By Joseph A. Giannone ,Reuters
Former executives of famed brokerage E.F. Hutton & Co. are launching a boutique investment advisory firm that revives the old name, hoping that memories of the firm can attract brokers and customers two decades after Hutton faded from view.
Before being swallowed up through mergers, E.F. Hutton once had 19,000 employees and employed one of Wall Street’s most memorable advertising campaigns: “When E.F. Hutton talks, people listen.” Now some former executives are building a new version of the firm, as first reported in The Wall Street Journal. The new firm will announce the hiring of financial advisers and other executives over the next few weeks, said Frank Campanale, a former E.F. Hutton and Smith Barney executive who will be chief executive of the new Hutton. Campanale, until recently a wealth management executive at independent broker-dealer network First Allied Securities, said he sees an opportunity to fill a void in the wealth management marketplace.
“We’re trying to create a great firm with great culture, something E.F. Hutton had,” he said in a brief interview. “We have a clean slate.” Campanale declined to elaborate on his plans. Campanale ran the consulting groups at Hutton and later at Smith Barney, where he helped develop a number of successful fee-based asset management programs now common across Wall Street. Campanale left Smith Barney in 2004. Several former executives and employees say the E.F. Hutton name gives the new firm a leg up against other new wealth management firms.