commissions, it became more challenging for AGE to remain committed to its traditional and conservative approach to investing. Edwards was vocal about his opinions regarding the economic climate and was steadfast regarding AGE's loyalty to clients. In his letter to shareholders in AGE's 1993 annual report, for instance, Edwards denounced the increasingly popular fee system, noting that the industry had turned toward charging fees for any number of services. Edwards was also vocal about the battle between fees and commissions. He believed the commission system held brokers accountable to clients, while fees did not and could be detrimental to customer accounts. Edwards explained in an interview in Securities Industry Management in 1994, 'The tie that binds should be between the broker and the client. This whole business of trying to tie the client to the house and immobilize the broker is bad news for our industry.' Apparently AGE's workforce agreed with Edwards; according to The Loyalty Effect, AGE's broker retention rate, at 92 percent in the mid-1990s, was well above the industry average of 80 to 85 percent.
AGE's status as traditional and conservative did not mean the company was not progressive. AGE had long been open to new technology, having installed its first computer system in 1949. In 1990 the firm spent $25 million to upgrade and expand its computer system, adding a satellite-based communications system that allowed the St. Louis headquarters and branch offices to transmit data and voice messages. Four years later a computerized bond processing and inventory management system was put into operation, as well as the Edwards Information Network, a satellite-based audio communications network that disseminated timely information to brokers. Also that year brokers were introduced to the Broker Workstation, an interactive computer system designed to provide news updates to investment brokers. Though AGE was against online trading, the company launched its own web site in 1996, providing clients with access to account and investment information.
Profitability continued, but in order to remain competitive in the rapidly changing, high-pressure investment industry, AGE was forced to change with the times. Despite its contention that clients seldom invested wisely when allowed to trade on their own money, in 1997 the company began to offer clients that very option. AGE also opened a branch office in New York City that year, something the company had avoided for a century. A year later AGE introduced a program that allowed clients to purchase no-load funds. AGE's program was innovative in that it offered broker advice concerning no-load funds, which were typically purchased by do-it-yourself investors.
In 1999 AGE announced it would allow clients to make online trades, but only with the approval of a broker and a commission. The company refused to offer discounts, although rival brokerages had started discounting to compete with Internet discount firms, which allowed customers to make trades for a minimal fee. Despite AGE's online plans, Edwards remained firm in his beliefs that online trading was not the wave of the future and that eventually clients would return to full-service brokerages. Edwards told the Grand Rapids Press, 'When you trade your own money, fear and greed come in.'
AGE's revenues rose steadily, as did the company itself. While competitors succumbed to new pressures such as online trading, AGE grew primarily through traditional avenues, such as opening additional branches, increasing its workforce, upgrading computer systems, and searching for strategic acquisitions. In 1991 the company had 442 offices and 4,317 brokers; by the end of fiscal year 1999, which ended February 28, AGE had 639 offices and more than 6,500 financial consultants.
In fiscal 1999 alone, AGE added 45 offices and nearly 500 employees. The company expanded its headquarters in St. Louis with a 405,000-square-foot addition and received a thrift charter, allowing AGE to nationally expand its trust services. Fiscal 1999 also saw AGE's fourth consecutive record year in both revenue and net earnings.
The reputation of excellence that AGE had built up over the centuries continued into the 1990s. Not only was AGE selected as one of 'The 100 Best Companies to Work for in America' in Fortune magazine's annual survey for a fourth time in 1998, but the company also received recognition and top honors in publications including SmartMoney, Worth, and Kiplinger's.
As AGE approached yet another new millennium, the firm planned to keep pace with industry changes. It also planned to remain true to the company's mission and focus on the client. 'The pace of change in our industry continues to accelerate,' Edwards noted in a prepared statement and reiterated that : 'Our guiding beacon remains the benefit of our clients. Our efforts toward the future are focused on being of value to our clients and building and strengthening client relationships.'
A G Edwards was placed at 70 in the Fortune magazine’s top 100 companies to work for in year 2005.
Acquision of A G Edwards by Wachovia in 2007
Wachovia Corp. agreed to buy A.G. Edwards Inc., the 120-year-old securities firm, for $6.8 billion, doubling its sales staff(31st May 2007). The purchase was the biggest of a U.S. brokerage firm in almost seven years. Wachovia, based in Charlotte, North Carolina, agreed to pay A.G. Edwards holders $89.50 a share in cash and stock, or 16 percent more than previous day's closing price. The takeover will create the second-largest U.S. brokerage firm after Merrill Lynch & Co., with almost 14,800 financial advisers.
A.G. Edwards employed 6,618 financial advisers in 742 U.S. offices and two European locations and had about $374 billion in client assets. Wachovia Securities employed 8,166 brokers and had $773 billion of client assets.
A.G. Edwards Chief Executive Officer Robert Bagby justified the sales by saying that``We knew we needed scale, we knew we needed additional products as financial services continue to migrate toward a global platform ... We could not provide that at A.G. Edwards. We didn't have the capital base.''
Wachovia said the combination will generate about $395 million in annual after-tax cost savings, some of which will come from cutting jobs and closing offices.
The bank planned to eliminate as many as 4,000 employees who don't have full Securities and Exchange Commission qualifications, or about a quarter of the companies' combined total, Wachovia also planned to close about 230 brokerage offices over a three-year period.
Wachovia CEO Kennedy Thompson expanded the company's reach into western states in October with the bank's largest takeover, a $24.2 billion acquisition of Golden West Financial Corp. That deal doubled the size of Wachovia's interest-rate sensitive mortgage portfolio. The A.G. Edwards purchase will help Thompson boost revenue from more predictable fee income, and sell more retail bank products and investment-banking services to A.G. Edwards's brokerage clients.
Wachovia Corp. announced that it completed its $6.8 billion acquisition of AG Edwards Inc. on Oct. 1, 2007.
Wachovia Securities, part of Charlotte, N.C.-based Wachovia Corp. (NYSE: WB), and AG Edwards will continue to operate under separate names until 2008. The merger integration is scheduled to be completed in 2009.
Shareholders of AG Edwards (NYSE: AGE) received $35.80 in cash and 0.9844 shares of Wachovia common stock for each share of AG Edwards they owned.
Sources
http://www.agedwards.com/public/content/sc/aboutage/history.html
http://brandlandusa.blogspot.com/2007/09/dont-kill-off-ag-edwards.html
http://www.fundinguniverse.com/company-histories/AG-Edwards-Inc-Company-History1.html
A.G. Edwards: A Heritage of Serving Investors, St. Louis, Mo.: A.G. Edwards & Sons, Inc., 1991, revised edition, 1998.
'And the Winners Are ...,' Worth, July/August 1999.
Branch, Shelly, 'The 100 Best Companies to Work for in America,' Fortune, January 11, 1999.
Forbat, Pamela Savage, 'A.G. Edwards: Business As Usual,' Registered Representative, March 1996.
Friedman, Amy, 'Positive Prospects,' Financial Services Weekly, June 11, 1990.
Gallagher, Jim, 'Sitting Pretty: Being `Out in the Sticks' Saved Edwards,' St. Louis Post-Dispatch, April 1, 1991.
Hanford, Desiree J., 'A.G. Edwards Sticks with Its Traditions,' Wall Street Journal, May 26, 1998, p. B13.
Leblanc, Sydney, 'Interview: Benjamin F. Edwards III,' Securities Industry Management, August/September 1994.
Rogers, Doug, 'A.G. Edwards Matches Profit with Stock Price Performance,' Investor's Daily, June 6, 1991.
Santoli, Michael, 'A.G. Edwards Praised and Criticized for Low-Risk Way,' Austin American-Statesman, October 26, 1996, p. 4.
Scott, Mac, 'Edwards Quietly Climbs Ranks of Wall Street,' St. Louis Business Journal, January 6--12, 1992.
Wayne, Leslie, 'Where the Brokers Are Still Smiling,' New York Times, November 26, 1989.
http://query.nytimes.com/gst/fullpage.html?res=950DEEDD1E3FF935A15752C1A96F948260
Wells, Garrison, 'Brokerage Lags in Web Trading-On Purpose,' Grand Rapids Press, September 10, 1999, p. A12.
http://registeredrep.com/news/Ed_Jones_AG_Edwards_Baird_Great_to_Work_For/
http://www.bloomberg.com/apps/news?pid=20601087&refer=home&sid=aQdfOhpNvaC4
http://www.bizjournals.com/buffalo/stories/2007/10/01/daily18.html
Key Events
1887: Albert Gallatin Edwards forms A.G. Edwards & Son Stock and Bond Traders with his son Benjamin Franklin Edwards.
1898: A.G. Edwards buys a seat on the New York Stock Exchange.
1900: A New York branch office(first office outside St. Louis) is established.
1917: Company sells 'Liberty Bonds,' thus introducing financial savings alternatives to small investors.
1966: Benjamin F. Edwards III, great grandson of founder, is appointed managing partner.
1967: A.G. Edwards incorporates, and Benjamin F. Edwards is named CEO and chairman.
1971: A.G. Edwards becomes a publicly traded company.
1987: Company celebrates its 100th anniversary.
1996: A.G. Edwards launches web site.
The Founder's Connection to Abraham Lincoln
Albert Gallatin Edwards, the founder of A.G. Edwards, was the son of Governor Ninian W. Edwards. Born October 15, 1812, Albert Gallatin Edwards was named after U.S. Secretary of the Treasury Albert Gallatin. Young Edwards was born in Kentucky and grew up in Illinois, of which his father was territorial governor and later state governor and senator after its admission to the Union in 1818. After graduating from West Point in 1832, A.G. Edwards served briefly with the U.S. Army's first permanent cavalry unit, based south of St. Louis. He subsequently resigned from the Army to work for the local wholesaling firm of William L. Ewing.
William Ewing specialized in the supply of goods to stores throughout the southwestern United States, a role for which its St. Louis location rendered the company well suited. Albert Edwards brought to the firm a number of important political connections, most notably with a rising Illinois attorney named Abraham Lincoln. Edwards's older brother, Ninian Wirt Edwards, had followed his father into Illinois politics and was a populr figure in the capital city's social and political circles. Ninian's wife, Elizabeth, was a member of the powerful Todd family of Kentucky, and her cousin, John Todd Stuart, became the law partner of Abraham Lincoln in 1839. The Edwardses were soon close friends of Lincoln--so close, in fact, that the future president married the sister of Elizabeth Todd in the home of Ninian Edwards in 1842. Whether Mary Todd was a good love match for Abe Lincoln has long been a subject of debate, but she was certainly a political asset, as Lincoln would later be of great help economically to the Edwards family.
When the Civil War erupted in 1861, Albert G. Edwards proved loyal to the party of his in-law President Lincoln, staunchly defending the Union cause in a state torn between factions of both parties. Edwards was involved in the defeat of Confederate troops at St. Louis early in the war, and in 1861 he was made a brigadier general in the Missouri State Militia and later bank examiner for the state of Missouri. On April 9, 1865, Edwards was appointed assistant Secretary of the Treasury by Lincoln, who was assassinated six days later. Edwards's job was to oversee the Sub-Treasury Bank in St. Louis, a regional depository similar to today's Federal Reserve Banks. He would continue as assistant secretary throughout the administrations of four subsequent presidents, retiring in 1887 at the age of 75 with a solid reputation in the financial community of St. Louis.
Founding of a Brokerage Firm in the Late 1800s
Edwards's retirement was brief, however. Less than two months later he formed a partnership with his eldest son, Benjamin Franklin Edwards, to buy and sell stocks, bonds, and similar investment instruments. Because banks were then among the heaviest traders in securities, Albert Edwards's strong ties with the St. Louis banking community would be invaluable to the new brokerage house of A.G. Edwards & Sons (AGE). The company soon announced that it would become the first St. Louis broker to handle transactions on the New York Stock Exchange (NYSE) for local banks. By thus allying itself more closely with banking interests and the NYSE, AGE escaped involvement with the briefly fashionable St. Louis Mining and Stock Exchange, where heavily leveraged mining stocks were traded like poker chips until the markets' sudden collapse in the early 1890s. When the Exchange closed for good during the depression of 1893, it took with it many local brokerage companies, but AGE suffered only minor losses. This was the first of many occasions on which AGE's conservative investment policy would save it from the worst of the markets' cyclical downturns.
Albert G. Edwards died in 1892 at age 80, leaving the brokerage business in the hands of George Lane Edwards, the founder's second son, who was born in 1869. George Edwards would serve as managing partner of the firm from 1891 to 1919, at which time his brother Albert Ninian Edwards took over. With the recovery of the St. Louis economy in the late 1890s, AGE increased its trading on the NYSE, buying a seat on the exchange for $29,500 in 1898 and two years later opening its first New York office. A year later, AGE was instrumental in the creation of the St. Louis Stock Exchange, which enjoyed immediate popularity; trade volume reached a peak in 1902 of $44 million that would not be exceeded until the salad days of the late 1920s. Federal regulation of the wilder financial schemes cooled market activity in the intervening years, during which time AGE built on its blue chip reputation and quietly prospered.
Changing Times in the 1920s and 1930s
The nature of the investment business changed radically after World War I. The widespread sale during the war of government 'Liberty Bonds' introduced the concept of financial markets to millions of private citizens who had no alternative to leaving their savings in bank accounts or holding it as hard cash. In the booming 1920s this trend was greatly accelerated and brokers like AGE adjusted accordingly, shifting an increasing amount of their attention from banks and wealthy investors to the mass retail market of small investors. Under the direction of managing partner Albert N. Edwards, the company added its first brokers devoted solely to the soliciting of new individual investors, of whom the firm gained countless numbers as the bull market of the 1920s roared toward its catastrophic conclusion. Stock speculation became a hobby and passion for millions of Americans who ten years before did not know Wall Street from Main Street, many of them trading stocks for which they paid margins as low as ten percent of the current price.
Fortunately for AGE, St. Louis brokerage houses kept their margin requirements higher than the New York firms, thus softening the pain of October 24, 1929, when the stock market crash wiped out many investors and began ten years of national depression. AGE came through the crisis of 1929 in relatively good condition, its largest single loss only $5,000 (on an account of $1 million), but the years following were bleak. Not only had the great crash soured a whole generation of Americans on the notion of stock investments, it brought the entire securities industry under a cloud of suspicion for its role in the calamity. Again, the brunt of this criticism was felt in New York, while regional firms such as AGE were correctly perceived as having acted more responsibly toward their customers. Indeed, when the NYSE reorganized its governing body in the late 1930s in an effort to convince the U.S. Securities and Exchange Commission (SEC) that it had addressed past regulatory lapses, it named AGE's own William McChesney Martin, Jr., as its first paid president. Martin was AGE's first floor broker and only 31 at the time, but his status as an outsider and a man of integrity combined to make him the ideal candidate. He remained president of the Exchange until 1941, when he joined the Army.
In St. Louis, meanwhile, AGE was now led by Presley W. Edwards, son of Benjamin Edwards and grandson of founder Albert Edwards. This latest Edwards faced a brutal business environment in the 1930s--'Every day you went home exhausted from doing nothing,' he was quoted as saying in AGE's official company history--but the lean years forced AGE to adopt the thrift and assiduity that later made the company's fortunes. Presley Edwards foresaw that AGE's future lay in the direction of small branch offices, but his plans were blocked by the United States' entry into World War II in 1941. A boon for most American businesses, the war only continued the Depression's long freeze in the securities markets, and AGE's retail expansion did not get underway until the 1950s.
Expansion in the 1950s and 1960s
A G Edwards has increased its number of branch offices to 11 in five states by 1957. The number went up to 19 by 1960 and then quickly rose to 44 only five years later.
A G Edwards had been installed computers in the 1950s, and its sophisticated approach to data management helped the company coordinate the activities of its widely scattered and generally small branch offices. At the head of this 300-person brokerage force was Benjamin Franklin Edwards III, who joined his great-grandfather's company in 1956 and ten years later was its president at the age of Even though he was quite young, Benjamin Edwards III performed admirably, remained the CEO of a company for along time and was cited numerous times as one of the outstanding CEOs in the securities business.
When Benjamin Edwards took over the top spot in 1965, the nation's economy was booming and brokerage houses were expanding on every front. The question for the company was not whether to expand but in what direction; as a mid-sized regional player in the securities industry the company could have embarked on any number of different paths. Edwards and his staff conducted a two-year study of AGE's strengths and weaknesses relative to the emerging marketplace, concluding in 1968 that they should continue what they were already doing but on a larger scale. As Benjamin Edwards later described in Investor's Daily: 'We ended up with a model that called for the delivery of financial services of value to a `mass/class' market through a network of retail branches acting as agents of the customer. [The brokers'] allegiance was to clients, not to us.'
Central to Edwards's declaration are the terms 'mass/class' and 'allegiance.' By 'mass/class' Edwards meant that his brokerage force would concentrate its energies on the mass of individual investors, the 'little people' of middle America, and only incidentally pursue the wealthy, 'class' investor. That meant continuing to open more retail offices in small communities around the country--from 44 in the mid-1960s to 450 in 1992--and staffing them with a higher proportion of brokers than the average Wall Street outlet. It also meant largely ignoring the big-money deal-making that came to be known on Wall Street as investment banking. A G Edwards participated in stock underwriting, but it did not get caught up in the exotic corporate deals of the 1980s simply because its clients were not corporations.
The second key term of Edwards's statement quoted in Investor's Daily, 'allegiance,' is harder to define but probably more fundamental to the company's success. All brokers claimed to be acting on behalf of their clients, and it would be easy to dismiss Edwards's statement as routine puffery if not for the fact that A G Edward's history appeared to confirm its truth. The firm had long made it a policy not to trade stocks on its own account, just as it did not market its own investment packages to clients. Either step could easily divide the 'allegiance' of a broker between the welfare of his customers and the making of money for the corporation, eventually destroying the relationship of trust between client and broker on which A G Edwards had built its reputation. For the same reason, the firm GE refused to lure top brokers away from other firms with bonuses and high salaries and encouraged its own brokers to maintain annual sales figures about 30 percent lower than the industry average. Freed from the pressure to earn high commissions, A G Edwards' brokers were more likely to consider the interests of their clients instead of looking to make the maximum number of trades possible in every eight-hour day. As compensation, AGE let the brokers keep approximately ten percent more in commission than was standard in the industry.
Growth Through the 1980s
The result of A G Edwards's 'goody two-shoes' philosophy, as Edwards humorously characterized it in the New York Times, was a tradition of loyalty from customers and employees alike. When the company suffered large losses in the industry shakeout of the early 1970s, A G Edwards employees responded to management's frank call for help by working five-day weeks for four-days pay and cutting overall costs by 17 percent in a matter of months. Brokers tended to stay at AGE for its low-pressure approach to sales and closely knit, supportive environment. 'There's less politicking here and more teamwork,' commented one senior broker when interviewed for the company's profile in The 100 Best Companies to Work for in America, which appeared in 1983.
Customer loyalty was tested severely in the period following the SEC's 1975 decision to deregulate commission rates. Soon 'discount houses' appeared in the securities business, offering to transact trades at prices substantially lower than those charged by full-service houses like A G Edwards. Such discounters appealed directly to small investors from whom AGE earned the bulk of its revenues and should have taken a significant piece of market share; but it appeared that the discounters did not adversely affect AGE's business, even though the latter refused to lower its commission rates. Indeed, the period from 1975 to 1990 saw the greatest expansion in AGE history, offices increasing from 100 to more than 400 and employees from 2,000 to over 8,000. Clearly, the company's several hundred thousand customers valued the knowledge and experience of AGE brokers more than the dollars they would have saved by using a discounter, which typically offered no client counseling. A G Edwards' success in the face of such direct competition confirmed the company's long-held belief that when it comes to money handling, customers desire above all a broker whom they know and trust.
The most dramatic demonstration of AGE's independence from Wall Street fashions--and the strength derived from such independence--was provided by the market crash in October 1987, the year AGE celebrated its 100th anniversary. The 1980s had seen a phenomenal rise in the deal-making power of investment bankers, many of whom earned enormous fees for engineering mergers, acquisitions, and leveraged buyouts that were often undercapitalized and sometimes fraudulent, as in the cases of Michael Milken and Ivan Boesky. The market crash destroyed this glitter-and-greed atmosphere, and in its wake about 18 percent of the industry's employees had lost their jobs by 1991. By contrast, AGE, since it did not trade its own account, sustained minor losses in the crash and in the following years increased its workforce by 33 percent.
In a New York Times article metioned this quote of Edwards. Mr. Edwards, the firm's chairman and chief executive, clearly knows what his business is: retail brokerage, pure and simple. Stocks for the little guy in the part of the country that Mr. Edwards calls ''the valley between the coasts.'' If it's Twin Falls, Idaho; Lebanon, Mo., or Longview, Tex., there's an A. G. Edwards office. But, if it's Manhattan, retail customers have to look elsewhere. Even southern California was a relatively recent addition, and came only after considerable internal debate over that area's reputation for high costs and ''fast'' money from fickle investors. What Edwards is doing right is nothing more than sticking to its core retail business. A conservative firm with conservative customers, it has always steered clear of Wall Street's latest trend and now
The 1990s enjoyed a strong economy that gave rise to increased activity and changes in the financial sector. Entering the 1990s, AGE experienced tremendous growth in every category, bottom-line earnings that made its competitors green with envy, and, most remarkable for a company expanding so quickly, virtually no long-term debt. AGE was not, however, without trials; as the market turned toward discounting and fee-based services rather than commissions, it became more challenging for AGE to remain committed to its traditional and conservative approach to investing. Edwards was vocal about his opinions regarding the economic climate and was steadfast regarding AGE's loyalty to clients. In his letter to shareholders in AGE's 1993 annual report, for instance, Edwards denounced the increasingly popular fee system, noting that the industry had turned toward charging fees for any number of services. Edwards was also vocal about the battle between fees and commissions. He believed the commission system held brokers accountable to clients, while fees did not and could be detrimental to customer accounts. Edwards explained in an interview in Securities Industry Management in 1994, 'The tie that binds should be between the broker and the client. This whole business of trying to tie the client to the house and immobilize the broker is bad news for our industry.' Apparently AGE's workforce agreed with Edwards; according to The Loyalty Effect, AGE's broker retention rate, at 92 percent in the mid-1990s, was well above the industry average of 80 to 85 percent.
AGE's status as traditional and conservative did not mean the company was not progressive. AGE had long been open to new technology, having installed its first computer system in 1949. In 1990 the firm spent $25 million to upgrade and expand its computer system, adding a satellite-based communications system that allowed the St. Louis headquarters and branch offices to transmit data and voice messages. Four years later a computerized bond processing and inventory management system was put into operation, as well as the Edwards Information Network, a satellite-based audio communications network that disseminated timely information to brokers. Also that year brokers were introduced to the Broker Workstation, an interactive computer system designed to provide news updates to investment brokers. Though AGE was against online trading, the company launched its own web site in 1996, providing clients with access to account and investment information.
Profitability continued, but in order to remain competitive in the rapidly changing, high-pressure investment industry, AGE was forced to change with the times. Despite its contention that clients seldom invested wisely when allowed to trade on their own money, in 1997 the company began to offer clients that very option. AGE also opened a branch office in New York City that year, something the company had avoided for a century. A year later AGE introduced a program that allowed clients to purchase no-load funds. AGE's program was innovative in that it offered broker advice concerning no-load funds, which were typically purchased by do-it-yourself investors.
In 1999 AGE announced it would allow clients to make online trades, but only with the approval of a broker and a commission. The company refused to offer discounts, although rival brokerages had started discounting to compete with Internet discount firms, which allowed customers to make trades for a minimal fee. Despite AGE's online plans, Edwards remained firm in his beliefs that online trading was not the wave of the future and that eventually clients would return to full-service brokerages. Edwards told the Grand Rapids Press, 'When you trade your own money, fear and greed come in.'
AGE's revenues rose steadily, as did the company itself. While competitors succumbed to new pressures such as online trading, AGE grew primarily through traditional avenues, such as opening additional branches, increasing its workforce, upgrading computer systems, and searching for strategic acquisitions. In 1991 the company had 442 offices and 4,317 brokers; by the end of fiscal year 1999, which ended February 28, AGE had 639 offices and more than 6,500 financial consultants.
In fiscal 1999 alone, AGE added 45 offices and nearly 500 employees. The company expanded its headquarters in St. Louis with a 405,000-square-foot addition and received a thrift charter, allowing AGE to nationally expand its trust services. Fiscal 1999 also saw AGE's fourth consecutive record year in both revenue and net earnings.
The reputation of excellence that AGE had built up over the centuries continued into the 1990s. Not only was AGE selected as one of 'The 100 Best Companies to Work for in America' in Fortune magazine's annual survey for a fourth time in 1998, but the company also received recognition and top honors in publications including SmartMoney, Worth, and Kiplinger's.
As AGE approached yet another new millennium, the firm planned to keep pace with industry changes. It also planned to remain true to the company's mission and focus on the client. 'The pace of change in our industry continues to accelerate,' Edwards noted in a prepared statement and reiterated that : 'Our guiding beacon remains the benefit of our clients. Our efforts toward the future are focused on being of value to our clients and building and strengthening client relationships.'
A G Edwards was placed at 70 in the Fortune magazine’s top 100 companies to work for in year 2005.
Acquision of A G Edwards by Wachovia in 2007
Wachovia Corp. agreed to buy A.G. Edwards Inc., the 120-year-old securities firm, for $6.8 billion, doubling its sales staff(31st May 2007). The purchase was the biggest of a U.S. brokerage firm in almost seven years. Wachovia, based in Charlotte, North Carolina, agreed to pay A.G. Edwards holders $89.50 a share in cash and stock, or 16 percent more than previous day's closing price. The takeover will create the second-largest U.S. brokerage firm after Merrill Lynch & Co., with almost 14,800 financial advisers.
A.G. Edwards employed 6,618 financial advisers in 742 U.S. offices and two European locations and had about $374 billion in client assets. Wachovia Securities employed 8,166 brokers and had $773 billion of client assets.
A.G. Edwards Chief Executive Officer Robert Bagby justified the sales by saying that``We knew we needed scale, we knew we needed additional products as financial services continue to migrate toward a global platform ... We could not provide that at A.G. Edwards. We didn't have the capital base.''
Wachovia said the combination will generate about $395 million in annual after-tax cost savings, some of which will come from cutting jobs and closing offices.
The bank planned to eliminate as many as 4,000 employees who don't have full Securities and Exchange Commission qualifications, or about a quarter of the companies' combined total, Wachovia also planned to close about 230 brokerage offices over a three-year period.
Wachovia CEO Kennedy Thompson expanded the company's reach into western states in October with the bank's largest takeover, a $24.2 billion acquisition of Golden West Financial Corp. That deal doubled the size of Wachovia's interest-rate sensitive mortgage portfolio. The A.G. Edwards purchase will help Thompson boost revenue from more predictable fee income, and sell more retail bank products and investment-banking services to A.G. Edwards's brokerage clients.
Wachovia Corp. announced that it completed its $6.8 billion acquisition of AG Edwards Inc. on Oct. 1, 2007.
Wachovia Securities, part of Charlotte, N.C.-based Wachovia Corp. (NYSE: WB), and AG Edwards will continue to operate under separate names until 2008. The merger integration is scheduled to be completed in 2009.
Shareholders of AG Edwards (NYSE: AGE) received $35.80 in cash and 0.9844 shares of Wachovia common stock for each share of AG Edwards they owned.
Sources
http://www.agedwards.com/public/content/sc/aboutage/history.html
http://brandlandusa.blogspot.com/2007/09/dont-kill-off-ag-edwards.html
http://www.fundinguniverse.com/company-histories/AG-Edwards-Inc-Company-History1.html
A.G. Edwards: A Heritage of Serving Investors, St. Louis, Mo.: A.G. Edwards & Sons, Inc., 1991, revised edition, 1998.
'And the Winners Are ...,' Worth, July/August 1999.
Branch, Shelly, 'The 100 Best Companies to Work for in America,' Fortune, January 11, 1999.
Forbat, Pamela Savage, 'A.G. Edwards: Business As Usual,' Registered Representative, March 1996.
Friedman, Amy, 'Positive Prospects,' Financial Services Weekly, June 11, 1990.
Gallagher, Jim, 'Sitting Pretty: Being `Out in the Sticks' Saved Edwards,' St. Louis Post-Dispatch, April 1, 1991.
Hanford, Desiree J., 'A.G. Edwards Sticks with Its Traditions,' Wall Street Journal, May 26, 1998, p. B13.
Leblanc, Sydney, 'Interview: Benjamin F. Edwards III,' Securities Industry Management, August/September 1994.
Rogers, Doug, 'A.G. Edwards Matches Profit with Stock Price Performance,' Investor's Daily, June 6, 1991.
Santoli, Michael, 'A.G. Edwards Praised and Criticized for Low-Risk Way,' Austin American-Statesman, October 26, 1996, p. 4.
Scott, Mac, 'Edwards Quietly Climbs Ranks of Wall Street,' St. Louis Business Journal, January 6--12, 1992.
Wayne, Leslie, 'Where the Brokers Are Still Smiling,' New York Times, November 26, 1989.
http://query.nytimes.com/gst/fullpage.html?res=950DEEDD1E3FF935A15752C1A96F948260
Wells, Garrison, 'Brokerage Lags in Web Trading-On Purpose,' Grand Rapids Press, September 10, 1999, p. A12.
http://registeredrep.com/news/Ed_Jones_AG_Edwards_Baird_Great_to_Work_For/
http://www.bloomberg.com/apps/news?pid=20601087&refer=home&sid=aQdfOhpNvaC4
http://www.bizjournals.com/buffalo/stories/2007/10/01/daily18.html
Saturday, February 23, 2008
Edward Jones History
Firm History
Since its inception, St. Louis-based Edward Jones has taken a personal, long-term approach to investing.
Until the mid-1950s, Edward Jones looked much like any other investment brokerage firm. In 1955, however, Edward D. "Ted" Jones Jr., son of the firm's founder, brought to life his vision of how investments should be delivered to individuals. His experience convinced him that when important financial decisions are involved, most individuals prefer to work face-to-face with a trusted professional.
Starting with the first branch office in Mexico, Mo., Ted Jones devoted his energy to building a network of small neighborhood offices, each run by a single financial advisor and full-time support person, the branch office administrator (BOA). The mission of each of those offices was the same - to provide quality investments and personal service to investors in the local community.
Back in St. Louis, the home office was organized in a hub and spoke manner to provide branches with technological, marketing and operations support. By 1980, there were more than 300 Edward Jones branch offices.
John Bachmann succeeded Ted Jones as the firm's managing partner in 1980. Under John's leadership, and continued focus on a strategic approach to investing, growth of the branch office network has continued. In 1994, the firm expanded into Canada, and in 1998 the first branch office opened in the UK. Today there are more than 10,000 offices throughout the United States, and in our Canadian and United Kingdom affiliates.
Edward Jones is the nation's only major financial services firm that retains a partnership form of ownership.
http://www.edwardjones.com/cgi/getHTML.cgi?page=/USA/company/media/press_kit/firm_history.html
Timeline
1916 Edward D. Jones Sr. starts work as a securities salesman for N.W. Halsy & Co. in New York.
1920 Mr. Jones becomes the manager of the St. Louis office of Blair & Co., a New York bond brokerage.
1922 Edward D. Jones Sr. establishes Edward D. Jones & Co., determined that his company will treat the salespeople as partners in the business and treat clients fairly by selling appropriate, high-quality investments. The firm's offices open in downtown St. Louis, the heart of the city's financial district.
1929 The stock market falls 12.9 percent in one day, foreshadowing the Great Depression. Following the crash, the St. Louis Stock Exchange and other regional exchanges in Minneapolis, St. Paul and Cleveland merge with the Chicago Exchange to form the Midwest Stock Exchange.
1941 Edward D. Jones Sr. purchases a seat on the New York Stock Exchange for $21,000, one of the lowest prices ever paid for an NYSE seat. Seats had sold for as high as $625,000 in 1929, the year of the stock market crash.
1941 The firm Mr. Jones founded is restructured as a partnership to comply with the New York Stock Exchange requirement that member firms have more than one company principal.
1943 Edward D. Jones & Co. merges with Whitaker & Co., a 72-year-old brokerage firm in St.Louis
1948 Edward D. "Ted" Jones Jr. joins the firm.
1955 The firm's first branch office opens in the small town of Mexico, Missouri.
1956 An automatic stock quotation board, one of only three such boards in St. Louis, is the latest technological revolution at Edward Jones.
1959 John W. Bachmann joins Edward Jones as a summer intern at the St. Louis home office, where he cleans the basement and delivers messages.
1970 John Bachmann returns to St. Louis with responsibility for long-term planning and corporate finance.
1972 Edward Jones moves to 201 Progress Parkway, an industrial park in Maryland Heights, a suburb about 20 minutes west of St. Louis. Other St. Louis-based firms indicate that it will be impossible for Edward Jones to function operationally without being downtown.
1972 John Bachmann shows uncanny vision in a memo to Ted Jones that maps out the firm's future.
1974 Ted Jones expands the partnership to provide an opportunity for those who work at the firm to share in its ownership.
1974 Doug Hill is named a principal in the firm and becomes a regional leader.
1976 Jim Weddle joins the firm as an intern working part-time in the Research department.
1977 Edward Jones reaches 200 offices.
1977 Jim Weddle moves to Connersville, Indiana to open the firm's 200th branch office.
1977 Gary Reamey, future principal responsible for Edward Jones Canada, joins the firm as a financial advisor in Morris, Illinois.
1978 Doug Hill moves from his Dodge City, Kansas, branch office to the St. Louis home office to help develop and implement formal training for the firm's financial advisors.
1979 Edward Jones enters the computer age by replacing Teletypes with Burroughs computer terminals and printers.
1980 Ted Jones realizes his dream of opening 300 offices and names John Bachmann as the firm's new managing partner.
1981 John Bachmann persuades management authority Peter Drucker (left) to consult on the firm's expansion plans. Under Drucker's encouragement, Edward Jones aggressively targets metropolitan areas for expansion of its branch-office network.
1982 Edward D. Jones Sr. dies on Oct. 10 at the age of 89.
1982 Gary Reamey leads the firm's expansion into Chicago, setting the stage for Edward Jones' expansion into metropolitan areas.
1984 As a limited partner of the firm, Jim Weddle moves to the home office in St. Louis to assume a role in Sales Training.
1986 The firm celebrates the opening of its 1,000th office, located in Stoughton, Wisconsin.
1986 John Bachmann is elected chairman of the Securities Industry Association (SIA), a government agency responsible for supervising and regulating the securities industry.
1986 Jim Weddle is named to the firm's management committee.
1987 On Monday, Oct. 19, the Dow Jones Industrial Average falls 507.99 points, a drop of 22.6 percent, the largest percentage drop of the DJIA's history, and closes at a record-breaking low of 1,738.74. The media dubs the day "Black Monday."
1987 John Bachmann is re-elected chairman of the SIA, becoming the first person in the history of the association to serve two consecutive terms.
1988 Edward Jones becomes the first firm to begin mailing dividend and interest income to clients on a daily, as-needed basis. The industry standard at the time was weekly or monthly.
1988 The firm begins building a satellite network that will allow firmwide broadcasts to air in branch offices simultaneously.
1990 Edward Jones begins planning and preparation for expansion into Canada, its first venture beyond the borders of the United States.
1990 The firm completes the installation of its private satellite network, the first of its kind in the securities industry.
1990 Ted Jones passes away on Oct. 3.
1991 John Bachmann heads the Bachmann Task Force, working with leaders in the financial industry on a regulation that will help prevent another market crash.
1992 Edward Jones purchases a large office building in west St. Louis County and undergoes a major headquarters expansion.
1992 Edward Jones opens its 2,000th branch office, located in Ocean City, New Jersey.
1992 The Bachmann Task Force recommends to the Securities and Exchange Commission a measure called T+3, which would reduce the trade settlement time from five to three business days.
1993 Edward Jones begins four years of extensive research and analysis with the London Business School to determine the feasibility of expanding operations across the Atlantic.
1994 Edward Jones Canada opens operations (left) in Mississauga, Ontario, 12 miles from Toronto, under the leadership of Gary Reamey. The firm opens six offices its first year in the country — the first in Orleans, a suburb of Ottawa.
1994 The firm's 3,000th branch office opens in Marietta, Georgia.
1995 After years of identifying itself as Edward D. Jones & Co., the firm adopts a new corporate identifier: Edward Jones. The shorter name will make it a more recognizable brand.
1995 Under John Bachmann's leadership, T+3 is implemented and becomes a model for world markets.
1995 Edward Jones buys Boone National Savings and Loan in Columbia, Missouri. The acquisition enables Edward Jones to offer trust services to clients.
1995 By the end of the year, the firm has 24 Canadian offices in Ontario and British Columbia.
1996 Edward Jones unveils its public Web site, www.edwardjones.com.
1996 Edward Jones offices are located in five of Canada's 10 provinces — Alberta, British Columbia, Manitoba, Ontario and Saskatchewan.
1996 The Dow Jones Industrial Average turns 100 years old on May 26.
1997 Edward Jones offers its first credit card.
1997 Edward Jones Limited opens operations (left) with 10 headquarters associates in Canary Wharf, an area just east of London, and eight U.S. Financial Advisors relocate to open the firm's first branch offices in Europe.
1997 The firm more than doubles its presence in Canada, growing from 44 offices to 102. The 100th Canadian offices opens in Nepean, Ontario, and more than 10,000 Canadians investors call themselves Edward Jones clients.
1998 Investment Executive magazine ranks Edward Jones the No. 1 investment firm to work for in Canada the first year the company is included in the survey.
1998 Doug Hill becomes firm's first chief operating officer.
1999 The firm opens its first offices in Scotland — ending the year with 86 branch offices in the United Kingdom. A 12,000 square foot addition for training is added to the U.K. headquarters.
1999 Romford, Essex England, is the site of Edward Jones' 5,000th branch office.
1999 Edward Jones Canada celebrates its fifth anniversary. The firm is the 10th largest investment firm in the country with 520 associates and 254 branch offices.
2000 The Dow Jones Industrial Average closes at an all-time high of 11,722.98 on January 14.
2000 Ground is broken on a new regional office site in Tempe, Arizona, that will house selected functions of Information Systems, Operations and the Service division.
2000 The A.F. McKenzie Training Centre is dedicated in Mississauga, Ontario, in memory of the financial advisor credited as the father of sales training at the firm. More than 400 financial advisors make up the Edward Jones Canadian sales force.
2001 The Tempe Campus in Phoenix, Arizona, opens, serving financial advisors in the western United States.
2001 Edward Jones ranks fifth in Training magazine's "Top 50" for employee career development.
2001 Investment Executive magazine names Edward Jones the No. 1 firm to work for in Canada. As the seventh largest brokerage in the country, Edward Jones tops all other investment firms for the third time in four years, sweeping 17 of 22 categories.
2001 The firm opens its 8,000th branch.
2002 Edward Jones ranks No. 1 in Fortune magazine's annual listing of "100 Best Companies to Work For" in America. This marks the firm's fourth appearance on the list, but first time at No. 1.
2002 Edward Jones buys the naming rights to St. Louis' football stadium. The facility, home to the St. Louis Rams, becomes the "Edward Jones Dome." (John Bachmann with Ram's owner Georgia Frontiere.)
2002 The Wall Street Journal ranks Edward Jones' Model Stock Portfolio No. 1 in the five-year return category and No. 2 in the one-year category for the quarter ending Sept. 30.
2002 Edward Jones ranks No. 1 among full-service brokers by Kiplinger's Personal Finance magazine.
2002 Edward Jones ties for first in J.D. Power and Associates' first-ever study of customer satisfaction among full-service investors
2002 Edward Jones opens five offices in Quebec, the firm's first foray into an English and French-speaking market, and projects that 500 of the 3,000 offices planned for Canada will be located in the province.
2002 Doug Hill is named to succeed John Bachmann as Edward Jones' managing partner.
2003 In it's first year of eligibility, Edward Jones ranks fourth in Report on Business Magazine's "50 Best Employers in Canada."
2003 For the second consecutive year, Edward Jones ranks No. 1 in Fortune magazine's annual listing of "100 Best Companies to Work For" in America.
2003 Registered Representative magazine ranks Edward Jones No. 1 for the 11th consecutive year in the magazine's annual brokerage ranking.
2003 There are nearly 600 Edward Jones offices in Canada. The firm continues to be recognized throughout the country as a best place to work — ranking No. 1 for the fifth year by Investment Executive magazine and No. 12 in Report on Business magazine's "50 Best Companies to Work For" in Canada.
2003 Edward Jones ranks among the best advocates for its customers, according to the "Winning the Changing Financial Consumer" study by Forrester Research. The firm, the highest-ranking brokerage named on the list, placed second in the customer advocacy ranking.
2003 Edward Jones Limited celebrates its fifth year in the U.K.
2004 Doug Hill becomes managing partner.
2004 Edward Jones celebrates its 10th anniversary in Canada, serving over 150,000 clients in Canada.
2004 For the sixth year in a row, Fortune magazine ranks Edward Jones among the "100 Best Companies to Work For" in America. The firm takes the No. 4 spot. This was the firm's sixth appearance on this prestigious list and the fifth time the firm ranking in the top 10.
2004 For the second consecutive year, Edward Jones is among the best advocates for its customers, according to a national research study of U.S. financial-services firms by Forrester Research. Edward Jones is the highest-ranking brokerage named on the list.
2004 Edward Jones retains the services of a marketing communications agency to help clarify the firm's brand and integrate global marketing communications in all media.
2004 Barron's magazine reports that for more than seven years Edward Jones' Model Stock Portfolio's long-term track record beat the performance of 13 other brokerage firms it surveyed.
2004 Edward Jones ranks as a top company for training associates, according to Training magazine's Top 100 edition.
2004 The Edward D. "Ted" Jones and Pat Jones Confluence State Park in Missouri is dedicated, marking the eastern starting point of the Katy Trail.
2005 Edward Jones ranks "Highest in Investor Satisfaction with Full Service Brokerage Firms" according to a J.D. Power and Associates study.
2005 For the eighth consecutive year, Edward Jones Canada ranks among the top five firms in Investment Executive magazine's annual ranking. This includes five No. 1 rankings and two No. 2 rankings. Edward Jones ranks No. 4 on the 2005 'Brokerage Report Card.'
2005 Edward Jones ranks No. 1 in the annual SmartMoney full-service broker survey. Edward Jones places ahead of seven other firms and scored the highest possible ranking in the four categories surveyed: customer statements, stock picking, customer satisfaction and in a trust survey.
2005 A new marketing communications campaign, "Making Sense of Investing," kicks off as part of an effort to build the Edward Jones brand.
2005 Barron's magazine reports that Edward Jones' Model Stock Portfolio ranks at No. 4 for five-year performance and No. 2 for seven-year performance among 13 other brokerage firms.
2005 Edward Jones Limited in the UK ends the year with about 140 financial advisors.
2005 Edward Jones pledges $2.5 million for Hurrican Katrina relief.
2005 The firm launches a new global recruitment campaign.
2005 Dalbar rate the Edward Jones client statement No. 1.
2005 Jim Weddle is selected as the new managing partner to succeed Doug Hill.
2005 The firm opens its third building at the Tempe Campus in Phoenix, Arizona.
2005 For the 13th consecutive year, Edward Jones ranks No. 1 on Registered Rep magazine's annual brokerage report card, with the top ranking in 14 of 20 categories.
2006 Jim Weddle become the firm's new managing partner.
2006 The firm launches a Spanish-language Web site in the US (www.edwardjones.com/espanol)
2006 For the seventh year, Edward Jones is named one of the "Best Companies to Work for in America" by FORTUNE magazine in its annual listing. The firm takes the No. 16 spot overall in the ranking. The firm also is named to the No. 4 spot for large companies. The seven FORTUNE rankings include top 10 finishes for five years and consecutive number one rankings in 2002 and 2003.
Since its inception, St. Louis-based Edward Jones has taken a personal, long-term approach to investing.
Until the mid-1950s, Edward Jones looked much like any other investment brokerage firm. In 1955, however, Edward D. "Ted" Jones Jr., son of the firm's founder, brought to life his vision of how investments should be delivered to individuals. His experience convinced him that when important financial decisions are involved, most individuals prefer to work face-to-face with a trusted professional.
Starting with the first branch office in Mexico, Mo., Ted Jones devoted his energy to building a network of small neighborhood offices, each run by a single financial advisor and full-time support person, the branch office administrator (BOA). The mission of each of those offices was the same - to provide quality investments and personal service to investors in the local community.
Back in St. Louis, the home office was organized in a hub and spoke manner to provide branches with technological, marketing and operations support. By 1980, there were more than 300 Edward Jones branch offices.
John Bachmann succeeded Ted Jones as the firm's managing partner in 1980. Under John's leadership, and continued focus on a strategic approach to investing, growth of the branch office network has continued. In 1994, the firm expanded into Canada, and in 1998 the first branch office opened in the UK. Today there are more than 10,000 offices throughout the United States, and in our Canadian and United Kingdom affiliates.
Edward Jones is the nation's only major financial services firm that retains a partnership form of ownership.
http://www.edwardjones.com/cgi/getHTML.cgi?page=/USA/company/media/press_kit/firm_history.html
Timeline
1916 Edward D. Jones Sr. starts work as a securities salesman for N.W. Halsy & Co. in New York.
1920 Mr. Jones becomes the manager of the St. Louis office of Blair & Co., a New York bond brokerage.
1922 Edward D. Jones Sr. establishes Edward D. Jones & Co., determined that his company will treat the salespeople as partners in the business and treat clients fairly by selling appropriate, high-quality investments. The firm's offices open in downtown St. Louis, the heart of the city's financial district.
1929 The stock market falls 12.9 percent in one day, foreshadowing the Great Depression. Following the crash, the St. Louis Stock Exchange and other regional exchanges in Minneapolis, St. Paul and Cleveland merge with the Chicago Exchange to form the Midwest Stock Exchange.
1941 Edward D. Jones Sr. purchases a seat on the New York Stock Exchange for $21,000, one of the lowest prices ever paid for an NYSE seat. Seats had sold for as high as $625,000 in 1929, the year of the stock market crash.
1941 The firm Mr. Jones founded is restructured as a partnership to comply with the New York Stock Exchange requirement that member firms have more than one company principal.
1943 Edward D. Jones & Co. merges with Whitaker & Co., a 72-year-old brokerage firm in St.Louis
1948 Edward D. "Ted" Jones Jr. joins the firm.
1955 The firm's first branch office opens in the small town of Mexico, Missouri.
1956 An automatic stock quotation board, one of only three such boards in St. Louis, is the latest technological revolution at Edward Jones.
1959 John W. Bachmann joins Edward Jones as a summer intern at the St. Louis home office, where he cleans the basement and delivers messages.
1970 John Bachmann returns to St. Louis with responsibility for long-term planning and corporate finance.
1972 Edward Jones moves to 201 Progress Parkway, an industrial park in Maryland Heights, a suburb about 20 minutes west of St. Louis. Other St. Louis-based firms indicate that it will be impossible for Edward Jones to function operationally without being downtown.
1972 John Bachmann shows uncanny vision in a memo to Ted Jones that maps out the firm's future.
1974 Ted Jones expands the partnership to provide an opportunity for those who work at the firm to share in its ownership.
1974 Doug Hill is named a principal in the firm and becomes a regional leader.
1976 Jim Weddle joins the firm as an intern working part-time in the Research department.
1977 Edward Jones reaches 200 offices.
1977 Jim Weddle moves to Connersville, Indiana to open the firm's 200th branch office.
1977 Gary Reamey, future principal responsible for Edward Jones Canada, joins the firm as a financial advisor in Morris, Illinois.
1978 Doug Hill moves from his Dodge City, Kansas, branch office to the St. Louis home office to help develop and implement formal training for the firm's financial advisors.
1979 Edward Jones enters the computer age by replacing Teletypes with Burroughs computer terminals and printers.
1980 Ted Jones realizes his dream of opening 300 offices and names John Bachmann as the firm's new managing partner.
1981 John Bachmann persuades management authority Peter Drucker (left) to consult on the firm's expansion plans. Under Drucker's encouragement, Edward Jones aggressively targets metropolitan areas for expansion of its branch-office network.
1982 Edward D. Jones Sr. dies on Oct. 10 at the age of 89.
1982 Gary Reamey leads the firm's expansion into Chicago, setting the stage for Edward Jones' expansion into metropolitan areas.
1984 As a limited partner of the firm, Jim Weddle moves to the home office in St. Louis to assume a role in Sales Training.
1986 The firm celebrates the opening of its 1,000th office, located in Stoughton, Wisconsin.
1986 John Bachmann is elected chairman of the Securities Industry Association (SIA), a government agency responsible for supervising and regulating the securities industry.
1986 Jim Weddle is named to the firm's management committee.
1987 On Monday, Oct. 19, the Dow Jones Industrial Average falls 507.99 points, a drop of 22.6 percent, the largest percentage drop of the DJIA's history, and closes at a record-breaking low of 1,738.74. The media dubs the day "Black Monday."
1987 John Bachmann is re-elected chairman of the SIA, becoming the first person in the history of the association to serve two consecutive terms.
1988 Edward Jones becomes the first firm to begin mailing dividend and interest income to clients on a daily, as-needed basis. The industry standard at the time was weekly or monthly.
1988 The firm begins building a satellite network that will allow firmwide broadcasts to air in branch offices simultaneously.
1990 Edward Jones begins planning and preparation for expansion into Canada, its first venture beyond the borders of the United States.
1990 The firm completes the installation of its private satellite network, the first of its kind in the securities industry.
1990 Ted Jones passes away on Oct. 3.
1991 John Bachmann heads the Bachmann Task Force, working with leaders in the financial industry on a regulation that will help prevent another market crash.
1992 Edward Jones purchases a large office building in west St. Louis County and undergoes a major headquarters expansion.
1992 Edward Jones opens its 2,000th branch office, located in Ocean City, New Jersey.
1992 The Bachmann Task Force recommends to the Securities and Exchange Commission a measure called T+3, which would reduce the trade settlement time from five to three business days.
1993 Edward Jones begins four years of extensive research and analysis with the London Business School to determine the feasibility of expanding operations across the Atlantic.
1994 Edward Jones Canada opens operations (left) in Mississauga, Ontario, 12 miles from Toronto, under the leadership of Gary Reamey. The firm opens six offices its first year in the country — the first in Orleans, a suburb of Ottawa.
1994 The firm's 3,000th branch office opens in Marietta, Georgia.
1995 After years of identifying itself as Edward D. Jones & Co., the firm adopts a new corporate identifier: Edward Jones. The shorter name will make it a more recognizable brand.
1995 Under John Bachmann's leadership, T+3 is implemented and becomes a model for world markets.
1995 Edward Jones buys Boone National Savings and Loan in Columbia, Missouri. The acquisition enables Edward Jones to offer trust services to clients.
1995 By the end of the year, the firm has 24 Canadian offices in Ontario and British Columbia.
1996 Edward Jones unveils its public Web site, www.edwardjones.com.
1996 Edward Jones offices are located in five of Canada's 10 provinces — Alberta, British Columbia, Manitoba, Ontario and Saskatchewan.
1996 The Dow Jones Industrial Average turns 100 years old on May 26.
1997 Edward Jones offers its first credit card.
1997 Edward Jones Limited opens operations (left) with 10 headquarters associates in Canary Wharf, an area just east of London, and eight U.S. Financial Advisors relocate to open the firm's first branch offices in Europe.
1997 The firm more than doubles its presence in Canada, growing from 44 offices to 102. The 100th Canadian offices opens in Nepean, Ontario, and more than 10,000 Canadians investors call themselves Edward Jones clients.
1998 Investment Executive magazine ranks Edward Jones the No. 1 investment firm to work for in Canada the first year the company is included in the survey.
1998 Doug Hill becomes firm's first chief operating officer.
1999 The firm opens its first offices in Scotland — ending the year with 86 branch offices in the United Kingdom. A 12,000 square foot addition for training is added to the U.K. headquarters.
1999 Romford, Essex England, is the site of Edward Jones' 5,000th branch office.
1999 Edward Jones Canada celebrates its fifth anniversary. The firm is the 10th largest investment firm in the country with 520 associates and 254 branch offices.
2000 The Dow Jones Industrial Average closes at an all-time high of 11,722.98 on January 14.
2000 Ground is broken on a new regional office site in Tempe, Arizona, that will house selected functions of Information Systems, Operations and the Service division.
2000 The A.F. McKenzie Training Centre is dedicated in Mississauga, Ontario, in memory of the financial advisor credited as the father of sales training at the firm. More than 400 financial advisors make up the Edward Jones Canadian sales force.
2001 The Tempe Campus in Phoenix, Arizona, opens, serving financial advisors in the western United States.
2001 Edward Jones ranks fifth in Training magazine's "Top 50" for employee career development.
2001 Investment Executive magazine names Edward Jones the No. 1 firm to work for in Canada. As the seventh largest brokerage in the country, Edward Jones tops all other investment firms for the third time in four years, sweeping 17 of 22 categories.
2001 The firm opens its 8,000th branch.
2002 Edward Jones ranks No. 1 in Fortune magazine's annual listing of "100 Best Companies to Work For" in America. This marks the firm's fourth appearance on the list, but first time at No. 1.
2002 Edward Jones buys the naming rights to St. Louis' football stadium. The facility, home to the St. Louis Rams, becomes the "Edward Jones Dome." (John Bachmann with Ram's owner Georgia Frontiere.)
2002 The Wall Street Journal ranks Edward Jones' Model Stock Portfolio No. 1 in the five-year return category and No. 2 in the one-year category for the quarter ending Sept. 30.
2002 Edward Jones ranks No. 1 among full-service brokers by Kiplinger's Personal Finance magazine.
2002 Edward Jones ties for first in J.D. Power and Associates' first-ever study of customer satisfaction among full-service investors
2002 Edward Jones opens five offices in Quebec, the firm's first foray into an English and French-speaking market, and projects that 500 of the 3,000 offices planned for Canada will be located in the province.
2002 Doug Hill is named to succeed John Bachmann as Edward Jones' managing partner.
2003 In it's first year of eligibility, Edward Jones ranks fourth in Report on Business Magazine's "50 Best Employers in Canada."
2003 For the second consecutive year, Edward Jones ranks No. 1 in Fortune magazine's annual listing of "100 Best Companies to Work For" in America.
2003 Registered Representative magazine ranks Edward Jones No. 1 for the 11th consecutive year in the magazine's annual brokerage ranking.
2003 There are nearly 600 Edward Jones offices in Canada. The firm continues to be recognized throughout the country as a best place to work — ranking No. 1 for the fifth year by Investment Executive magazine and No. 12 in Report on Business magazine's "50 Best Companies to Work For" in Canada.
2003 Edward Jones ranks among the best advocates for its customers, according to the "Winning the Changing Financial Consumer" study by Forrester Research. The firm, the highest-ranking brokerage named on the list, placed second in the customer advocacy ranking.
2003 Edward Jones Limited celebrates its fifth year in the U.K.
2004 Doug Hill becomes managing partner.
2004 Edward Jones celebrates its 10th anniversary in Canada, serving over 150,000 clients in Canada.
2004 For the sixth year in a row, Fortune magazine ranks Edward Jones among the "100 Best Companies to Work For" in America. The firm takes the No. 4 spot. This was the firm's sixth appearance on this prestigious list and the fifth time the firm ranking in the top 10.
2004 For the second consecutive year, Edward Jones is among the best advocates for its customers, according to a national research study of U.S. financial-services firms by Forrester Research. Edward Jones is the highest-ranking brokerage named on the list.
2004 Edward Jones retains the services of a marketing communications agency to help clarify the firm's brand and integrate global marketing communications in all media.
2004 Barron's magazine reports that for more than seven years Edward Jones' Model Stock Portfolio's long-term track record beat the performance of 13 other brokerage firms it surveyed.
2004 Edward Jones ranks as a top company for training associates, according to Training magazine's Top 100 edition.
2004 The Edward D. "Ted" Jones and Pat Jones Confluence State Park in Missouri is dedicated, marking the eastern starting point of the Katy Trail.
2005 Edward Jones ranks "Highest in Investor Satisfaction with Full Service Brokerage Firms" according to a J.D. Power and Associates study.
2005 For the eighth consecutive year, Edward Jones Canada ranks among the top five firms in Investment Executive magazine's annual ranking. This includes five No. 1 rankings and two No. 2 rankings. Edward Jones ranks No. 4 on the 2005 'Brokerage Report Card.'
2005 Edward Jones ranks No. 1 in the annual SmartMoney full-service broker survey. Edward Jones places ahead of seven other firms and scored the highest possible ranking in the four categories surveyed: customer statements, stock picking, customer satisfaction and in a trust survey.
2005 A new marketing communications campaign, "Making Sense of Investing," kicks off as part of an effort to build the Edward Jones brand.
2005 Barron's magazine reports that Edward Jones' Model Stock Portfolio ranks at No. 4 for five-year performance and No. 2 for seven-year performance among 13 other brokerage firms.
2005 Edward Jones Limited in the UK ends the year with about 140 financial advisors.
2005 Edward Jones pledges $2.5 million for Hurrican Katrina relief.
2005 The firm launches a new global recruitment campaign.
2005 Dalbar rate the Edward Jones client statement No. 1.
2005 Jim Weddle is selected as the new managing partner to succeed Doug Hill.
2005 The firm opens its third building at the Tempe Campus in Phoenix, Arizona.
2005 For the 13th consecutive year, Edward Jones ranks No. 1 on Registered Rep magazine's annual brokerage report card, with the top ranking in 14 of 20 categories.
2006 Jim Weddle become the firm's new managing partner.
2006 The firm launches a Spanish-language Web site in the US (www.edwardjones.com/espanol)
2006 For the seventh year, Edward Jones is named one of the "Best Companies to Work for in America" by FORTUNE magazine in its annual listing. The firm takes the No. 16 spot overall in the ranking. The firm also is named to the No. 4 spot for large companies. The seven FORTUNE rankings include top 10 finishes for five years and consecutive number one rankings in 2002 and 2003.
Edward Jones
http://www.edwardjones.com/
We believe that building long-term relationships with our nearly 7 million clients is key to serving their needs. Whether it's in the United States, Canada, or the United Kingdom, we're located in the communities where you live and work because that's the best way to get to know you and to help you reach your financial goals.
Offices
United States
St. Louis Headquarters:
314-515-2000
Driving route
Highway 270 & Manchester
Highway 270 & Dorsett
Highway 40 & Maryville Center Parkway
Send all mail for St. Louis Headquarters to:
Edward Jones
P.O. Box 66906
St. Louis, MO 63166-6906
Tempe Regional Headquarters:
Edward Jones
8640 S River Pkwy
Tempe, AZ 85284-2609
Canada
Edward Jones
90 Burnhamthorpe Road West
Sussex Centre, Suite 902
Mississauga, ON L5B 3C3
United Kingdom
Edward Jones
11 Westferry Circus
Canary Wharf
London E14 4HH
We believe that building long-term relationships with our nearly 7 million clients is key to serving their needs. Whether it's in the United States, Canada, or the United Kingdom, we're located in the communities where you live and work because that's the best way to get to know you and to help you reach your financial goals.
Offices
United States
St. Louis Headquarters:
314-515-2000
Driving route
Highway 270 & Manchester
Highway 270 & Dorsett
Highway 40 & Maryville Center Parkway
Send all mail for St. Louis Headquarters to:
Edward Jones
P.O. Box 66906
St. Louis, MO 63166-6906
Tempe Regional Headquarters:
Edward Jones
8640 S River Pkwy
Tempe, AZ 85284-2609
Canada
Edward Jones
90 Burnhamthorpe Road West
Sussex Centre, Suite 902
Mississauga, ON L5B 3C3
United Kingdom
Edward Jones
11 Westferry Circus
Canary Wharf
London E14 4HH
Friday, February 22, 2008
Stock Broker Ranking 2007
Smart Money Ranking
Full Service Brokers
1. Edward Jones
2. Merrill Lynch
3. UBS
4. A.G. Edwards
5. Wachovia
6. Smith Barney
7. Morgan Stanley
Discount Brokers
1. TradeKing
2. Scottrade
3. Firstrade
4. OptionsXpress
5. Muriel Siebert
6. WallStreet*E
7. SogoInvest
Premium Brokers
1. E*Trade
2. Fidelity
3. Charles Schwab
4. Banc of America
5. TD Ameritrade
6. WellsTrade
7. Vanguard
The rankings are based on the needs of a hypothetical buy-and-hold customer who has an account balance of $50,000 and invests in stocks, bonds and funds.
Read for more details
http://www.smartmoney.com/brokers/index.cfm?story=august2007
JD Powers Ratings
2007 U.S. Full Service Broking Firm - Investor Satisfaction Study
Edward Jones *****
Award Recipient
A.G. Edwards & Sons ****
Ameriprise ***
Charles Schwab & Co. **
Fidelity Investments **
Merrill Lynch ***
Morgan Stanley **
Smith Barney ***
UBS Financial Services **
Vanguard ****
Wachovia Securities ***
Scoring legend
***** Among the best **** Better than most *** About average ** The rest
Visit for more details
http://www.jdpower.com/finance/ratings/full-service-investment-firm-ratings
JD Powers Rating on Online Brokers
on Overall Satisfaction
Scottrade *****
Award Recipient
Ameriprise Financial **
Charles Schwab ****
E*TRADE Financial **
Fidelity Investments ***
Merrill Lynch Direct **
ShareBuilder ***
T. Rowe Price **
TD Ameritrade ***
Vanguard *****
Scoring legend
***** Among the best **** Better than most *** About average ** The rest
http://www.jdpower.com/finance/ratings/online-investment-firm-ratings
Full Service Brokers
1. Edward Jones
2. Merrill Lynch
3. UBS
4. A.G. Edwards
5. Wachovia
6. Smith Barney
7. Morgan Stanley
Discount Brokers
1. TradeKing
2. Scottrade
3. Firstrade
4. OptionsXpress
5. Muriel Siebert
6. WallStreet*E
7. SogoInvest
Premium Brokers
1. E*Trade
2. Fidelity
3. Charles Schwab
4. Banc of America
5. TD Ameritrade
6. WellsTrade
7. Vanguard
The rankings are based on the needs of a hypothetical buy-and-hold customer who has an account balance of $50,000 and invests in stocks, bonds and funds.
Read for more details
http://www.smartmoney.com/brokers/index.cfm?story=august2007
JD Powers Ratings
2007 U.S. Full Service Broking Firm - Investor Satisfaction Study
Edward Jones *****
Award Recipient
A.G. Edwards & Sons ****
Ameriprise ***
Charles Schwab & Co. **
Fidelity Investments **
Merrill Lynch ***
Morgan Stanley **
Smith Barney ***
UBS Financial Services **
Vanguard ****
Wachovia Securities ***
Scoring legend
***** Among the best **** Better than most *** About average ** The rest
Visit for more details
http://www.jdpower.com/finance/ratings/full-service-investment-firm-ratings
JD Powers Rating on Online Brokers
on Overall Satisfaction
Scottrade *****
Award Recipient
Ameriprise Financial **
Charles Schwab ****
E*TRADE Financial **
Fidelity Investments ***
Merrill Lynch Direct **
ShareBuilder ***
T. Rowe Price **
TD Ameritrade ***
Vanguard *****
Scoring legend
***** Among the best **** Better than most *** About average ** The rest
http://www.jdpower.com/finance/ratings/online-investment-firm-ratings
Friday, February 8, 2008
Morgan Stanley
http://www.morganstanley.com/about/company/index.html
$782 Billion in Assets Under Management
Consistent Dividend Payout Growth
Diversified Revenue Sources
Excellent Credit Ratings
High Market Capitalization
High Total Shareholder Return
More than 600 Offices in 33 Countries
Fourth Quarter, November 30, 2007
A. End of Period common shares outstanding as of the Period End November 30, 2007 were 1,056,289,659
B. MS common stock closing price on NYSE as of November 30, 2007 was US$52.72
Market Capitalization - $55,687,590,822
Contact Details
Worldwide headquarters
Morgan Stanley
1585 Broadway
New York, NY 10036
Telephone: (212) 761-4000
Institutional Services
For questions regarding our global products and services designed for large corporations, institutions and governments, send an email to instfeed@ms.com.
To order a Morgan Stanley Prospectus online, submit your request with your name, address, telephone number and the name of the prospectus to prospectus@morganstanley.com.
For media inquiries, send an email to mediainquiries@morganstanley.com.
$782 Billion in Assets Under Management
Consistent Dividend Payout Growth
Diversified Revenue Sources
Excellent Credit Ratings
High Market Capitalization
High Total Shareholder Return
More than 600 Offices in 33 Countries
Fourth Quarter, November 30, 2007
A. End of Period common shares outstanding as of the Period End November 30, 2007 were 1,056,289,659
B. MS common stock closing price on NYSE as of November 30, 2007 was US$52.72
Market Capitalization - $55,687,590,822
Contact Details
Worldwide headquarters
Morgan Stanley
1585 Broadway
New York, NY 10036
Telephone: (212) 761-4000
Institutional Services
For questions regarding our global products and services designed for large corporations, institutions and governments, send an email to instfeed@ms.com.
To order a Morgan Stanley Prospectus online, submit your request with your name, address, telephone number and the name of the prospectus to prospectus@morganstanley.com.
For media inquiries, send an email to mediainquiries@morganstanley.com.
Thursday, February 7, 2008
Citigroup History
Citibank N.A.
Till it became part of Citigroup
On June 16, 1812, with $2 million of capital, City Bank of New York (now Citibank) opened for business in New York City. Through many different leaders and economic environments over the course of its rich history, Citibank continues to grow and prosper.
In 1968, First National City Corporation (later renamed Citicorp), a bank holding company, became the parent of Citibank.
In 1998, all Citicorp divisions merged with all divisions of Travelers Group to form Citigroup Inc. Citibank continues as a strong brand under the Citigroup umbrella.
1812
June 16: New York State charters City Bank of New York with authorized capital of $2 million and paidin capital of $800,000.
September 14: City Bank opens for business to serve a group of New York merchants.
Samuel Osgood is elected president (1812–1813).
1813
First dividend is paid.
1822
Farmers' Fire Insurance and Loan Company is founded, the first incorporated trust company in the U.S. Its name becomes Farmers' Loan and Trust Company in 1835, and it merges with National City Bank in 1929.
1827
Isaac Wright is elected president (1827–1832).
1856
Moses Taylor is elected president (1856–1882).
1865
City Bank joins the new U.S. national banking system and becomes The National City Bank of New York.
1882
Percy Pyne is elected president (1882–1891).
1891
James Stillman is elected president (1891–1909). He also serves as chairman (1909–1918).
1894
Becomes the largest bank in the U.S.
1897
First major U.S. bank to establish a foreign department; begins foreignexchange trading.
1902
Expands into Asia, Europe and India, with offices from Shanghai to Manila.
1904
Introduces traveler's checks.
The bank moves to larger quarters at 55 Wall Street, its headquarters until 1961.
1909
Frank Vanderlip is elected president (1909–1919); James Stillman is elected the first chairman (1909–1918).
1913
The bank is the first contributor to the Federal Reserve Bank of New York.
1914
November 10: National City inaugurates the first foreign branch of any U.S. national bank, in Buenos Aires.
1915
Opens National City Bank office in Rio de Janeiro, Brazil.
Now America's leading international bank, with the largest overseas branch network of any U.S. bank.
1918
International Banking Corporation, a U.S. overseas bank, becomes a wholly owned subsidiary of National City.
1919
First U.S. bank with $1 billion in assets.
James A. Stillman, son of chairman James Stillman, is elected president (1919-1921).
1921
National City is the first major U.S. bank to offer compound interest on savings accounts.
Charles E. Mitchell is elected president (1921–1929) and later chairman (1929–1933).
1928
May 3: First major American bank to offer unsecured personal loans to its depositors.
National City Bank is the first to open a Personal Loan Department.
1929
The bank becomes the largest commercial bank in the world.
Expansion is accelerated with a merger: the Farmers' Loan and Trust Company becomes the City Bank Farmers Trust Company.
Gordon S. Rentschler is elected president (1929-1940) and later appointed chairman (1940-1948).
1933
James H. Perkins is elected chairman (1933–1940).
1935
The bank develops monthly payment loans for small businesses.
1936
First bank in New York City to offer consumer checking accounts with no minimum-balance requirement.
1939
Citibank has opened 100 offices in 23 countries outside the U.S., forming the largest international bank.
1940
William Gage Brady, Jr. is elected president (1940–1948) and later chairman (1948–1952).
1945
The bank handles more than $5.6 billion in U.S. Treasury securities in a series of war loan and victory loan drives.
1948
Howard C. Sheperd is elected president (1948-1952) and later chairman (1952-1959).
1952
James Stillman Rockefeller is elected president (1952–1959) and later chairman (1959–1967).
1955
The bank changes its name to The First National City Bank of New York.
1959
George S. Moore is elected president (1959–1967) and later chairman (1967–1970).
1961
Invents the negotiable certificate of deposit (CD).
A new subsidiary, First National City Overseas Investment Corporation, becomes the bank's holding company for non-U.S.-based subsidiaries and affiliates.
The new home office, 399 Park Avenue, is completed.
1962
The bank marks its 150th anniversary by shortening its name to First National City Bank.
1964
Enters the leasing business.
1965
Enters the credit card business.
1966
Citibank introduces Dollar Certificates of Deposit in the London market, the first new negotiable instrument in the London market since 1888.
1967
Walter B. Wriston is elected president (1967–1970) and later serves as chairman (1970–1984).
Introduces Citibank's first credit card the "First National City Charge Service" popularly known as the "Everything" card.
1968
First National City Corporation, a bank holding company, becomes the parent of First National City Bank.
1969
The "Everything" card is converted to Master Charge (today's MasterCard).
1970
William I. Spencer is elected president (1970–1982).
1974
The First National City Corporation holding company changes its name to Citicorp to better suit its global businesses. Citicorp introduces the floatingrate note into the U.S. financial market.
1976
First National City Bank becomes Citibank, N.A. (for National Association).
1977
Citibank launches Citicard Banking Centers, anchored by ATMs and the Citicard. The 24-hour ATMs are for the first time used for more than emergency cash.
1979
Becomes the world's leading foreignexchange dealer.
1981
Acquires Diners Club.
1982 to 1984
Savings & Loan acquisitions in California, Florida, Illinois and Washington, D.C. make Citicorp the largest bank holding company in the U.S.
1984
John S. Reed is elected chairman (1984-1998).
Citibank London is a founding member of CHAPS Clearing Company, one of the largest real-time gross settlement systems in the world, second only to Fedwire in the U.S.
1985
Introduces Direct Access® in New York, linking personal computers in homes and offices with Citibank.
1986
Introduces unique touch-screen automated teller machines in New York City and Hong Kong.
1989
Becomes the leading issuer of securitized credit card receivables.
A new skyscraper at Court Square, Long Island City, New York, is built.
1992
Citibank, N.A. becomes the largest bank in the United States.
Citicorp's global reach links branches and offices in more than 90 countries.
1993
Becomes the largest credit card and charge card issuer and servicer in the world.
Merges savings banks acquired in the 1980s and begins operating them as Citibank, FSB under a single charter.
1994
Opens the first fully foreignowned commercial bank in Russia.
1995
Celebrates the 20th anniversary of the Consumer Banking Business.
Opens the first fullservice branch in China in 45 years and branches in Vietnam and South Africa.
1996
Has largest number of credit cards in Asia. Taiwan becomes the first country outside the U.S. with over 1 million credit cards.
1998
October 8: All Citicorp and Travelers Group divisions merge to become Citigroup Inc.
Salomon Brothers
This timeline represents the history of this business until it became a part of the Citigroup family.
1910
With $5,000 in savings and a small family loan, Arthur, Herbert and Percy Salomon leave their father's firm and start their own business, Salomon Brothers, at 80 Broadway in New York City.
Salomon joins forces with Morton Hutzler, an established firm with a seat on the New York Stock Exchange. Salomon Brothers & Hutzler is born.
Salomon Brothers & Hutzler registers with the Treasury and becomes one of the first primary dealers in U.S. government securities.
1929
The U.S. stock market crashes and Salomon Brothers & Hutzler weathers the storm for two reasons:
The firm holds only a small position in the stock market.
Salomon Brothers refuses to carry margin accounts, which ultimately lead to the downfall of many investors.
Salomon Brothers further benefits when banks turn to bonds as a "safe haven" after the crash.
1940s
In the United States, the government raises funds for World War II through Treasury auctions. This substantially increases the government bond business and the role played by Salomon and other investment houses specializing in these securities.
By the end of World War II, Salomon Brothers & Hutzler has grown substantially.
The 1950s and 1960s
Through the vision and guidance of William "Billy" Salomon, son of one of the founding brothers, Salomon Brothers expands and automates its back office and operation. Salomon's use of technology equips the firm to handle increased volume, as well as better serve the ever-changing needs of its customers.
November 1963: Billy Salomon becomes the first managing partner of the firm.
Salomon's investment in research, technology and talent continues into the 1960s, leading to recognition within the financial community.
1970
Salomon Brothers & Hutzler moves from 60 Wall Street to One New York Plaza, and the firm's name is officially shortened to Salomon Brothers.
The firm opens a London office and, soon after that, offices in Hong Kong and Tokyo.
1975
New York City is on the verge of financial collapse. To resolve the crisis, the Municipal Assistance Corporation (christened “Big Mac” by the press) is formed. It issues bonds to pay off holders of city obligations while generating much-needed revenues.
The initial underwriting is for $1 billion, making it the largest municipal issuance in history. Salomon Brothers is selected to manage the offerings from the investment banking side.
1978
John Gutfreund is named successor to Billy Salomon.
1980s
Throughout the 1980s, Salomon Brothers expands its role as an innovator within the financial industry. The highlights of this decade include:
Introduction of Collateralized Mortgage Obligations (CMOs).
The merger of Salomon Brothers with Philip Brothers – a marriage of "Salomon-ingenuity" and "Philip-cash" that gives Salomon Brothers leverage to make great headway into global investment banking, mortgage-backed securities, as well as other areas of opportunity.
The first public offering of "CARS" – a security backed by automobile loans.
Introduction of Salomon Brothers Broad Investment Grade Bond Index ("BIG").
Launch of the Salomon Brothers World Bond Index – a valuable tool used to measure returns of both single and multicurrency portfolios.
The deregulation of the capital markets within the United Kingdom, marking the beginning of unprecedented opportunities for firms prepared to make the most of them. Ultimately, Salomon joins the London Stock Exchange and becomes a primary dealer there.
The development of Sophisticated Analytical Applications, including Yield Book, a powerful fixed-income analytics system that provides Salomon Brothers with a competitive advantage in the area of bond portfolio analysis.
The 1990s
Deryck C. Maughan, former head of Tokyo operations, is named Chief Operating Officer in 1991. Warren Buffet, a director and the largest shareholder, is named Chairman and CEO in 1991, and Maughan becomes Chairman and CEO in 1992.
The firm’s commitment to computer technology and infrastructure takes a dramatic leap forward in the early part of the decade.
Salomon Brothers relocates all its support operations to Tampa, Florida, where it builds a 130,000-square-foot facility, housing state-of-the-art computer, electrical and telecommunications systems.
1997
November 26: Smith Barney, a wholly owned subsidiary of Travelers Group, merges with Salomon Inc. to form Salomon Smith Barney. The firm combines the fundamental strengths of two leaders in the financial community whose vast experience, breadth of resources and global intellectual capital positions it to be a market leader in the next millennium.
1998
October 8: Travelers Group and Citicorp merge to form Citigroup Inc., a global leader in financial services.
Till it became part of Citigroup
On June 16, 1812, with $2 million of capital, City Bank of New York (now Citibank) opened for business in New York City. Through many different leaders and economic environments over the course of its rich history, Citibank continues to grow and prosper.
In 1968, First National City Corporation (later renamed Citicorp), a bank holding company, became the parent of Citibank.
In 1998, all Citicorp divisions merged with all divisions of Travelers Group to form Citigroup Inc. Citibank continues as a strong brand under the Citigroup umbrella.
1812
June 16: New York State charters City Bank of New York with authorized capital of $2 million and paidin capital of $800,000.
September 14: City Bank opens for business to serve a group of New York merchants.
Samuel Osgood is elected president (1812–1813).
1813
First dividend is paid.
1822
Farmers' Fire Insurance and Loan Company is founded, the first incorporated trust company in the U.S. Its name becomes Farmers' Loan and Trust Company in 1835, and it merges with National City Bank in 1929.
1827
Isaac Wright is elected president (1827–1832).
1856
Moses Taylor is elected president (1856–1882).
1865
City Bank joins the new U.S. national banking system and becomes The National City Bank of New York.
1882
Percy Pyne is elected president (1882–1891).
1891
James Stillman is elected president (1891–1909). He also serves as chairman (1909–1918).
1894
Becomes the largest bank in the U.S.
1897
First major U.S. bank to establish a foreign department; begins foreignexchange trading.
1902
Expands into Asia, Europe and India, with offices from Shanghai to Manila.
1904
Introduces traveler's checks.
The bank moves to larger quarters at 55 Wall Street, its headquarters until 1961.
1909
Frank Vanderlip is elected president (1909–1919); James Stillman is elected the first chairman (1909–1918).
1913
The bank is the first contributor to the Federal Reserve Bank of New York.
1914
November 10: National City inaugurates the first foreign branch of any U.S. national bank, in Buenos Aires.
1915
Opens National City Bank office in Rio de Janeiro, Brazil.
Now America's leading international bank, with the largest overseas branch network of any U.S. bank.
1918
International Banking Corporation, a U.S. overseas bank, becomes a wholly owned subsidiary of National City.
1919
First U.S. bank with $1 billion in assets.
James A. Stillman, son of chairman James Stillman, is elected president (1919-1921).
1921
National City is the first major U.S. bank to offer compound interest on savings accounts.
Charles E. Mitchell is elected president (1921–1929) and later chairman (1929–1933).
1928
May 3: First major American bank to offer unsecured personal loans to its depositors.
National City Bank is the first to open a Personal Loan Department.
1929
The bank becomes the largest commercial bank in the world.
Expansion is accelerated with a merger: the Farmers' Loan and Trust Company becomes the City Bank Farmers Trust Company.
Gordon S. Rentschler is elected president (1929-1940) and later appointed chairman (1940-1948).
1933
James H. Perkins is elected chairman (1933–1940).
1935
The bank develops monthly payment loans for small businesses.
1936
First bank in New York City to offer consumer checking accounts with no minimum-balance requirement.
1939
Citibank has opened 100 offices in 23 countries outside the U.S., forming the largest international bank.
1940
William Gage Brady, Jr. is elected president (1940–1948) and later chairman (1948–1952).
1945
The bank handles more than $5.6 billion in U.S. Treasury securities in a series of war loan and victory loan drives.
1948
Howard C. Sheperd is elected president (1948-1952) and later chairman (1952-1959).
1952
James Stillman Rockefeller is elected president (1952–1959) and later chairman (1959–1967).
1955
The bank changes its name to The First National City Bank of New York.
1959
George S. Moore is elected president (1959–1967) and later chairman (1967–1970).
1961
Invents the negotiable certificate of deposit (CD).
A new subsidiary, First National City Overseas Investment Corporation, becomes the bank's holding company for non-U.S.-based subsidiaries and affiliates.
The new home office, 399 Park Avenue, is completed.
1962
The bank marks its 150th anniversary by shortening its name to First National City Bank.
1964
Enters the leasing business.
1965
Enters the credit card business.
1966
Citibank introduces Dollar Certificates of Deposit in the London market, the first new negotiable instrument in the London market since 1888.
1967
Walter B. Wriston is elected president (1967–1970) and later serves as chairman (1970–1984).
Introduces Citibank's first credit card the "First National City Charge Service" popularly known as the "Everything" card.
1968
First National City Corporation, a bank holding company, becomes the parent of First National City Bank.
1969
The "Everything" card is converted to Master Charge (today's MasterCard).
1970
William I. Spencer is elected president (1970–1982).
1974
The First National City Corporation holding company changes its name to Citicorp to better suit its global businesses. Citicorp introduces the floatingrate note into the U.S. financial market.
1976
First National City Bank becomes Citibank, N.A. (for National Association).
1977
Citibank launches Citicard Banking Centers, anchored by ATMs and the Citicard. The 24-hour ATMs are for the first time used for more than emergency cash.
1979
Becomes the world's leading foreignexchange dealer.
1981
Acquires Diners Club.
1982 to 1984
Savings & Loan acquisitions in California, Florida, Illinois and Washington, D.C. make Citicorp the largest bank holding company in the U.S.
1984
John S. Reed is elected chairman (1984-1998).
Citibank London is a founding member of CHAPS Clearing Company, one of the largest real-time gross settlement systems in the world, second only to Fedwire in the U.S.
1985
Introduces Direct Access® in New York, linking personal computers in homes and offices with Citibank.
1986
Introduces unique touch-screen automated teller machines in New York City and Hong Kong.
1989
Becomes the leading issuer of securitized credit card receivables.
A new skyscraper at Court Square, Long Island City, New York, is built.
1992
Citibank, N.A. becomes the largest bank in the United States.
Citicorp's global reach links branches and offices in more than 90 countries.
1993
Becomes the largest credit card and charge card issuer and servicer in the world.
Merges savings banks acquired in the 1980s and begins operating them as Citibank, FSB under a single charter.
1994
Opens the first fully foreignowned commercial bank in Russia.
1995
Celebrates the 20th anniversary of the Consumer Banking Business.
Opens the first fullservice branch in China in 45 years and branches in Vietnam and South Africa.
1996
Has largest number of credit cards in Asia. Taiwan becomes the first country outside the U.S. with over 1 million credit cards.
1998
October 8: All Citicorp and Travelers Group divisions merge to become Citigroup Inc.
Salomon Brothers
This timeline represents the history of this business until it became a part of the Citigroup family.
1910
With $5,000 in savings and a small family loan, Arthur, Herbert and Percy Salomon leave their father's firm and start their own business, Salomon Brothers, at 80 Broadway in New York City.
Salomon joins forces with Morton Hutzler, an established firm with a seat on the New York Stock Exchange. Salomon Brothers & Hutzler is born.
Salomon Brothers & Hutzler registers with the Treasury and becomes one of the first primary dealers in U.S. government securities.
1929
The U.S. stock market crashes and Salomon Brothers & Hutzler weathers the storm for two reasons:
The firm holds only a small position in the stock market.
Salomon Brothers refuses to carry margin accounts, which ultimately lead to the downfall of many investors.
Salomon Brothers further benefits when banks turn to bonds as a "safe haven" after the crash.
1940s
In the United States, the government raises funds for World War II through Treasury auctions. This substantially increases the government bond business and the role played by Salomon and other investment houses specializing in these securities.
By the end of World War II, Salomon Brothers & Hutzler has grown substantially.
The 1950s and 1960s
Through the vision and guidance of William "Billy" Salomon, son of one of the founding brothers, Salomon Brothers expands and automates its back office and operation. Salomon's use of technology equips the firm to handle increased volume, as well as better serve the ever-changing needs of its customers.
November 1963: Billy Salomon becomes the first managing partner of the firm.
Salomon's investment in research, technology and talent continues into the 1960s, leading to recognition within the financial community.
1970
Salomon Brothers & Hutzler moves from 60 Wall Street to One New York Plaza, and the firm's name is officially shortened to Salomon Brothers.
The firm opens a London office and, soon after that, offices in Hong Kong and Tokyo.
1975
New York City is on the verge of financial collapse. To resolve the crisis, the Municipal Assistance Corporation (christened “Big Mac” by the press) is formed. It issues bonds to pay off holders of city obligations while generating much-needed revenues.
The initial underwriting is for $1 billion, making it the largest municipal issuance in history. Salomon Brothers is selected to manage the offerings from the investment banking side.
1978
John Gutfreund is named successor to Billy Salomon.
1980s
Throughout the 1980s, Salomon Brothers expands its role as an innovator within the financial industry. The highlights of this decade include:
Introduction of Collateralized Mortgage Obligations (CMOs).
The merger of Salomon Brothers with Philip Brothers – a marriage of "Salomon-ingenuity" and "Philip-cash" that gives Salomon Brothers leverage to make great headway into global investment banking, mortgage-backed securities, as well as other areas of opportunity.
The first public offering of "CARS" – a security backed by automobile loans.
Introduction of Salomon Brothers Broad Investment Grade Bond Index ("BIG").
Launch of the Salomon Brothers World Bond Index – a valuable tool used to measure returns of both single and multicurrency portfolios.
The deregulation of the capital markets within the United Kingdom, marking the beginning of unprecedented opportunities for firms prepared to make the most of them. Ultimately, Salomon joins the London Stock Exchange and becomes a primary dealer there.
The development of Sophisticated Analytical Applications, including Yield Book, a powerful fixed-income analytics system that provides Salomon Brothers with a competitive advantage in the area of bond portfolio analysis.
The 1990s
Deryck C. Maughan, former head of Tokyo operations, is named Chief Operating Officer in 1991. Warren Buffet, a director and the largest shareholder, is named Chairman and CEO in 1991, and Maughan becomes Chairman and CEO in 1992.
The firm’s commitment to computer technology and infrastructure takes a dramatic leap forward in the early part of the decade.
Salomon Brothers relocates all its support operations to Tampa, Florida, where it builds a 130,000-square-foot facility, housing state-of-the-art computer, electrical and telecommunications systems.
1997
November 26: Smith Barney, a wholly owned subsidiary of Travelers Group, merges with Salomon Inc. to form Salomon Smith Barney. The firm combines the fundamental strengths of two leaders in the financial community whose vast experience, breadth of resources and global intellectual capital positions it to be a market leader in the next millennium.
1998
October 8: Travelers Group and Citicorp merge to form Citigroup Inc., a global leader in financial services.
Subscribe to:
Posts (Atom)