Client assets grew to $151 billion in 2015
MILWAUKEE, April 20, 2016 – Employee-owned Baird announced today that it posted record net revenues of $1.3 billion1 in 2015, a 7 percent increase over 2014, despite choppy markets and slow economic growth. Operating income totaled a record $154 million, up 14 percent from a year ago, and the firm’s 2015 return on book value, including a cash dividend paid to shareholders, was 13.2 percent. Baird’s assets in client accounts grew to $151 billion, an 83 percent increase over the past five years. The 2015 results, which are available in the 2015 Baird Annual Report, mark the firm’s sixth consecutive year of record revenues.
“Baird’s platform of five complementary businesses has proven to be a durable model that has delivered strong results through multiple market cycles,” said Steve Booth, Baird President & CEO. “Additionally, our employee-owned model is a powerful advantage that gives us the ability to address our clients’ evolving needs and to help them succeed in an uncertain world.”
Baird’s balanced approach has allowed the firm to produce 144 consecutive quarters of operating profitability. Employment at Baird has increased 26 percent over the past five years while the rest of the financial services industry grew by approximately 8 percent2 during the same time period.
Baird’s notable highlights from 2015 include:
- Private Wealth Management expanded its national footprint to 85 offices serving clients coast-to-coast. The nationwide wealth management network now includes more than 870 Financial Advisors serving clients from 28 states.
- Institutional Equities & Research – Baird’s Equity Research Team covered more than 725 companies at the end of 2015, an increase of 59 percent over the past decade.
- Baird Capital, the firm’s private equity business, invested $130 million in seven new and 36 follow-on investments. The business also successfully exited eight investments and realized $272 million, primarily through these exits.
- Fixed Income Capital Markets ranked as the No. 1 municipal underwriter in the United States for the seventh consecutive year, based on number of issues, according to Ipreo MuniAnalytics and Thomson Reuters.
- Global Investment Banking's M&A advisory business posted record transaction volume.
- Asset Management continued its growth streak and assets under management climbed 24 percent across the business. The group also welcomed a team specializing in taxable and tax-exempt municipal bonds and agreed to acquire Chautauqua Capital Management, a Boulder, Colorado-based firm focused on international and global equity asset management, which it completed in early 2016.
“Since we opened our doors in 1919, Baird has worked hard to build powerful partnerships with our clients, our associates and our communities,” said Paul Purcell, Baird Chairman. “We know that a strong, dependable partner is essential in navigating uncertain times and we are deeply committed to providing our clients with honest insights, reliable service and a long-term view that can help them manage the increasing complexity of today’s environment.”
To learn more about Baird’s financial performance and other 2015 highlights, please see the Baird 2015 Annual Report.
Baird is an employee-owned, international wealth management, capital markets, private equity and asset management firm with offices in the United States, Europe and Asia. Established in 1919, Baird has more than 3,300 associates serving the needs of individual, corporate, institutional and municipal clients. Baird has more than $151 billion in client assets. Committed to being a great place to work, Baird ranked No. 6 on FORTUNE’s 100 Best Companies to Work For® in 2016 – its 13th consecutive year on the list. Baird’s principal operating subsidiaries are Robert W. Baird & Co. in the United States and Robert W. Baird Group Ltd. in Europe. Baird also has an operating subsidiary in Asia supporting Baird’s investment banking and private equity operations. For more information, please visit Baird’s Web site at rwbaird.com.
For additional information, contact:
Baird Public Relations
1Financial results do not reflect the consolidation of certain private equity partnerships.
2Source: SIFMA Securities Industry Employment Reports.