What is the experience of the "president" coming to you personally to help? It is estimated that only the Morgan family in the United States has a say, because they saved the United States twice. If it were not for Morgan, before the United States became the "overlord" of time, it may have fallen at the foot of the monetary and economic crisis, and the Morgan family, whose ancestors were farmers for four generations, how did they step by step become a financial family that affected the world? The history of the Morgan family's struggle is 140 years earlier than the establishment of the United States, they were originally a famous family in Britain, but at that time the United Kingdom implemented the "firstborn inheritance law", only the eldest can get the family property, some people can only choose to admit their fate, but the youngest son of the Morgan family, Miles, is not endless, in 1636 set foot on the North American continent to find opportunities, at that time the United States has not yet been established, the entire continent can be described as "wild land". The poor Miles could only start from the peasants at the beginning, and the commercial genes in his blood made him the only person who could do business among the farmers, so their family not only farmed but also sold agricultural products, and began to buy and sell land later, and soon accumulated a certain wealth. However, all this is still a thousand miles away from his previous family, so Miles told future generations to pay attention to education, read more and read more, and we must take back what we lost before. Fast forward to 1812, when the United States had been established for 36 years, and the Morgan family had continued to the fifth generation in this land, and it was this generation of Joseph Morgan who led the family to completely break away from farming. Joseph wanted to be a businessman since he was a child, so when he became an adult, he rented out his family's farmland, moved his family into the city to open cafes and taverns, and built the café into a social center, not only businessmen talking about business, but even the mayor and high-ranking officials going to him for celebrations. What was the most important thing about doing business in those days? Of course it was first-hand information and resources, so Joseph's café allowed him to accumulate a lot of wealth in stocks, and he left more than $1 million for his son, Juniers Morgan, when he died in 1847. This is to put in today's appropriate billionaire ah, but I am discussing the so-called world creditor of the chaebol family Morgan, only more than 1 million can not be worthy of such a title, the successor of the family Ofevania Morgan was not carried away by the huge wealth, but used this money to cooperate with the largest Boston retail store at that time, engaged in dry goods import and export trade, so that another man who had to be mentioned, George Peabody, although he was not surnamed Morgan, to his appearance made the wealth of the Morgan family at this time, At least 20 times more property and laid a solid foundation for their family's financial empire afterwards. George Peabody is a famous banker in London, the reason why the Rothschild family dominates the European banking circle has a place, because he invested in the Rothschilds do not look up to the old United States, because the United States at that time was poor and backward, and always owed money, so european bankers unified the United States as "old lai" to deal with, but George Peabody did the opposite, went all out to find funds for the old United States, Xiao Zhi persuaded everyone to invest in the United States with emotional reason, otherwise the previous arrears would also be adrift. At the same time, George Peabody used public opinion to help Britain recover the arrears from the old United States, and since then George Peabody has become famous and has become a big banker who only serves governments and large companies and rich people.
But no matter how rich George Peabody is, it is his own business, how can he be related to the Morgan family? I have to say that this Peabody is single-minded, so busy that even the children have forgotten to give birth, his assets of more than 20 million US dollars can only find a capable person to take over, he has clear requirements for his successor, that is, he is sociable to have a family, has international trade experience and must be an American, this series of conditions are completed, he immediately remembered the young man Henians Morgan who once knew in the import and export trade, so He was still the best newcomer Toniers Morgan, Directly took a Full Grade Big In British Suit, the odds of winning the "lottery" are higher than this, and then there is a chance that Juniers Morgan can be looked at by such a big person, there must be his own superiority, can not be said to be all by luck. At this time, the most "awesome" character of the entire Morgan family appeared, he was the seventh generation of John Pierpont Morgan, that is, the famous JP Morgan, who saved the United States twice and led the Morgan family to the peak, all of which were inextricably linked to him. Time to the mid-19th century, the background is that London is the world's financial center, bent on investing capital in the world, and North America and other Western countries are in urgent need of funds, manpower and technology, to promote the construction of infrastructure, one wants to invest money and the other wants money, undoubtedly making Morgan father and son become the pig on the cusp of the times, because they not only inherited Peabody's bank, but also received his connections for more than ten years, so it is not someone else who controls the British investment funds, it is the Morgan family at this time.
Although there is a lot of money available at hand, but not all countries are willing to accept their money, how to further expand and strengthen, they must occupy a place in the market of other countries. So the father and son changed the name of the bank to JS Morgan Bank, the elder Morgan sat in the United Kingdom to issue stock bonds for the US state governments and large companies, and JP Jr. established the Morgan Commercial Bank opposite the New York Stock Exchange to undertake the securities issuance business of American companies. With the continuous expansion of the territory of the United States, their infrastructure demand for railways is getting bigger and bigger, and the infrastructure needs capital, which is far from being able to bear alone in the United States at that time, so almost all the railroad companies need to rely on stocks or bonds to absorb capital from the market to build railways, and this is the best period for the Morgan family to wait. We have to know that in the past decade alone, Central European investors alone invested nearly $1 billion in north American railways, according to the development of the United States at that time, the demand for funds may only be greater, which is a stack of commissions in the eyes of bankers, everyone wants to eat this cake, even if the old Morgan has countless resources in the United Kingdom, but it is very difficult to win this big order, not to mention the little Morgan JP in New York. So in order to get more of the company's stock and bond issuance business, the elder Morgan found the influence of JP through connections, second only to that of Anthony Toxel, the Philadelphia banker of Jay Cook, the largest U.S. Treasury underwriter at the time. But why would they want to help Morgan? The essence of the business field is not the replacement of resources, with the help of the Morgan family in London to absorb gold, can make up for the lack of performance of the Drexel family, on the other hand, Drexel's status and influence in the United States, can help the little Morgan can stand faster, the sphere of influence in the United States rapid expansion, the two of them joined hands JP Morgan into the front row of the American business circle, and immediately received a large order from the United States VIP.
In 1873, in order to repay the debts owed by the Civil War, the United States issued $300 million of low-interest bonds, and the government divided the sales of the bonds into only two companies, one was Jay Cook, the largest underwriter of the government bonds mentioned earlier, and the other was the Morgan Consortium. On the surface, we see the Morgan family's status in the United States jumping up, but in fact, it is a game that Big Brother can arrange, and the balance between the old and new forces is balanced, but I never expected that the Morgan consortium used its sales ability in Europe to surpass Jay Cook, and completed the sales task more than a little early. This incident made Morgan stand out, but also opened up the road to cooperation with the United States, the Morgan family has become a complete closed loop, so that Morgan Bank can import a large amount of European funds into the United States, through the underwriting of bonds and stocks for the American railroad, the money is full. But no one thought that the railway industry that made everyone rich was about to "explode", all said that capital is a double-edged sword, and the institutions saw that the profits were invested in the railway, which made the railway industry begin to grow barbarically, not only the price war, the railway line was paved crookedly, 20 railway lines were laid between the two cities, there was a serious oversupply, under such vicious competition, a large number of railway companies went bankrupt, but those stocks and bonds had been sold, so there was a large number of debt defaults. The bond banks that underwrite these companies were naturally affected, and the aforementioned Jay Cook declared bankruptcy.
The shrewd JP realized that if the chaos in the railway industry was not solved immediately, bankruptcy would probably be his own situation. So he first invented a method of equity trust, the equity of the scattered small investors in his hands, concentrated on behalf of the shareholder rights, so that investors who originally had no right to invest in discourse, through this way can intervene in the operation of the railway company, the railway company can not develop arbitrarily, and then he will reorganize the bankrupt railway company and merge one-sixth of the railway chief, this move will change the railway industry from overgrown to a monopoly industry controlled by the Wall Street bank group. First, to protect the interests of investors, and second, to improve the operation of the U.S. railroad, the sum of the revenue of such a behemoth was equivalent to half of the U.S. fiscal revenue at that time, and the volume was unmatched. The same approach JP also used in the steel industry, with 33 companies merging into U.S. Steel, the first company in history to become the first $1 billion company, and merging Edison and Thomson Houston to form General Electric. At this point, the Morgan family came to the peak, which can be said to be a hand covering the sky, and the merger and reorganization was called Morganization at that time.
The matter is not over here, remember the beginning of the Morgan family saved the United States twice? In 1895, due to the serious trade deficit of the United States, under the gold standard system, countries used more gold for trading, the trade deficit was that the outflow of gold was greater than the inflow, the US dollar gradually lost credit, people demanded that paper money be exchanged for gold, at that time the US Treasury gold reserves were insufficient, if you do not want to solve it, the US dollar will completely lose credit, and no one will hold the US dollar again. However, due to the rapid selling of people and the lack of time for the government to scrape together enough gold to exchange in the form of bonds, the United States had no choice but to ask the Morgan family for help, and the Morgan consortium and other bankers wrote $65 million in gold bonds for the United States in a timely manner, and finally in June of that year, they kept the gold standard on the verge of collapse in the United States. In 1907, the U.S. economy again had a crisis, trust and investment companies appeared as emerging financial institutions, due to insufficient supervision, most of these companies absorbed depositors' funds and used them to make high-risk stock investments, and due to the failure of a company's investment, the chain reaction led to the banks and financial institutions that lent money for the investment plan. Such a risk makes most investors ask for deposits, the stock market is also due to the depletion of liquidity, if not solved, the US stock market is very certain to collapse, the financial system will collapse and return to the pre-liberation period. But at this time, Lao Mei did not even have a central bank, when the Federal Reserve had not yet been established, it was impossible to achieve the "printing money law", so the president of the New York Stock Exchange could only ask for help from JP Morgan across the street, and JP also lived up to expectations and led the bankers to save the crisis again.
However, the merit can not be covered ah, when people have the Morgan family as the savior, the United States also realized that it is necessary to control the financial dominance back into their hands as soon as possible, so six years later the Federal Reserve Bank was established, Glass Steagall Law was introduced, the Morgan family's securities brokerage business and commercial banking business were forcibly separated, the Federal Reserve gradually replaced the Morgan family's position of influence in the United States, and JP's son Jack took the JP Morgan company to do only banking business. Partner Harold Stanley formed a new company to pursue investment banking, the former merging with Chase Bank in 2000 to become JPMorgan Chase, and the latter to become today's Morgan Stanley. After the fall of the former Big Mac, it is still two giant peaks, and the Morganized management system still has an impact on everything on Wall Street. From the history of the Morgan family, we see the inheritance of family culture, but also the spirit of not being willing to be mediocre, the layout of the business field, and the game between business and politics. I'm Ali Wow Wow, welcome to pay attention to the comments.
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