The Bank Of New York And Its History Essay Example For Students

The Bank Of New York And Its History Essay The Bank Of New York And Its HistoryThe Bank of New YorkTable of Contents1. History of The Bank of New York2. Services for CustomersA. IndividualsB. BusinessesC. Public EntitiesD. Government Entities3. Highlights of The Bank of New York4. Consolidated Financial Statements5. BibliographyThe Bank of New YorkTable of Contents1. History of The Bank of New York2. Services for CustomersA. IndividualsB. BusinessesC. Public EntitiesD. Government Entities3. Highlights of The Bank of New York4. Consolidated Financial Statements5. BibliographyHISTORY OF THE BANK OF NEW YORKOn February 23, 1784, a small advertisement appeared in The New York Packet, one of the many New York newspapers of that era. This advertisement announced that prominent New York citizens had established a bank. The bank, established by the prominent, would not officially open for business until June 9, 1784. That bank would come to be known as the bank of New York. Alexander Hamilton, a well-known New York attorney, was asked to write the constitution of the new bank. He complied and therefore Alexander Hamilton was credited with the founding of the Bank of New York. The Bank of New York is the oldest bank in New York and along with that is one of the oldest banks in the world since banking the way we know it today began in the 18th century. Alexander Hamilton later went on to become the Secretary of the Treasury in President George Washington’s first cabinet. In 1789, Hamilton negotiated the first loan obtained by the new Democratic government. The amount of the loan was $200,000, and was issued by The Bank of New York. Hence, not only is the Bank of New York one of the oldest banks in the world, but it is also a historic one because it was the first bank in the United States to issue a loan. Adding to that historic feeling, when the New York Stock Exchange was created in 1792, the first stock traded was the Bank of New Yorks stock. The Bank of New York played a major role in the economic growth in the New York metropolitan area. The Bank was also involved with the growth of transportation. The construction of the Morris Canal in New Jersey and the Erie Canal in New York were partially funded by the Bank, which also provided financing to the steamboat companies that benefited from these waterways. Through investments in nearly every railroad and utility, as well as in the construction of the New York City subway system, the Bank of New York continued to provide vital capital to the expanding American economy. However, far more emphasis was given to conservative practices and retaining the confidence of our customers. That policy enabled the bank to survive the economic turmoil of the early twentieth century.Throughout its 200-year history, the Bank of New York has been involved in many mergers and acquisitions. Through mergers with the New York Life Insurance Trust Company, The Fifth Avenue Bank, and the Empire Trust Company, the Bank expanded its presence in New York and its ability to provide financial services to businesses and individuals throughout Manhattan. In 1969, through the establishment of a bank holding company, the Bank expanded beyond New York City, establishing a suburban branch network that remains today. Global expansion began with an office in London in 1966, but a major breakthrough occurred with the acquisition of The Irving Bank Corporation in 1988. This acquisition created the tenth largest bank at that time and set the stage for what the Bank of New York is today. The acquisitions of National Community Banks in New Jersey and The Putnam Trust Company in Connecticut in the 1990’s continued the expansion of the Bank of New Yorks branch network. Freud Essay Government entities might need services to be performed on many aspects of the government financial market at once. Whereas, a public entity might have services performed on all of its clients to get one lump sum amount of money either owed or held by them. BANK of NEW YORK HIGHLIGHTSOn November 9th, 2000, The Bank of New York announced that it had been appointed by AMCORE Investment Group to be its United States domestic and global custodian for all of AMCOREs trust and mutual fund assets. In addition, The Bank of New York was selected to provide cash management services for AMCOREs Vintage Mutual Funds Inc. AMCORE Financial, Inc. is a financial services company, headquartered in northern Illinois with banking assets of $4.4 billion and 64 locations in Illinois and Wisconsin. AMCORE Investment Group, a subsidiary of AMCORE Financial, Inc. , provides trust and brokerage services, and through Investors Management Groups, provides capital management and mutual fund administrative services, and is the investment advisor for the Vintage Family of Mutual Funds. AMCORE Investment Group is responsible for the trust and brokerage businesses of AMCORE Financial Inc., including the Vintage Mutual Fund Family. AMCORES assets are reported to be worth some $5. 1 billion dollars. David W. Miles, CEO of AMCORE said The Bank of New Yorks custody and cash management capabilities will allow us to grow strategically and provide our clients with the efficient service they deserve and expect. In selecting a vendor, it was important that they understand our business and have the ability to service our current needs. It is also important that they are committed to the ongoing investment in technology required to deliver the securities, cash and investment management support services we require. The Bank of New York is a well-established financial institution that has outlasted numerous financial hardships, including the Great Depression. It has a long history of providing excellent services to its customers. In the present day, The Bank of New York continues to live up to that reputation by offering its customers a variety of financial services. The future can only get better for the Bank of New York. With the technological era in full swing, the Bank of New York is taking full advantage by specializing in technological securities. In conclusion, The Bank if New York is a historical financial institution that played an important role in the economic growth of the United States. No other bank can say that it has done as much for the United States as has done the Bank of New York. Bibliography1. http://www.gwdg.de/~ifbg/bank_2. html2. http://www.bankofny.com/about/ahst. htm3. http://www.bankofny.com/util/usgx. htm4. www.bankofny.comEconomics Essays