Harris, Forbes & Co.
| Company type | Division of Harris Bank |
|---|---|
| Industry | Investment banking |
| Predecessor | Harris Bank (investment banking division) |
| Founded | 1911 |
| Defunct | 1932 |
| Fate | Ceased operations due to Glass–Steagall Act; securities activities moved to First Boston Corporation |
| Successor | Chase Harris, Forbes; First Boston Corporation (securities activities) |
| Headquarters | Chicago , United States |
Harris, Forbes & Co. functioned as the investment banking division of Harris Bank, established in 1911. In 1930, it was purchased by Chase National Bank, resulting in the creation of Chase Harris, Forbes. The entity ceased operations in 1932 due to the mandates of the Glass–Steagall Act. Subsequently, Chase relocated its remaining securities activities to the newly established First Boston Corporation under the Bank of Boston, thereby enhancing that organization's municipal bond capabilities.
History
The company traces its roots back to N.W. Harris & Co., which was created in 1882 by Norman Wait Harris. This firm specialized in underwriting municipal bonds and was a trailblazer in investment banking outside of New York City. In 1907, Harris founded Harris Trust & Savings Bank, consolidating investment banking functions within it. The incorporation of Harris Forbes occurred in 1911. Among its partners was Wetmore Halsey, who later co-founded Halsey, Stuart & Co..
A 1929 Time article outlined the firm’s background as follows:
Starting in 1882 as N. W. Harris & Co., Norman Wait Harris operated from a modest Chicago office staffed by three employees and backed by $30,000 in capital. He was a pioneer in proactive bond salesmanship during an era when soliciting clients was generally viewed as improper, setting a precedent for future bond marketing strategies.
Harris concentrated on municipal bonds, anticipating early on the funding requirements of expanding municipalities for infrastructure projects such as schools, water systems, roadways, and sewage facilities. It is reported that nearly every U.S. city with a population exceeding 100,000 financed portions of its public infrastructure through bonds distributed by Harris, Forbes & Co. The firm eventually broadened its scope to include public utility financing.
See also
References
- Articles with short description
- JPMorgan Chase
- Defunct financial services companies of the United States
- Financial services companies established in 1911
- Financial services companies disestablished in 1932
- Former investment banks of the United States
- 1911 establishments in New York (state)
- 1932 disestablishments in New York (state)