Bache & Co. was one of the leading brokerage firms in the United States. It was incorporated in the year 1879 in New York City, New York. At the time of its inception, the firm was known as Leopold Cahn & Co. Bache & Co. started its operations in the form of a stock brokerage firm and investment bank.
Over the years, the company has witnessed several developments. In the year 1892, Bache & Co. was regrouped as J.S. Bache & Co. The initiative was taken by Jules S. Bache, who was the nephew of Leopold Cahn, as well as an employee of the firm. During his successful stint of more than 50 years, the company became one of the best performing stock brokerage firms in the United States.
During its initial years, the company expanded considerably. In the year 1890, an expansion took place in the operations of the company. A second office was opened in the city of New York and a branch office was opened in Albany. It is regarded as the first branch office set up by a brokerage house, which had a direct wire connection with its headquarters.
In the early years, the reputed clients of J.S. Bache & Co. included the following famous personalities:
Edward H. Harriman
John D. Rockefeller, Sr.
In the earlier part of the twentieth century, the brokerage firm was able to achieve the position of a market leader in the field of commodity trading.
In the 1920s, the brokerage firm played an important role in funding mining and automobile industries and railroads. It achieved the top rank among the shareholders of the Great Western Railway, Chicago, and it was also the regulator of the Ann Arbor Railroad. Bache & Co. played a significant role in the incorporation and early development of Chrysler Corporation.
Bache & Co. is also known for the introduction of the first employee profit-sharing plan in the history of Wall Street.
After the demise of Jules S. Bache in 1944, Harold L. Bache, who was his nephew, became the head of the organization and the name of the company was changed to Bache & Company.
Bache & Co. was the first financial institution to invest in Japan after the Second World War. One of the most important initiatives taken was the establishment of Japan Fund (a Japanese mutual fund). In the 1950s, the company took a patronizing role in expanding the US stock brokerage functions overseas. Bache & Co. was ranked as the second principal brokerage house to become public in the year 1971. In 1974, the company witnessed further expansion and acquired Halsey, Stuart & Co., an investment banking firm based in Chicago.
Prudential Financial acquired Bache Halsey Stuart Shields Incorporated in 1981 for a sum of $385 million. In 1991, Prudential changed the name of the company to Prudential Securities. The retail brokerage was united with that of Wachovia Corporation’s in 2003 to create the Wachovia Securities. However, the name Bache was not used. In the year 2003, the two units were re-branded by Prudential Financial to establish the Prudential Bache. Jefferies Group, Inc acquired Prudential Bache in 2011 and re-branded it Jefferies Bache.
portant initiatives taken was the establishment of Japan Fund (a Japanese mutual fund). In the decade of 1950s, the company took a patronizing role in expanding the U.S. stock brokerage functions overseas.
Bache & Co. ranked as the second principal brokerage house to become public in the year 1971.
The main subsidiary company of Bache & Co, Bache Halsey Stuart Shields Incorporated is the member of 59 options, commodities, and securities exchanges of Canada, United States, and abroad. The company has 176 offices in 143 locations of 11 countries and Puerto Rico and Virgin Islands.
Last Updated on : 19th Oct 2016