Broker-Owned Vintage Stock and Bond Certificate

by Don Mesler (scripophile)

Introduction

Financial firms leave their footprints in mary forms--from weighty prospectuses to coffee cups, teddy bears, and other knick nacks.  One kind of memorabilia, not often thought of by collectors, are stocks and bonds owned by the firm.  These certificates are issued to the financial firm and they have their name on the face of the certificate.  Later, when the certificate is sold, the financial firm signs (endorses) the certificate on the back.

Certificate Acquired

Financial firms usually have many diverse operations:  Among them are:  as investors, as brokers, as financial planners, as custodians, as market makers, as fund managers, and as floor traders.  As a result, there are many ways through which a firm can acquire a security with its name on it.  Many outside investors actually own certificates marked as owned by the financial firm.  Therse are securities held in "street name" by the financial firm, but the outside investor is the "owner of record" signified in computer and accounting documents.

By a broker-owned certificate is meant a stock or bond of almost any publicly traded company made out to (issued to) the financial firm and subsequently sold by that financial firm and signed (endorsed on the back) by them.  Since Bear Stearns & Co. is presently of high puplic interest, the obverso (front) and verso (back) of a Bear Stearns owed certificate (Ussuer:  Spencer Shoe) is illustrated here.

The Brokers

The brokerage firms represented in the universe of available certificates range from curenntly active to long since defunct.  Of a total of more than 85, only 10 are listed  here:

• Bache & Co. Incorporated 
• Bear Stearns & Co.
• Brown Brothers Harriman & Co.
• E F Hutton & CompanyInc. 

Conclusion

The Bear Stearns bankruptcy left collectors clamoring for of the fallen giant.  Various securities, formerly owned by Bear Stearns surfaced and have met steady although limited demand.  Holders of inventories of stocks and bonds fron various issuers began having success searching for  other broker-owned stocks and bonds.  Currently about 85 are known, and the list is constantly growing.

The are of interest to former employees, former clients, former customers, former competitors ond former investors.