Fenner & Beane
| Company type | Private |
|---|---|
| Industry | Brokerage |
| Founded | 1916 |
| Founder | Alpheus Crosby ("Alph") Beane, Charles E. Fenner, and others |
| Defunct | 1941 |
| Fate | Merged with Merrill Lynch, E.A. Pierce and Cassatt to form Merrill Lynch, Pierce, Fenner & Beane |
| Headquarters | New Orleans , United States |
Area served | Southern and Midwestern United States |
Key people | Alpheus Crosby ("Alph") Beane, Charles E. Fenner |
| Products | Brokerage services, commodities trading (grain and cotton futures) |
Fenner & Beane was a brokerage company headquartered in New Orleans, Louisiana. Initially established in 1916 under the name Fenner, Gatling & Beane, it adopted its later name in 1919. The firm had its roots in the Beane Brothers, cotton merchants from New Orleans, created to handle risks associated with commodity pricing.
History
The original entity, Beane Brothers, was founded in the early 20th century by Alpheus Crosby ("Alph") Beane along with his siblings Frank E. Beane Jr. and William Sterling Robert Beane. Specializing in cotton trading, the company maintained offices in both Columbus, Georgia and New Orleans. Around 1915, Beane Brothers ceased operations, leading Alph Beane to establish Fenner, Gatling & Beane the following year.
Charles E. Fenner, a partner in the firm, hailed from a distinguished New Orleans lineage; one of his relatives held a position on the Louisiana Supreme Court. Throughout the 1920s, the company experienced significant growth across the Southern and Midwestern United States, focusing on commodities trading with an emphasis on futures contracts for grain and cotton. It secured memberships on commodity exchanges located in New Orleans, Chicago, and Memphis.
By the 1930s, Fenner & Beane had become the nation's second-largest brokerage firm despite a downturn in trading activity during the Great Depression. Following Alph Beane's passing in 1937, Charles Fenner and Alph's son began negotiating a merger with Merrill Lynch. This agreement was completed in August 1941, resulting in the creation of Merrill Lynch, Pierce, Fenner & Beane. The extended corporate title led to nicknames such as "We the people" and "The thundering herd."
Alph Beane’s son entered Fenner & Beane in 1931 and dedicated more than 25 years to the company and subsequently Merrill Lynch before founding his own enterprise, which was eventually acquired by Reynolds & Company.
Merger
In 1941, Fenner & Beane combined with Merrill Lynch, E.A. Pierce and Cassatt to establish Merrill Lynch, Pierce, Fenner & Beane. Later in 1957, "Beane" was replaced by "Smith" in recognition of Winthrop H. Smith’s long-standing executive role within the organization.