Arnhold and S. Bleichroder
Encyclopedia
Arnhold and S. Bleichroeder was a New York-based investment bank that remains as a fund management company under the control of the Arnhold family. The core constituent was of a merger between the banking firm of S. Bleichröder founded by Samuel Bleichröder in 1803 in Berlin
; whose bank maintained close contacts with the Rothschild family
acting as a branch office in Berlin of the Rothschilds' bank. and the banking firm of Gebr. Arnhold (Arnhold Brothers) founded in Dresden in 1864 which acquired S. Bleichroeder in 1931.
In the mid-19th century, S. Bleichröder achieved international prominence under the leadership of Samuel's eldest son, Gerson von Bleichröder
. Amongst other activities he managed the private banking transactions of Otto von Bismarck
and with the transfer of credits and/or placing of loans on behalf of the Prussian state and the German Empire. He was also a partner at the investment bank of the New York investment bank Ladenburg Thalmann
.
The other component of the current firm was Gebr. Arnhold (Arnhold Brothers) founded in 1864 in Dresden
. This was the banking firm of the Arnhold family, which also had major industrial interests in Germany. Gebr. Arnhold established an office in Berlin in 1912, and after World War I became active in London, Zurich, and New York.
In 1931, Gebr. Arnhold acquired S. Bleichröder. With the rise of Nazi persecution the firm’s activities were moved to New York City in 1937 and conducted business under the name of Arnhold and S. Bleichroeder, Inc.
According to its web site, in 1939 it pioneered global equity trading in the U.S.; in 1967, it launched first offshore fund under the First Eagle name and in 1987 launched first U.S. registered mutual fund, the First Eagle Fund of America.
In 2002, Natexis Banques Populaires, the investment banking arm of Banque Populaire, a French mutual bank, purchased the brokerage business of Arnhold & S Bleichroeder for $105 million. The broker's existing shareholders received a 2.6% stake in Natexis, and the company was renamed Natexis Bleichroeder. The asset management business, Arnhold & S Bleichroeder Advisors, was not part of the deal and continued to be operated through its parent, A&SB.Ref Subsequently, Arnhold and S. Bleichroeder Advisers was renamed First Eagle Investment Management, and as of Sept 2010, it held approximately US-$45 billion in assets under management
according to its web site, . It continues to be run by the Arnhold family, with John Arnhold having taken over from his father Henry Arnhold.
Berlin
Berlin is the capital city of Germany and is one of the 16 states of Germany. With a population of 3.45 million people, Berlin is Germany's largest city. It is the second most populous city proper and the seventh most populous urban area in the European Union...
; whose bank maintained close contacts with the Rothschild family
Rothschild family
The Rothschild family , known as The House of Rothschild, or more simply as the Rothschilds, is a Jewish-German family that established European banking and finance houses starting in the late 18th century...
acting as a branch office in Berlin of the Rothschilds' bank. and the banking firm of Gebr. Arnhold (Arnhold Brothers) founded in Dresden in 1864 which acquired S. Bleichroeder in 1931.
In the mid-19th century, S. Bleichröder achieved international prominence under the leadership of Samuel's eldest son, Gerson von Bleichröder
Gerson von Bleichröder
Gerson von Bleichröder was a Jewish German banker.Bleichröder was born in Berlin. He was the eldest son of Samuel Bleichröder, who founded the banking firm of S. Bleichröder in 1803 in Berlin...
. Amongst other activities he managed the private banking transactions of Otto von Bismarck
Otto von Bismarck
Otto Eduard Leopold, Prince of Bismarck, Duke of Lauenburg , simply known as Otto von Bismarck, was a Prussian-German statesman whose actions unified Germany, made it a major player in world affairs, and created a balance of power that kept Europe at peace after 1871.As Minister President of...
and with the transfer of credits and/or placing of loans on behalf of the Prussian state and the German Empire. He was also a partner at the investment bank of the New York investment bank Ladenburg Thalmann
Ladenburg Thalmann
Ladenburg Thalmann Financial Services, a NYSE Amex-listed company , is a diversified financial services company with two primary business lines: independent brokerage and advisory, and investment banking and capital markets...
.
The other component of the current firm was Gebr. Arnhold (Arnhold Brothers) founded in 1864 in Dresden
Dresden
Dresden is the capital city of the Free State of Saxony in Germany. It is situated in a valley on the River Elbe, near the Czech border. The Dresden conurbation is part of the Saxon Triangle metropolitan area....
. This was the banking firm of the Arnhold family, which also had major industrial interests in Germany. Gebr. Arnhold established an office in Berlin in 1912, and after World War I became active in London, Zurich, and New York.
In 1931, Gebr. Arnhold acquired S. Bleichröder. With the rise of Nazi persecution the firm’s activities were moved to New York City in 1937 and conducted business under the name of Arnhold and S. Bleichroeder, Inc.
According to its web site, in 1939 it pioneered global equity trading in the U.S.; in 1967, it launched first offshore fund under the First Eagle name and in 1987 launched first U.S. registered mutual fund, the First Eagle Fund of America.
In 2002, Natexis Banques Populaires, the investment banking arm of Banque Populaire, a French mutual bank, purchased the brokerage business of Arnhold & S Bleichroeder for $105 million. The broker's existing shareholders received a 2.6% stake in Natexis, and the company was renamed Natexis Bleichroeder. The asset management business, Arnhold & S Bleichroeder Advisors, was not part of the deal and continued to be operated through its parent, A&SB.Ref Subsequently, Arnhold and S. Bleichroeder Advisers was renamed First Eagle Investment Management, and as of Sept 2010, it held approximately US-$45 billion in assets under management
Assets under management
Assets under management is a financial term used denote the market value of funds being managed by a financial instutition on behalf of its clients, investors, depositors, etc. This metric is a sign of size and success against competition...
according to its web site, . It continues to be run by the Arnhold family, with John Arnhold having taken over from his father Henry Arnhold.
Notable employees and alumni
- George SorosGeorge SorosGeorge Soros is a Hungarian-American business magnate, investor, philosopher, and philanthropist. He is the chairman of Soros Fund Management. Soros supports progressive-liberal causes...
, worked there from 1963–1973. - Jim RogersJim RogersJames Beeland Rogers, Jr. is an American investor, author, and occasional financial commentator. He is currently based in Singapore. Rogers is the Chairman of Rogers Holdings and Beeland Interests, Inc...
, joined the firm in 1970 and left in 1973 to form the Quantum Fund with Soros reportedly because new brokerage firm regulation prevented them from getting a percentage of profits.