![]() Lucrative Trendsetting from the 1930s Through the 1960s: An almost legendary character, Lewis's outspokenness and drive were what gave Bear Stearns the style that made it stand out on Wall Street for decades to come. Lewis, who became a partner in 1938, a managing partner in the 1950s, and then chairman, built Bear Stearns into a large, influential firm. ![]() ![]() "Cy" Lewis, a former runner for Salomon Brothers, was hired to direct Bear Stearns's new institutional bond trading department. Bear Stearns made its first substantial profits by selling large volumes of these bonds to cash-rich banks around the country.īy 1933 the firm had grown from its original seven employees to 75, had opened its first regional office in Chicago (after buying out the Chicago-based firm of Stein, Brennan), and had accumulated a capital base of $800,000. As the country struggled out of the Depression, Bear Stearns entered into the bond market to promote President Franklin Roosevelt's call for renewed development of the nation's infrastructure through the New Deal.ĭuring the period following Roosevelt's reform measures, the nation's banking system had accumulated a large amount of cash, since demand for loans was very low. Though Bear Stearns suffered setbacks, it had accumulated enough capital to survive quite well: during this crisis it not only avoided any employee layoffs but continued to pay bonuses. Trading fell off sharply, of course, when the New York stock market crashed in 1929. The company began trading in government securities and soon became a leading trader in this area. World War I, with its heavy demand for capital, had encouraged the public to enter the securities markets in mass, and the young Bear Stearns prospered in the frenzied optimism of those markets. The original company was founded with $500,000 in capital in response to the thriving investment climate of the early 1920s. The company maintains offices in major cities all over the globe. Headquartered in New York, Bear Stearns today is a full service brokerage and investment banking firm focused on three core areas: capital markets, wealth management, and global clearing services. The partnership, in turn, was the successor to a company founded in 1923 by Joseph Bear, Robert Stearns, and Harold Mayer as an equity-trading house. Cayne succeeds Alan Greenberg as chairman.īear Stearns Companies, Inc., the holding company that owns Bear, Stearns & Company, Inc., was created on October 29, 1985, as the successor to Bear Stearns & Company and Subsidiaries, a partnership organized in 1957. Cayne succeeds Alan Greenberg as CEO Greenberg stays on as chairman.ġ999: Bear Stearns agrees to pay $42 million to settle civil and criminal fraud charges in connection with its role as clearing broker for A.R. "Cy" Lewis-future chairman-is hired to direct Bear Stearns's new institutional bond trading department.ġ955: Bear Stearns opens its first international office in Amsterdam.ġ965: Bear Stearns begins expanding retail operations in the United States and, over the next eight years, opens offices in San Francisco, Los Angeles, Dallas, Atlanta, and Boston.ġ978: Alan "Ace" Greenberg succeeds Lewis as chairman.ġ985: Bear Stearns forms a holding company called Bear Stearns Companies, Inc., goes public, and reorganizes from a brokerage house into a full-service investment firm.ġ992: Company earnings double to over $295 million for best year in Bear Stearns's history to date.ġ993: James E. Our clients enjoy the enduring continuity of personal relationships and the benefits of shared experience over time.ġ923: The original company is founded by Joseph Bear, Robert Stearns, and Harold Mayer as an equity trading house.ġ933: Bear Stearns opens its first regional office in Chicago, and Salim L. Our executives have a hands-on approach to running the company, guaranteeing that our most senior people work personally with clients. Clients can access the wealth of experience and depth of knowledge of our senior people while working closely with them to create custom solutions. What sets Bear Stearns apart from the competition is access and teamwork. Undoubtedly our greatest strengths are our people and our unique entrepreneurial corporate culture. NAIC: 523110 Investment Banking and Securities Dealing 523120 Securities Brokerage
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