Goodbody Stockbrokers
Encyclopedia
Goodbody Stockbrokers is Ireland's longest established stockbroking firm with roots dating back to 1877. As well as being one of the leading institutional brokers, it is one of the largest private client firms in Ireland. It is a member firm of the Irish Stock Exchange
and a SETS participant of the London Stock Exchange
. The company has offices in Dublin, Galway and Cork. It employs 222 people.
Goodbody Stockbrokers was acquired by FEXCO
in January 2010 for €24 million. The Financial Times
commented that the lowly price tag placed on Ireland’s oldest stockbroker and "one-time bastion of Ireland’s Protestant business elite" was just another measure of the dramatic decline of the Irish economy. Allied Irish Banks
were likely to have had to indemnify, Fexco, the new owners of Goodbody Stockbrokers against any legal action arising from the firm's boom-time trading.
In the 2011 Starmine Awards the Food and Beverage Analyst, Liam Igoe was ranked 6th in the Top 10 Earnings Estimators in Europe.
Goodbody continually issued "Buy" recommendations for its then parent, notwithstanding its worsening financial position, and used Client Discretionary mandates to invest their monies in Allied Irish Banks
at the start of the 2008-2011 Irish banking crisis in November 2008, which generated adverse comment. When asked if they had ever issued a sell notice on AIB, a Goodbody spokesman said "I don't know if we even keep records going back that far".
A Northern Ireland property fund which was launched by Goodbody in 2005 had its value of investments written down to nil in 2009. A solicitor said the fund invested in residential property, even though his client had said she did not want any exposure to residential property. The stockbrokers made £1.1 million in commission from the £27 million put up by investors at the outset.
The broker was ridiculed publically in 2007 after it told its clients to buy the stock of an American pharma stock at $3.09 and gave it a price target of $5.70. Less than a week later, it was recommending to the same clients to sell the same stock when it was trading at $0.83.
In May of 2010 the EU began investigating claims that AIB misused state aid by attaching conditions to loan deals, unfairly affecting competition in the Irish stockbroking market but benefiting Goodbody.
Irish Stock Exchange
-History:The Irish Stock Exchange is Ireland's only stock exchange and has been in existence since 1793. It is an Irish private company limited by guarantee. It was first recognised by legislation in 1799 when the Irish Parliament passed the Stock Exchange Act...
and a SETS participant of the London Stock Exchange
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...
. The company has offices in Dublin, Galway and Cork. It employs 222 people.
Goodbody Stockbrokers was acquired by FEXCO
FEXCO
FEXCO is an Irish-based financial services company.FEXCO was set up in 1981 by , originally to provide Bureau de change services to the Irish market. is now a global provider of , , Consumer and Internationally Traded Services....
in January 2010 for €24 million. The Financial Times
Financial Times
The Financial Times is an international business newspaper. It is a morning daily newspaper published in London and printed in 24 cities around the world. Its primary rival is the Wall Street Journal, published in New York City....
commented that the lowly price tag placed on Ireland’s oldest stockbroker and "one-time bastion of Ireland’s Protestant business elite" was just another measure of the dramatic decline of the Irish economy. Allied Irish Banks
Allied Irish Banks
Allied Irish Banks p.l.c. is a major commercial bank based in Ireland.AIB is one of the so called "big four" commercial banks in the state. The bank has one of the largest branch networks in Ireland; only Bank of Ireland fully rivals it. AIB offers a full range of personal and corporate banking...
were likely to have had to indemnify, Fexco, the new owners of Goodbody Stockbrokers against any legal action arising from the firm's boom-time trading.
Organisational structure
Goodbody Stockbrokers is divided into the following main business units:Goodbody private clients
As one of the largest private client firms in Ireland, the Goodbody Private Clients division helps private investors successfully achieve their financial objectives by offering a wide range of investment services and solutions.Goodbody institutional equities and research
Goodbody Stockbrokers has a strong institutional equity franchise with a very high calibre list of institutional clients. It offers broker services to both institutional and corporate clients and has a large equity research team.Goodbody corporate finance
Goodbody Corporate Finance was established in 1996 and has grown to become one of Ireland's leading corporate finance houses.Awards
In the 2011 Extel Survey, Goodbody Stockbrokers took 4 of the 7 awards on offer for Ireland, taking 2 of the 4 company awards and 2 of the 3 individual awards.In the 2011 Starmine Awards the Food and Beverage Analyst, Liam Igoe was ranked 6th in the Top 10 Earnings Estimators in Europe.
Press
Goodbody Stockbrokers is planning to open a bonds desk, marking its return to fixed-income trading since 1997. Now that Goodbody is part of the Kerry-based Fexco financial services group, it is keen to re-establish itself in bonds.Goodbody continually issued "Buy" recommendations for its then parent, notwithstanding its worsening financial position, and used Client Discretionary mandates to invest their monies in Allied Irish Banks
Allied Irish Banks
Allied Irish Banks p.l.c. is a major commercial bank based in Ireland.AIB is one of the so called "big four" commercial banks in the state. The bank has one of the largest branch networks in Ireland; only Bank of Ireland fully rivals it. AIB offers a full range of personal and corporate banking...
at the start of the 2008-2011 Irish banking crisis in November 2008, which generated adverse comment. When asked if they had ever issued a sell notice on AIB, a Goodbody spokesman said "I don't know if we even keep records going back that far".
A Northern Ireland property fund which was launched by Goodbody in 2005 had its value of investments written down to nil in 2009. A solicitor said the fund invested in residential property, even though his client had said she did not want any exposure to residential property. The stockbrokers made £1.1 million in commission from the £27 million put up by investors at the outset.
The broker was ridiculed publically in 2007 after it told its clients to buy the stock of an American pharma stock at $3.09 and gave it a price target of $5.70. Less than a week later, it was recommending to the same clients to sell the same stock when it was trading at $0.83.
In May of 2010 the EU began investigating claims that AIB misused state aid by attaching conditions to loan deals, unfairly affecting competition in the Irish stockbroking market but benefiting Goodbody.