State Street Corporation is a financial services and bank holding company headquartered in One Lincoln Street in Boston with operations around the world. This is the 2nd US bank on the list of the oldest banks in sustainable operations; its predecessor, Union Bank, was founded in 1792. It is one of the largest asset management companies in the world with US $ 2.78 trillion managed and US $ 33.12 trillion under custody and administration.
The company is ranked 271 in Fortune 500.
The company is on a list of banks that are too large to fail to publish by the Financial Stability Board.
The company is named after the State Road in Boston, known as the "Great Street to the Sea" in the 18th century as Boston became a developing maritime capital. The company's logo includes a clipper to reflect the maritime industry in Boston over the years.
Video State Street Corporation
Current operation
Service investment: Global Road Service Country
State Street Bank and Trust Company, also known as Global Services, is the State Street investment services division. It provides asset owners and managers with custodial bank services (storage, corporate action), calculation of funds (pricing and valuation), and administration (financial reporting, taxes, compliance and legal) services. Global Services handles assets of many classes, including equities, derivatives, exchange-traded funds, fixed income assets, private equity, and real estate. State Street manages 40% of assets under administration in the US mutual fund market. Global Services also provides outsourcing for operations and handles office assets of $ 10.2 trillion.
Investment management: Street Street Global Advisor
State Street Global Advisors returned to 1978. It provided asset management, investment management, research, and consulting services for companies, mutual funds, insurance companies, and other institutional investors. Global Advisors develops passive management and active management strategies using quantitative and fundamental approaches.
In 1993, the company created SPDR S & amp; P 500 Trust ETF, the first exchange-traded fund (ETF), and now one of the largest ETF providers in the world.
Global Street Market Country
Global Markets is a State Street securities business. It offers research, trade, and securities loan services for foreign exchange, stocks, fixed income, and derivatives. To avoid a conflict of interest, the company does not run exclusive trading books. Global Markets maintains trading desks in Boston, London, Sydney, Toronto and Tokyo.
Maps State Street Corporation
History
The company is rooted in Union Bank, which received the charter in 1792 from Massachusetts Governor John Hancock. It was the third bank rented in Boston and his office was on the corner of State and Exchange Streets. In 1865, Union Bank accepted the national charter and became the National Union Bank of Boston. The bank then builds its headquarters on the streets of Washington and State.
State Street Deposit & amp; Trust Co. opened in 1891. Became the first US mutual fund trustee in 1924, Massachusetts Investors Trust (now MFS Investment Management).
20th century
State Street and the National Union merged in 1925. This merger gives the entity its current position among the oldest bank in the United States.
The company joined the Second National Bank in 1955 and with the Rockland-Atlas National Bank in 1961.
In 1966, the company completed the construction of the State Bank Street Building, the new headquarters building, the first office tower in downtown Boston.
In 1972, the company opened its first international office in Munich.
In 1973, as a 50/50 joint venture with DST Systems, the company formed Boston Financial Data Services, a shareholder listing, brokerage and investor service provider, and regulatory compliance. More than 100 top staff from IBM are employed by State Street for managing the implementation of IBM mainframe computer systems.
In 1975, William Edgerly became president and chief executive officer of the bank and changed the company's strategy of commercial banking into investment and securities processing.
During the 1980s and 1990s, the company opened offices in Montreal, Toronto, Dublin, London, Paris, Dubai, Sydney, Wellington, Hong Kong, and Tokyo.
In 1992, most of State Street's revenues came from the cost of holding securities, completing trades, keeping records, and doing accounting. In 1994, the company formed State Street Global Advisors, a global asset management business.
In 1999, the company sold its retail and commercial banking business to Citizens Financial Group.
In 1995, the company acquired Fiduciary Trust of Kansas City Investor for $ 162 million from DST Systems and Kemper Financial Services.
In 2002, the State Street Bank of Luxembourg was established, and by 2018 is the largest player in the state fund industry with assets.
In 2003, the company acquired Deutsche Bank's securities services division for $ 1.5 billion. The company also sold the company's trust business to US Bancorp for $ 725 million.
In 2003, the company sold its personal asset management business to U.S. Trust.
In July 2007, the company acquired Investors Bank & amp; Trust $ 4.5 billion.
In October 2008, the US Treasury invested $ 2 billion in the company as part of the Troubled Asset Relief Program and in July 2009, it became the first major financial firm to pay back the Treasury Department.
In 2010, the company acquired Mourant International Finance Administration. It also acquired Intesa Sanpaolo securities group for $ 1.87 billion.
In December 2010, the company announced that it would reduce 5% of its workforce and effectively reduce the hourly wage of its remaining employees by 10% through the increase in standard work hours.
In November 2011, the company was named one of 29 systemic banks in the world.
In 2012, the company acquired Goldman Sachs Administration Services, a hedge fund administrator, for $ 550 million.
In November 2014, the company sold SSARIS Advisers, a hedge fund unit, to senior management.
In July 2016, the company acquired General Electric's asset management business.
In 2016, State Street launched a program called Beacon, focusing on cutting costs and improving reporting technology.
In 2017, the company announced that Jay Hooley, the company's chief executive officer, will retire.
Controversy
Currency trading fraud
In 2009, California was allegedly on behalf of CalPERS and CalSTRS pension funds that State Street had committed fraud on currency trading handled by custodian banks. In October 2011 two executives from State Street Global Markets left the company following allegations over the price of a fixed income transaction. In April 2016, they were sued by the United States Department of Justice.
Do not reveal short positions
On February 28, 2012, State Street Global Advisors signed a letter of approval with the Securities Division of Massachusetts. The division is investigating the role of SSGA as an investment manager of a $ 1.65 billion (USD) collateral debt bond. Investigations resulted in a $ 5 million (USD) penalty for non-disclosure of certain initial investors taking short positions on the part of the CDO.
During the annual shareholders' meeting in May 2012, chairman and chief executive Jay Hooley was shouted repeatedly by protesters in connection with outsourcing and other complaints.
Secret commissions
On January 18, 2017, State Street agreed to pay $ 64.6 million to complete a US investigation into what the prosecutor said as a scheme to deceive six clients through a secret commission of billions of dollars in trade. Statue
Fearless Girl
In March 2017, State Street Global Advisors commissioned a statue named Fearless Girl by Christian Visbal and placed it temporarily in the Financial District, Manhattan, in front of the Wall Street icon Charging Bull . The statue is an advertisement for index funds composed of various gender companies that have a higher percentage of women among their senior leaders. Although some see it as a women's encouragement in business, some women criticize the statue as "corporate feminism" that violates their own feminist principles. In October 2017, the company paid $ 5 million to settle lawsuits that have paid certain female and African-American executives fewer than their male and European-American counterparts.
See also
State Street Bank & amp; Trust Co. v. Signature Financial Group, Inc. is a case in which the United States Court of Appeals for the Federal Circuit decided on July 23, 1998 that computer algorithms could be patented as far as the resulting "useful, concrete and real results" were produced.
References
External links
Archive and recording
- Note State Street Bank at Harvard Business School.
Source of the article : Wikipedia
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