Difference between revisions of "Wells Fargo & Co."

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(New page: __NOTOC__ {{Infobox_Company | company_name = Wells Fargo & Co. | company_logo = Image:WellsFargo.jpg | key_people = President and CEO John Stumpf | foundation = 1852 | location = ...)
 
 
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__NOTOC__
 
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{{Infobox_Company
 
{{Infobox_Company
 
| company_name = Wells Fargo & Co.
 
| company_name = Wells Fargo & Co.
| company_logo = [[Image:WellsFargo.jpg]]  
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| company_logo = [[Image:Wells-fargo 416x416.jpg|175px]]  
| key_people =  President and CEO John Stumpf
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| key_people =  C. Allen Parker, Interim CEO.
 
| foundation =  1852
 
| foundation =  1852
 
| location =  San Francisco
 
| location =  San Francisco
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| homepage=  https://www.wellsfargo.com
 
| homepage=  https://www.wellsfargo.com
 
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Wells Fargo is one of America's top-rated banks by both investment and employment analysts and currently ranks as the fifth-largest U.S. bank of its kind by assets. Wells Fargo is currently the darling of [[Wall Street]] after recently becoming one of the few U.S. financial institutions to outperform expectations following the 2007 credit crunch.
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Wells Fargo has historically been one of America's top-rated [[bank]]s by both [[investment]] and employment [[analyst]]s. It was one of the few U.S. [[financial institution]]s to outperform expectations following the 2007 [[credit crunch]]. The bank had about $1.9 trillion in assets as of December 31, 2018.
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However, Wells Fargo was enveloped in a scandal in September of 2016 when it was uncovered that some Wells Fargo bankers had opened secret, unauthorized credit card and deposit accounts for customers for at least five years beginning in 2011, in an attempt to meet their sales goals.<ref>{{cite web|url=http://www.nytimes.com/2016/09/21/business/dealbook/wells-fargo-ceo-john-stumpf-senate-testimony.html|name=Citing 'gutless Leadaership,' Senators Denounce Wells Fargo's John Stumpf|org=New York Times Dealbook|date=September 20, 2016}}</ref> The company received subpoenas from three different U.S. attorneys' offices in mid-September, and an investigation resulted in billions of dollars in fines and settlements.<ref>{{cite web|url=http://www.nytimes.com/2016/09/15/business/dealbook/wells-fargo-investigation.html|name=Wells Fargo Subpoenaed in Sham Account Case|org=The New York Times|date=September 20, 2016}}</ref> <ref>{{cite web|url=https://www.reuters.com/article/us-wells-fargo-ceo-idUSKCN1RA21G?utm_campaign=trueAnthem:+Trending+Content&utm_content=5c9e562c3ed3f000017222f7&utm_medium=trueAnthem&utm_source=twitter|name=Outsider CEO won't be an instant fix for Wells Fargo: analysts|org=Reuters|date=March 29, 2019}}</ref>
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Since the scandal, Wells Fargo & Co.'s reputation has suffered. The regulatory problems that developed claimed the jobs of two CEOs. The banks business lines have struggled as well amid declining revenues. Revenue fell in each of the bank's three business lines -- consumer banking, wholesale banking and wealth management -- in 2018. The bank's chief executive, [[Timothy J. Sloan]], stepped down in March of 2018 and the bank appointed C. Allen Parker, the former general counsel, as interim CEO. Wells Fargo hired [[Charles Scharf]] as CEO, starting in October 2019.<ref>{{cite web|url=https://www.thetradenews.com/bny-mellon-boss-charles-scharf-departs-named-ceo-wells-fargo/|name=BNY Mellon boss Charles Scharf departs, named CEO of Wells Fargo|org=The Trade|date=September 27, 2019}}</ref><ref>{{cite web|url=http://news.morningstar.com/all/dow-jones/us-markets/_201904101518/wells-fargo-struggles-to-regain-footing-wsj.aspx|name=Wells Fargo Struggles to Regain Footing|org=Wall Street Journal via Morningstar|date=April 10, 2019}}</ref> <ref>{{cite web|url=https://www.wsj.com/articles/wells-fargo-said-ceo-timothy-sloan-will-step-down-11553804261|name=Wells Fargo CEO Tim Sloan Steps Down|org=The Wall Street Journal|date=April 10, 2019}}</ref>
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[[Wells Fargo Securities, LLC]] is the name for the investment banking and capital markets division of Wells Fargo & Co.
  
 
== History ==
 
== History ==
Wells Fargo was formed in New York City in 1852 to operate banking and express delivery services in gold-rush California. By 1888 it was offering its famed 'ocean-to-ocean' service delivering valuable commodities across the continent via its iconic stagecoaches and pony express.<ref>{{cite web|url=http://www.wellsfargohistory.com/history/history.htm|name=Since 1852|org=Wells Fargo|date=August 7, 2008}}</ref> Today Wells Fargo operates around 3,300 bank branches and about 3,400 consumer-finance outlets in the west and midwest of the United States and is also an industry leader in Insurance brokerage, [[mutual funds]] and online services.<ref>{{cite web|url=http://www.hoovers.com/wells-fargo/--ID__58450--/free-co-profile.xhtml|name=Wells Fargo & Company|org=Hoovers.com|date=August 7, 2008}}</ref>
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Wells Fargo was formed in New York City in 1852 to operate banking and express delivery services in gold-rush California. By 1888, it was offering its famed 'ocean-to-ocean' service delivering valuable [[commodities]] across the continent via its iconic stagecoaches and pony express.<ref>{{cite web|url=http://www.wellsfargohistory.com/history/history.htm|name=Since 1852|org=Wells Fargo|date=August 7, 2008}}</ref> Today Wells Fargo operates around 3,300 bank branches and about 3,400 consumer-finance outlets in the West and Midwest of the United States and is also an industry leader in insurance brokerage, [[mutual funds]] and online services.<ref>{{cite web|url=http://www.hoovers.com/wells-fargo/--ID__58450--/free-co-profile.xhtml|name=Wells Fargo & Company|org=Hoovers.com|date=August 7, 2008}}</ref>
  
Wells Fargo is currently one of the financial world's most admired American banks based on its excellent financial track record. It is ranked the world 17th most-profitable corporation despite ranking 41st overall in [[revenue]] and has achieved the rare feat of increasing its [[dividend]] payment to shareholders for 20 consecutive years.<ref>{{cite web|url=https://www.wellsfargo.com/about/today1
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In 1905 Wells Fargo & Co’s Bank, San Francisco (as it was called since 1852), formally separated from Wells Fargo & Co Express. After surviving the 1906 San Francisco earthquake and fire, which devastated the city, Wells Fargo operated as a local commercial bank. In the 1960s it became a regional bank, and in the 1980s went state-wide in California.
|name=Wells Fargo Today: Company Overview|org=Wells Fargo|date=August 7, 2008}}</ref> Wells Fargo is also the only remaining U.S. bank to win a AAA rating from [[Moody's]] and [[Standard & Poor's]] and currently holds assets of $595 billion.
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In the 1990s and 2000s, the bank joined the merger craze, acquiring First Interstate Bancorp in 1995, Norwest in 1998, and a number of smaller, regional institutions. During the [[Credit Crisis of 2008]], Wells Fargo took over the troubled [[Wachovia Corporation]]. As of 2015, Wells Fargo is the 4th largest bank in the U.S., with $1.8 trillion in assets. The bank has approximately 265,000 employees, at 8700 locations in 36 countries, across our more than 90 businesses.<ref>{{cite web|url=https://www08.wellsfargomedia.com/assets/pdf/about/corporate/wells-fargo-today.pdf|name=Quarterly Fact Sheet|org=Wells Fargo|date=January 6, 2016}}</ref>
  
 
== Products and Services ==
 
== Products and Services ==
 
Wells Fargo is a diversified financial-services group best known for the following:
 
Wells Fargo is a diversified financial-services group best known for the following:
 
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* [[Retail]] and business banking
* Retail and business banking
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* [[Mortgage]] [[lend]]ing and servicing  
* Mortgage lending and servicing  
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* [[Insurance]] [[brokerage]]
* Insurance brokerage
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* [[Mutual fund]]s and [[asset management]]
* Mutual funds and asset management
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* Online banking and brokerage
 
* Online banking and brokerage
  
 
== Key People ==
 
== Key People ==
[[Image:JStumpf.jpg|float|left]] John Stumpf was named Wells Fargo's CEO in June 2007 -  succeeding his mentor, Richard M. Kovacevich<ref>{{cite web|url=http://marketplace.publicradio.org/display/web/2008/06/10/corneroffice_stumpf_bio/|name=John Stumpf bio|org=Marketplace|date=August 7, 2008}}</ref> -  after serving as the bank's president since August 2005. Stumpf joined Wells Fargo when the company he began his career with in 1982, Minnesota-based Norwest Bank, was acquired by Wells Fargo in 1998. After the Norwest takeover he was appointed head of Wells Fargo's Southwestern Banking Group and two years later was made head of a newly expanded Western Banking Group, covering 10 states. Two more years later, in 2002, Stumpf was appointed group executive vice president of community banking. He began his career at Norwest Bank in Minneapolis as a loan administrator before advancing to position of regional president of Norwest Bank Texas, where he served from 1994 to 1998. 
 
  
== Latest news ==
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*[[Charles Scharf]]], CEO
Wells Fargo recently became the toast of the markets after it turned in receord quarterly revenue and raised its dividend yet again despite a 21 percent profit fall due largely to the same credit losses hammering the entire banking sector.<ref>{{cite web|url=http://www.fool.com/investing/dividends-income/2008/07/17/wells-fargo-dominates.aspx|name=6 Recommendations|org=Motley Fool|date=August 7, 2008}}</ref> Despite being a major player in the residential mortgage and retail credit markets, Wells Fargo steered clear of the sub-prime lending and [[mortgage-backed securities]] that has caused much of the carnage.
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*[[John R. Shrewsberry]], Senior Executive Vice President, Chief Financial Officer
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*[[Patricia R. Callahan]], Executive Vice President, Office of Transition
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*[[David M. Carroll]], Senior Executive Vice President, Wealth, Brokerage & Retirement Services
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*[[David A. Hoyt]], Senior Executive Vice President, Wholesale Banking
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*[[Richard D. Levy]], Executive Vice President, Controller
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*[[Michael J. Loughlin]], Executive Vice President and Chief Risk Officer
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*[[Avid Modjtabai]], Executive Vice President, Technology & Operations
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*[[Mark C. Oman]], Senior Executive Vice President, Home and Consumer Finance
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*[[Kevin A. Rhein]], Executive Vice President, Card Services and Consumer Lending
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*[[James M. Strother]], Executive Vice President, General Counsel
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*[[Carrie L. Tolstedt]], Senior Executive Vice President, Community Banking
  
 
== References ==
 
== References ==
 
<references />
 
<references />
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[[Category:Banks]]
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[[Category:MarketsWiki Page of the Day]]

Latest revision as of 07:36, 27 September 2019

Wells Fargo & Co.
Wells-fargo 416x416.jpg
Founded 1852
Headquarters San Francisco
Key People C. Allen Parker, Interim CEO.
Employees 160,900
Products Diversified financial services
Website https://www.wellsfargo.com

Wells Fargo has historically been one of America's top-rated banks by both investment and employment analysts. It was one of the few U.S. financial institutions to outperform expectations following the 2007 credit crunch. The bank had about $1.9 trillion in assets as of December 31, 2018.

However, Wells Fargo was enveloped in a scandal in September of 2016 when it was uncovered that some Wells Fargo bankers had opened secret, unauthorized credit card and deposit accounts for customers for at least five years beginning in 2011, in an attempt to meet their sales goals.[1] The company received subpoenas from three different U.S. attorneys' offices in mid-September, and an investigation resulted in billions of dollars in fines and settlements.[2] [3]

Since the scandal, Wells Fargo & Co.'s reputation has suffered. The regulatory problems that developed claimed the jobs of two CEOs. The banks business lines have struggled as well amid declining revenues. Revenue fell in each of the bank's three business lines -- consumer banking, wholesale banking and wealth management -- in 2018. The bank's chief executive, Timothy J. Sloan, stepped down in March of 2018 and the bank appointed C. Allen Parker, the former general counsel, as interim CEO. Wells Fargo hired Charles Scharf as CEO, starting in October 2019.[4][5] [6]


Wells Fargo Securities, LLC is the name for the investment banking and capital markets division of Wells Fargo & Co.

History

Wells Fargo was formed in New York City in 1852 to operate banking and express delivery services in gold-rush California. By 1888, it was offering its famed 'ocean-to-ocean' service delivering valuable commodities across the continent via its iconic stagecoaches and pony express.[7] Today Wells Fargo operates around 3,300 bank branches and about 3,400 consumer-finance outlets in the West and Midwest of the United States and is also an industry leader in insurance brokerage, mutual funds and online services.[8]

In 1905 Wells Fargo & Co’s Bank, San Francisco (as it was called since 1852), formally separated from Wells Fargo & Co Express. After surviving the 1906 San Francisco earthquake and fire, which devastated the city, Wells Fargo operated as a local commercial bank. In the 1960s it became a regional bank, and in the 1980s went state-wide in California.

In the 1990s and 2000s, the bank joined the merger craze, acquiring First Interstate Bancorp in 1995, Norwest in 1998, and a number of smaller, regional institutions. During the Credit Crisis of 2008, Wells Fargo took over the troubled Wachovia Corporation. As of 2015, Wells Fargo is the 4th largest bank in the U.S., with $1.8 trillion in assets. The bank has approximately 265,000 employees, at 8700 locations in 36 countries, across our more than 90 businesses.[9]

Products and Services

Wells Fargo is a diversified financial-services group best known for the following:

Key People

References

  1. Citing 'gutless Leadaership,' Senators Denounce Wells Fargo's John Stumpf. New York Times Dealbook.
  2. Wells Fargo Subpoenaed in Sham Account Case. The New York Times.
  3. Outsider CEO won't be an instant fix for Wells Fargo: analysts. Reuters.
  4. BNY Mellon boss Charles Scharf departs, named CEO of Wells Fargo. The Trade.
  5. Wells Fargo Struggles to Regain Footing. Wall Street Journal via Morningstar.
  6. Wells Fargo CEO Tim Sloan Steps Down. The Wall Street Journal.
  7. Since 1852. Wells Fargo.
  8. Wells Fargo & Company. Hoovers.com.
  9. Quarterly Fact Sheet. Wells Fargo.