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Shearson was the name of a series of
investment banking Investment banking pertains to certain activities of a financial services company or a corporate division that consist in advisory-based financial transactions on behalf of individuals, corporations, and governments. Traditionally associated with ...
and retail
broker A broker is a person or firm who arranges transactions between a buyer and a seller for a commission when the deal is executed. A broker who also acts as a seller or as a buyer becomes a principal party to the deal. Neither role should be con ...
age firms from 1902 until 1994, named for
Edward Shearson Edward Shearson (August 3, 1864 - October 30, 1950) was a banker, millionaire and founder of Shearson, Hammill & Co., which was among the largest brokerage and investment banking firms in the United States.Harrison, Mitchell C. ed.Prominent and pr ...
A thousand American Men of Mark of Today
20th Edition, 1917. p.323
and the firm he founded, Shearson Hammill & Co. Among Shearson's most notable incarnations were Shearson / American Express, Shearson Lehman / American Express, Shearson Lehman Brothers, Shearson Lehman Hutton and finally Smith Barney Shearson. For its first eight decades, the firm operated independently and merged with several
Wall Street Wall Street is an eight-block-long street in the Financial District of Lower Manhattan in New York City. It runs between Broadway in the west to South Street and the East River in the east. The term "Wall Street" has become a metonym for ...
securities firms including Hayden Stone & Co. and Loeb Rhoades & Co. In 1981, Shearson was acquired by
American Express American Express Company (Amex) is an American multinational corporation, multinational corporation specialized in payment card industry, payment card services headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Man ...
and operated as a subsidiary of the financial services company before being merged with
Lehman Brothers Kuhn Loeb Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
in 1984 and E.F. Hutton & Co. in 1988. In 1993, Shearson was sold to Primerica, a predecessor of
Citigroup Citigroup Inc. or Citi ( stylized as citi) is an American multinational investment bank and financial services corporation headquartered in New York City. The company was formed by the merger of banking giant Citicorp and financial conglomera ...
, and merged with its retail brokerage business,
Smith Barney Morgan Stanley Wealth Management is an American multinational financial services corporation specializing in retail brokerage. It is the wealth & asset management division of Morgan Stanley. On January 13, 2009, Morgan Stanley and Citigroup an ...
, to create ''
Smith Barney Shearson Smith may refer to: People * Metalsmith, or simply smith, a craftsman fashioning tools or works of art out of various metals * Smith (given name) * Smith (surname), a family name originating in England, Scotland and Ireland ** List of people ...
''. The Shearson name was discontinued in 1994.


History

Shearson Lehman Hutton was the result of the combination of several
Wall Street Wall Street is an eight-block-long street in the Financial District of Lower Manhattan in New York City. It runs between Broadway in the west to South Street and the East River in the east. The term "Wall Street" has become a metonym for ...
firms over a 25-year period beginning in the early 1960s that included
Lehman Brothers Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
, Kuhn Loeb,
E.F. Hutton EF Hutton was an American brokerage firm, stock brokerage firm founded in 1904 by Edward Francis Hutton and his brother, Franklyn Laws Hutton. Later, it was led by well known Wall Street trader Gerald M. Loeb. Under their leadership, EF Hutton b ...
, Hayden Stone & Co., Shearson, Hammill & Co., Loeb, Rhoades & Co.,
Hornblower & Company Hornblower & Weeks was an investment banking and brokerage firm founded by Henry Hornblower and John W. Weeks in 1888. At its peak in the late 1970s, Hornblower ranked eighth among member firms of the New York Stock Exchange in number of retai ...
, and
Cogan, Berlind, Weill & Levitt Cogan, Berlind, Weill & Levitt, originally Carter, Berlind, Potoma & Weill, was an American investment banking and brokerage firm founded in 1960 and acquired by American Express in 1981. In its two decades as an independent firm, Cogan, Berlin ...
, which ultimately came together under the ownership of
American Express American Express Company (Amex) is an American multinational corporation, multinational corporation specialized in payment card industry, payment card services headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Man ...
.


Shearson Hammill & Co. (1902–1974)

The Shearson name traces its origins to the formation of '' Shearson, Hammill & Co.'', a
Wall Street Wall Street is an eight-block-long street in the Financial District of Lower Manhattan in New York City. It runs between Broadway in the west to South Street and the East River in the east. The term "Wall Street" has become a metonym for ...
brokerage and investment banking firm founded in 1902 by
Edward Shearson Edward Shearson (August 3, 1864 - October 30, 1950) was a banker, millionaire and founder of Shearson, Hammill & Co., which was among the largest brokerage and investment banking firms in the United States.Harrison, Mitchell C. ed.Prominent and pr ...
and
Caleb Wild Hammill Caleb Wild Hammill (1863-1921) was one of the founders of the stockbrokerage and banking investment firm of Shearson, Hammill & Co., founded in 1902 by Mr. Hammill & Edward Shearson. It was in existence from 1902 to 1974 under that original name. ...
. The firm originally built its business as a stock
broker A broker is a person or firm who arranges transactions between a buyer and a seller for a commission when the deal is executed. A broker who also acts as a seller or as a buyer becomes a principal party to the deal. Neither role should be con ...
, as well as a broker of various
commodities In economics, a commodity is an economic good, usually a resource, that has full or substantial fungibility: that is, the market treats instances of the good as equivalent or nearly so with no regard to who produced them. The price of a co ...
, particularly grain and cotton. The firm was a member of the
New York Stock Exchange The New York Stock Exchange (NYSE, nicknamed "The Big Board") is an American stock exchange in the Financial District of Lower Manhattan in New York City. It is by far the world's largest stock exchange by market capitalization of its liste ...
, the
Chicago Stock Exchange NYSE Chicago, formerly known as the Chicago Stock Exchange (CHX), is a stock exchange in Chicago, Illinois, US. The exchange is a national securities exchange and self-regulatory organization, which operates under the oversight of the U.S. ...
and the
Chicago Mercantile Exchange The Chicago Mercantile Exchange (CME) (often called "the Chicago Merc", or "the Merc") is a global derivatives marketplace based in Chicago and located at 20 S. Wacker Drive. The CME was founded in 1898 as the Chicago Butter and Egg Board, an ...
. Before forming the firm, Shearson had served as comptroller of U.S. Steel and of Federal Steel Company before that. Shearson, who was raised in
Ontario, Canada Ontario ( ; ) is one of the thirteen provinces and territories of Canada.Ontario is located in the geographic eastern half of Canada, but it has historically and politically been considered to be part of Central Canada. Located in Central Ca ...
began his career as an auditor for the Wisconsin Central Railroad before taking a position in the steel industry in 1898. Shearson was an active member of New York society. Hammill, who was raised in
Albion, Michigan Albion is a city in Calhoun County in the south central region of the Lower Peninsula of the U.S. state of Michigan. The population was 8,616 at the 2010 census and is part of the Battle Creek Metropolitan Statistical Area. The earliest English ...
, moved first to Chicago and subsequently to New York in 1890. The firm was originally headquartered in the
Empire Building An empire is a "political unit" made up of several territories and peoples, "usually created by conquest, and divided between a dominant center and subordinate peripheries". The center of the empire (sometimes referred to as the metropole) ex ...
at
71 Broadway The Empire Building is an office skyscraper at 71 Broadway, on the corner of Rector Street, in the Financial District of Manhattan in New York City. It was designed by Kimball & Thompson in the Classical Revival style and built by Marc Eid ...
in
New York City New York, often called New York City or NYC, is the List of United States cities by population, most populous city in the United States. With a 2020 population of 8,804,190 distributed over , New York City is also the L ...
and maintained another main office in Chicago.Investment bankers and brokers of America
1922. p.247
By the end of
World War I World War I (28 July 1914 11 November 1918), often abbreviated as WWI, was List of wars and anthropogenic disasters by death toll, one of the deadliest global conflicts in history. Belligerents included much of Europe, the Russian Empire, ...
, Shearson Hammill had six branch offices and seven correspondents. In the 1960s, Shearson, Hammill became well known for its commercials that suggested "If You Want To Know What’s Going On On Wall Street, Ask Shearson Hammill". The firm had 63 offices in the US and internationally supported by a well-regarded securities research department.


Shearson Hayden Stone (1974–1979)

In the early 1970s, Shearson faced financial difficulties as did many of the venerable Wall Street firms in the midst of the
1973–1974 stock market crash The 1973–1974 stock market crash caused a bear market between January 1973 and December 1974. Affecting all the major stock markets in the world, particularly the United Kingdom, it was one of the worst stock market downturns since the Great ...
. In response to the crisis, Shearson laid off a large portion of its staff in 1973. Meanwhile, through the 1960s and 1970s,
Sanford I. Weill Sanford I. "Sandy" Weill (; born March 16, 1933) is an American banker, financier and philanthropist. He is a former chief executive and chairman of Citigroup. He served in those positions from 1998 until October 1, 2003, and April 18, 2006, resp ...
, the chairman of the up-and-coming
Cogan, Berlind, Weill & Levitt Cogan, Berlind, Weill & Levitt, originally Carter, Berlind, Potoma & Weill, was an American investment banking and brokerage firm founded in 1960 and acquired by American Express in 1981. In its two decades as an independent firm, Cogan, Berlin ...
, had been acquiring many of Wall Streets oldest and most venerable investment banking and brokerage firms. By 1973, Weill's firm was known as
Hayden Stone, Inc. Hayden, Stone & Co. was a major securities firm founded in 1892 by Charles Hayden and Galen L. Stone. The firm was acquired by Cogan, Berlind, Weill & Levitt in 1972 and, after its name disappeared in 1979, was part of what would become Shears ...
following
CBWL Cogan, Berlind, Weill & Levitt, originally Carter, Berlind, Potoma & Weill, was an American investment banking and brokerage firm founded in 1960 and acquired by American Express in 1981. In its two decades as an independent firm, Cogan, Berlind ...
's acquisition of Hayden, Stone & Co. Despite its strong retail brokerage business, Shearson's capital reserves were diminished and, by 1974, it was clear that Shearson did not have sufficient capital to survive as an independent firm, opting to merge with Weill's better capitalized
Hayden Stone, Inc. Hayden, Stone & Co. was a major securities firm founded in 1892 by Charles Hayden and Galen L. Stone. The firm was acquired by Cogan, Berlind, Weill & Levitt in 1972 and, after its name disappeared in 1979, was part of what would become Shears ...
The combined firm was renamed
Shearson Hayden Stone Shearson was the name of a series of investment banking and retail brokerage firms from 1902 until 1994, named for Edward ShearsonLoeb, Rhoades, Hornblower & Co., which like Shearson had been suffering financial difficulties and was looking for a potential acquiror. During Mothers Day Weekend in 1979, Shearson and Loeb agreed to an $83 million ($ million today) all-stock merger to form
Shearson Loeb Rhoades Shearson was the name of a series of investment banking and retail brokerage firms from 1902 until 1994, named for Edward ShearsonSanford I. Weill Sanford I. "Sandy" Weill (; born March 16, 1933) is an American banker, financier and philanthropist. He is a former chief executive and chairman of Citigroup. He served in those positions from 1998 until October 1, 2003, and April 18, 2006, resp ...
's
Shearson Loeb Rhoades Shearson was the name of a series of investment banking and retail brokerage firms from 1902 until 1994, named for Edward ShearsonHayden Stone, Inc. Hayden, Stone & Co. was a major securities firm founded in 1892 by Charles Hayden and Galen L. Stone. The firm was acquired by Cogan, Berlind, Weill & Levitt in 1972 and, after its name disappeared in 1979, was part of what would become Shears ...
merged with Shearson, Hammill & Co. in 1974 to form
Shearson Hayden Stone Shearson was the name of a series of investment banking and retail brokerage firms from 1902 until 1994, named for Edward ShearsonLoeb, Rhoades, Hornblower & Co. (formerly Loeb, Rhoades & Co. and Hornblower & Weeks) to form
Shearson Loeb Rhoades Shearson was the name of a series of investment banking and retail brokerage firms from 1902 until 1994, named for Edward ShearsonShearson Loeb Rhoades Shearson was the name of a series of investment banking and retail brokerage firms from 1902 until 1994, named for Edward ShearsonMerrill Lynch Merrill (officially Merrill Lynch, Pierce, Fenner & Smith Incorporated), previously branded Merrill Lynch, is an American investment management and wealth management division of Bank of America. Along with BofA Securities, the investment ba ...
as the securities
brokerage A broker is a person or firm who arranges transactions between a buyer and a seller for a commission when the deal is executed. A broker who also acts as a seller or as a buyer becomes a principal party to the deal. Neither role should be con ...
industry's largest firm. After its acquisition by American Express, the firm was renamed Shearson/American Express. After selling Shearson to American Express, Weill was given the position of president of American Express in 1983. The following year, Weill was named chairman and CEO of American Express's insurance subsidiary,
Fireman's Fund Insurance Company Fireman's Fund Insurance Company was an insurance company based in Petaluma, California which provided personal and commercial property and casualty insurance products in the United States. The company was a principal U.S. subsidiary of Allianz, ...
. Weill grew increasingly unhappy with responsibilities within American Express and his conflicts with American Express' CEO James D. Robinson III. Weill soon realized that he was not positioned to be named CEO and after the firm's merger with
Lehman Brothers Kuhn Loeb Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
, Weill chose to resign from American Express in August 1985. Weill would return to building a large financial services company of his own, which would become
Citigroup Citigroup Inc. or Citi ( stylized as citi) is an American multinational investment bank and financial services corporation headquartered in New York City. The company was formed by the merger of banking giant Citicorp and financial conglomera ...
and would go on to acquire the core Shearson brokerage business that he had built in the 1960s and 1970s.


Shearson Lehman Brothers

In 1984, American Express acquired the
investment banking Investment banking pertains to certain activities of a financial services company or a corporate division that consist in advisory-based financial transactions on behalf of individuals, corporations, and governments. Traditionally associated with ...
and trading firm,
Lehman Brothers Kuhn Loeb Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
, and added it to the Shearson family, creating Shearson Lehman/American Express.
Lehman Brothers Kuhn Loeb Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
, which itself was the merger of
Lehman Brothers Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
and Kuhn Loeb in 1977 was led by
Pete Peterson Douglas Brian "Pete" Peterson (born June 26, 1935) is an American politician and diplomat. He served as a United States Air Force pilot during the Vietnam War and spent over six years as a prisoner of the North Vietnamese army after his plane w ...
, a former
United States Secretary of Commerce The United States secretary of commerce (SecCom) is the head of the United States Department of Commerce. The secretary serves as the principal advisor to the president of the United States on all matters relating to commerce. The secretary rep ...
and future founder of the
Blackstone Group Blackstone Inc. is an American alternative investment management company based in New York City. Blackstone's private equity business has been one of the largest investors in leveraged buyouts in the last three decades, while its real estate bu ...
. However, by the early 1980s, hostilities between the firm's
investment banker Investment banking pertains to certain activities of a financial services company or a corporate division that consist in advisory-based financial transactions on behalf of individuals, corporations, and governments. Traditionally associated with ...
s and traders, who were driving most of the firm's profits, prompted Peterson to promote
Lewis Glucksman Lewis L. Glucksman (December 22, 1925 – July 5, 2006) was a former Lehman Brothers trader and former chief executive officer and chairman of Lehman Brothers, Kuhn, Loeb Inc. Early life and education Glucksman was born into a second generat ...
, the firm's President, COO and former trader, to be his co-CEO in May 1983. Glucksman introduced a number of changes that had the effect of increasing tensions. Coupled with Glucksman’s management style and a downturn in the markets, these tensions resulted in a power struggle that ousted Peterson and left Glucksman as the sole CEO.Geisst, Charles R. ''The Last Partnerships''. McGraw-Hill, 1997, page 78 Upset bankers who had soured over the power struggle left the company. The company suffered under the disintegration, and Glucksman was pressured into selling the firm. After the merger,
Peter A. Cohen Peter A. Cohen is the chairman and CEO of Andover National Corporation, a public holding company. He was formerly the chairman and CEO of Cowen Inc., also known as Cowen & Company. Prior to his current role, Cohen founded Ramius Capital Managemen ...
was named Chairman and CEO of Shearson Lehman, During this period, Shearson Lehman was aggressive in building its
leveraged finance A leveraged buyout (LBO) is one company's acquisition of another company using a significant amount of borrowed money ( leverage) to meet the cost of acquisition. The assets of the company being acquired are often used as collateral for the loa ...
business in the model of rival
Drexel Burnham Lambert Drexel Burnham Lambert was an American multinational investment bank that was forced into bankruptcy in 1990 due to its involvement in illegal activities in the junk bond market, driven by senior executive Michael Milken. At its height, it was ...
. In 1989, Shearson backed F. Ross Johnson's management team in its attempted
management buyout A management buyout (MBO) is a form of acquisition in which a company's existing managers acquire a large part, or all, of the company, whether from a parent company or individual. Management-, and/or leveraged buyout became noted phenomena o ...
of RJR Nabisco but were ultimately outbid by private equity firm
Kohlberg Kravis Roberts KKR & Co. Inc., also known as Kohlberg Kravis Roberts & Co., is an American global investment company that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate, credit, and, through its strate ...
, who were backed by Drexel. In 1984, Shearson/American Express purchased the 90-year-old
Investors Diversified Services Ameriprise Financial, Inc. is a diversified financial services company and bank holding company incorporated in Delaware and headquartered in Minneapolis, Minnesota. It provides financial planning products and services, including wealth mana ...
, bringing with it a fleet of financial advisors and investment products.


Shearson Lehman Hutton

In 1988, Shearson Lehman acquired E.F. Hutton & Co., a brokerage firm founded in 1904 by Edward Francis Hutton and his brother
Franklyn Laws Hutton EF Hutton was an American stock brokerage firm founded in 1904 by Edward Francis Hutton and his brother, Franklyn Laws Hutton. Later, it was led by well known Wall Street trader Gerald M. Loeb. Under their leadership, EF Hutton became one of ...
. Under the Hutton brothers and later
Robert M. Fomon Robert Michael Fomon (January 3, 1925 – May 31, 2000) was an American financier who was Chairman and Chief Executive Officer of E. F. Hutton & Co. from 1970 to 1987, a governor of the New York Stock Exchange, and Chairman of the Board of Gov ...
and the well-known Wall Street trader
Gerald M. Loeb Gerald Martin Loeb (July 24, 1899 – April 13, 1974) was a founding partner of E.F. Hutton & Co., a renowned Wall Street trader and brokerage firm. He was the author of the books ''The Battle For Investment Survival'' and ''The Battle For Stock ...
, E.F. Hutton became one of the largest brokerage firms in the U.S. Hutton was best known for its commercials in the 1970s and 1980s that used the phrase, "When E. F. Hutton talks, people listen". In the 1980s, Hutton was caught up in a number of difficulties that ultimately led the firm to seek a buyer. Hutton's most serious trouble came from a
check kiting Check kiting or cheque kiting (see spelling differences) is a form of check fraud, involving taking advantage of the float to make use of non-existent funds in a checking or other bank account. In this way, instead of being used as a negotiabl ...
scandal that was uncovered in 1985. Hutton branches were writing checks against accounts at various regional banks and then funding those accounts with checks from yet other banks. This strategy, known as "chaining," gave Hutton the use of money in both accounts until the checks cleared. In effect, Hutton was giving itself a free loan that also did not carry any interest. In early 1987, an internal Hutton probe revealed that brokers at an office in
Providence, Rhode Island Providence is the capital and most populous city of the U.S. state of Rhode Island. One of the oldest cities in New England, it was founded in 1636 by Roger Williams, a Reformed Baptist theologian and religious exile from the Massachusetts ...
, laundered money for the
Patriarca crime family The Patriarca crime family (, ), also known as the New England Mafia, the Boston Mafia, the Providence Mafia, or The Office is an Italian-American American Mafia, Mafia crime family, family in New England. It has two distinct factions, one based ...
. Although Hutton reported the investigation to the SEC, it was not enough to stop prosecutors from all but announcing that Hutton would be indicted. This last scandal was uncovered only a week before the 1987 stock market crash. By the end of November 1987, Hutton had lost $76 million, largely due to massive trading losses and margin calls that its customers could not meet. On December 3, 1987, Hutton agreed to a merger with Shearson Lehman in a $1 billion ($ today) deal. The merger took effect in 1988, and the merged firm was named Shearson Lehman Hutton, Inc. Following the merger, dozens of Hutton brokers left the firm to join competitors. At the same time, the combined firm suffered dwindling business from individual investors as its focus was shifted to large corporate transactions.Vanities on The Bonfire: Peter Cohen
Time, February 12, 1990
The Hutton brand was used until 1990, when American Express abandoned the name and the business was renamed Shearson Lehman Brothers.
Joe Plumeri Joseph J. Plumeri II (born July 7, 1943) is vice chairman of the First Data Board of Directors. He was the chairman and CEO of Willis Group Holdings (Willis), a New York Stock Exchange-listed insurance broker, until July 2013. The company has ...
became the President & Managing Partner of Shearson Lehman Brothers in 1990. In 1992, Shearson sold the Boston Company, an asset management group, to
Mellon Financial Mellon Financial Corporation was an investment firm which was once one of the world's largest money management firms. Based in Pittsburgh, Pennsylvania, it was in the business of institutional and high-net-worth individual asset management, incl ...
. In December 1988, the Boston Company, had disclosed that it had overreported its earnings by $30 million.


Sale and spinoff

When
Harvey Golub Harvey Golub (born April 16, 1939) is an American businessman. Biography Born to a Jewish family, Golub attended Cornell University and received a Bachelor of Science from the New York University. He worked as a senior partner with McKinsey ...
became CEO of American Express in 1993, he negotiated the sale of Shearson's retail brokerage and
asset management Asset management is a systematic approach to the governance and realization of value from the things that a group or entity is responsible for, over their whole life cycles. It may apply both to tangible assets (physical objects such as buildings ...
business to Primerica. Primerica's
Sanford I. Weill Sanford I. "Sandy" Weill (; born March 16, 1933) is an American banker, financier and philanthropist. He is a former chief executive and chairman of Citigroup. He served in those positions from 1998 until October 1, 2003, and April 18, 2006, resp ...
had been the architect of what had become Shearson/American Express in the 1960s and 1970s building up his small firm
Cogan, Berlind, Weill & Levitt Cogan, Berlind, Weill & Levitt, originally Carter, Berlind, Potoma & Weill, was an American investment banking and brokerage firm founded in 1960 and acquired by American Express in 1981. In its two decades as an independent firm, Cogan, Berlin ...
into one of the largest brokerage firms in the US. The Shearson business was merged with Primerica's
Smith Barney Morgan Stanley Wealth Management is an American multinational financial services corporation specializing in retail brokerage. It is the wealth & asset management division of Morgan Stanley. On January 13, 2009, Morgan Stanley and Citigroup an ...
to create
Smith Barney Shearson Smith may refer to: People * Metalsmith, or simply smith, a craftsman fashioning tools or works of art out of various metals * Smith (given name) * Smith (surname), a family name originating in England, Scotland and Ireland ** List of people ...
. Ultimately, the Shearson name was dropped in 1994. In 1994, American Express spun off of the remaining investment banking and institutional businesses as
Lehman Brothers Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
. In 2008, the
bankruptcy of Lehman Brothers The bankruptcy of Lehman Brothers on September 15, 2008, was the climax of the subprime mortgage crisis. After the financial services firm was notified of a pending credit downgrade due to its heavy position in subprime mortgages, the Federal ...
ended that firm.


The Shearson name over time

* Shearson Hammill & Co., 1901–1974, an investment banking and brokerage firm founded by Edward Shearson *Shearson Hayden Stone, 1974–1979, formed through the merger of Shearson, Hamill and Hayden, Stone & Co. *Shearson Loeb Rhoades, 1979–1981, formed through the merger of Shearson Hayden Stone and Loeb Rhoades & Co. *Shearson/American Express, 1981–1984, formed through the acquisition of Shearson Loeb Rhoades by
American Express American Express Company (Amex) is an American multinational corporation, multinational corporation specialized in payment card industry, payment card services headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Man ...
*Shearson Lehman/American Express, 1984–1988, formed through the acquisition of
Lehman Brothers Kuhn Loeb Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
*Shearson Lehman Hutton, 1988–1990, formed through the acquisition of E.F. Hutton & Co. *Shearson Lehman Brothers, 1990–1993 *Smith Barney Shearson, 1993–1994, formed through the acquisition of Shearson by Primerica in 1993 and merger with its
Smith Barney Morgan Stanley Wealth Management is an American multinational financial services corporation specializing in retail brokerage. It is the wealth & asset management division of Morgan Stanley. On January 13, 2009, Morgan Stanley and Citigroup an ...
unit, prior to the discontinuation of the Shearson name


Acquisition history

The following is an illustration of the company's major mergers and acquisitions and historical predecessors (this is not a comprehensive list):"Salomon Smith Barney" from Gambee, Robert.
Wall Street
'. W. W. Norton & Company, 1999. p.73


Notable former employees

*
Richard Donchian Richard Davoud Donchian (September 1905, in Hartford, Connecticut – April 24, 1993, in Fort Lauderdale, Florida) was an American commodities and futures trader, and a pioneer in the field of managed futures. The first publicly managed ...
, commodities and futures trader *
Elaine Garzarelli Elaine M. Garzarelli (born ) is an American financial analyst. Biography Garzarelli was born in Pennsylvania, United States, North America. Garzarelli received her undergraduate degree from the Drexel Institute of Technology in 1969. She went on t ...
, stock research analyst credited with predicting the Black Monday stock market crash of 1987 *Stacy Johnson, author and host of Money Talks *
Frederick H. Joseph Frederick H. "Fred" Joseph (1937—2009) was the former president and chief executive officer of the investment bank Drexel Burnham Lambert during the 1980s. Biography ''The Wall Street Journal'' noted that he was, "The son of an orthodox Jewish ...
, former CEO of
Drexel Burnham Lambert Drexel Burnham Lambert was an American multinational investment bank that was forced into bankruptcy in 1990 due to its involvement in illegal activities in the junk bond market, driven by senior executive Michael Milken. At its height, it was ...
, co-founder of Morgan Joseph *
Joe Plumeri Joseph J. Plumeri II (born July 7, 1943) is vice chairman of the First Data Board of Directors. He was the chairman and CEO of Willis Group Holdings (Willis), a New York Stock Exchange-listed insurance broker, until July 2013. The company has ...
, Citigroup executive, Chairman & CEO of
Willis Group Holdings Willis Group Holdings plc was a multinational risk advisor, insurance brokerage and reinsurance brokerage company with its headquarters in the Willis Building in London until its merger of equals with financial services company Towers Watson ...
, and owner of the
Trenton Thunder The Trenton Thunder are a collegiate summer baseball team of the MLB Draft League. They are located in Trenton, New Jersey, and play their home games at Trenton Thunder Ballpark. From 1994 to 2020, it was a Minor League Baseball team of the ...
*
Peter Schiff Peter David Schiff (; born March 23, 1963) is an American stock broker, financial commentator, and radio personality. He is CEO and chief global strategist of Euro Pacific Capital Inc., a broker-dealer based in Westport, Connecticut. He is also ...
*
Edward Shearson Edward Shearson (August 3, 1864 - October 30, 1950) was a banker, millionaire and founder of Shearson, Hammill & Co., which was among the largest brokerage and investment banking firms in the United States.Harrison, Mitchell C. ed.Prominent and pr ...
, founder *
Randolph L. Speight Randolph L. Speight (31 August 1919 – 19 February 1999) was an American jurist and director of the Pioneer Fund. He was a partner at Shearson Hamill. He also worked at Brown, Harris, Stevens. A resident of Smith's Parish, Bermuda Smit ...
*
Sanford I. Weill Sanford I. "Sandy" Weill (; born March 16, 1933) is an American banker, financier and philanthropist. He is a former chief executive and chairman of Citigroup. He served in those positions from 1998 until October 1, 2003, and April 18, 2006, resp ...
, CEO of
Citigroup Citigroup Inc. or Citi ( stylized as citi) is an American multinational investment bank and financial services corporation headquartered in New York City. The company was formed by the merger of banking giant Citicorp and financial conglomera ...
who consolidated numerous investment banking firms under the Shearson brand before selling the company to
American Express American Express Company (Amex) is an American multinational corporation, multinational corporation specialized in payment card industry, payment card services headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Man ...
*Ben Habib, CEO of First Property Group plc


See also

*
American Express American Express Company (Amex) is an American multinational corporation, multinational corporation specialized in payment card industry, payment card services headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Man ...
*
Lehman Brothers Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, ...
* E. F. Hutton & Co. * Hayden Stone & Co. * Shearson, Hammill & Co.


References


CREATING A WALL STREET GIANT – For Weill, It's Doubly Sweet Deal
LA Times, March 13, 1993

Funding Universe {{refend Lehman Brothers American Express Defunct financial services companies of the United States Financial services companies established in 1981 Financial services companies disestablished in 1994 Former investment banks of the United States Shearson Lehman/American Express Primerica