Kleinwort's attempts to become an integrated merchant bank and securities house can hardly be described as a roaring success. It has lost its way relative to S G Warburg, which also followed the integrated route, but more markedly when compared with Schroders, which never developed a significant securities business and concentrated on increasing its merger and acquisitions side.
Phillip Gibbs, merchant banking analyst at BZW, has come up with an interesting comparison. Kleinwort's share price today is nearly 30 per cent lower than it was at Big Bang in 1986. Schroders' is more than 300 per cent higher.Reuse content