Prudential closes research operations

Prudential Financial today announced that it would close its equity research and trading business, with a loss of some 420 jobs.
JUN 06, 2007
By  Bloomberg
Prudential Financial today announced that it would close its equity research and trading business business, Prudential Equity Group. The group will drop coverage of all the companies it covers and shut down offices across the globe causing some 420 employees to lose their jobs. Prudential’s latest move marks its exit from the securities industry. The insurance giant made its Wall Street debut in 1981, upon acquiring retail brokerage Bache Halsey Stuart Shields and forming Prudential-Bache Securities, according to Reuters. Prudential had been losing ground, unable to keep up in the research and trading businesses, a Prudential spokeswoman told Reuters. Just this March, Prudential lost analyst Michael Mayo and his research team to Deutsche Bank. Prudential started trimming costs in its trading business in 2003 with the sale of its retail brokerage and investment banking units to Wachovia, forming Wachovia Securities.

Latest News

Maryland bars advisor over charging excessive fees to clients
Maryland bars advisor over charging excessive fees to clients

Blue Anchor Capital Management and Pickett also purchased “highly aggressive and volatile” securities, according to the order.

Wave of SEC appointments signals regulatory shift with implications for financial advisors
Wave of SEC appointments signals regulatory shift with implications for financial advisors

Reshuffle provides strong indication of where the regulator's priorities now lie.

US insurers want to take a larger slice of the retirement market through the RIA channel
US insurers want to take a larger slice of the retirement market through the RIA channel

Goldman Sachs Asset Management report reveals sharpened focus on annuities.

Why DA Davidson's wealth vice chairman still follows his dad's investment advice
Why DA Davidson's wealth vice chairman still follows his dad's investment advice

Ahead of Father's Day, InvestmentNews speaks with Andrew Crowell.

401(k) participants seek advice, but few turn to financial advisors
401(k) participants seek advice, but few turn to financial advisors

Cerulli research finds nearly two-thirds of active retirement plan participants are unadvised, opening a potential engagement opportunity.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today’s choppy market waters, says Myles Lambert, Brighthouse Financial.

SPONSORED Beyond the dashboard: Making wealth tech human

How intelliflo aims to solve advisors' top tech headaches—without sacrificing the personal touch clients crave