About The Oldest Traded Stock In America
Bank of New York was the first-ever company to be publicly traded on the NYSE
A stock represents a share in the ownership of a company, including a claim on the company's earnings and assets. A stock allows individuals and institutions to invest in companies, potentially benefiting from their success while also sharing in the risks.
The BNY (Bank of New York) stock NYSE:BK, is the oldest traded stock in America. It is described as the oldest stock by the Chairman of the CEO Leadership Alliance of Orange County. The Library Of Congress recognizes it as the first listed company on the NYSE. Insights Artist Agency acknowledges it as the oldest stock.
The first traded stock in American history was a share of the Bank of New York which was listed on the New York Stock Exchange when it was established through the "Buttonwood Agreement" on May 17, 1792, under a buttonwood tree on Wall Street.
The Buttonwood Agreement is the founding document of what is now the New York Stock Exchange. It was signed by 24 stockbrokers as a response to the first financial panic in the young nation.
The original Bank of New York (BNY) was founded in 1784 by Alexander Hamilton and chartered in 1791. It was instrumental in securing the first loan obtained by the United States. It became the first traded in 1792, when the New York Stock Exchange was founded.
The next eight years marked a boom in American trade, with exports to Britain tripling in value and the number of New York companies in operation rising fourfold. A leading newspaper proudly announced, "Credit is again revived – and prosperity once more approaches in sight."
With the need for transport networks beginning to emerge from rising commerce and trade, the Bank of New York made key investments in steamers on the Hudson River and the building of canals. But the best was yet to come.
From 1830-1890, the Bank invested in over 30 regional and transcontinental railway lines, resulting in almost 130,000 miles of track traversing the country, taking goods and people from one coast to the other.
The Bank would also later hold positions in New York’s subway companies. The current ticker trades as BK on the NYSE. Over the years, the stock has experienced fluctuations in value.
The Crash of 1929 tested the American banking system like never before. Hundreds of rural banks closed, and the prominent Bank of United States collapsed, taking with it $200 million in deposits.
While over 10,000 U.S. banks would meet a similar end, the Bank of New York weathered the financial storm. BNY's stock represents a long-standing institution that has adapted to changing economic landscapes over more than two centuries
With the purchase of its first computer in 1958, an IBM 650 worth $1.5 million in today’s money, the Bank led the way for more streamlined bookkeeping practices. But its trailblazing didn’t stop there. An electronic system for clearing government securities was introduced in 1977.
That was followed by the launch of ATMs in retail branches in 1980, and, in 1996, it was the first bank to ever process securities over the Internet. in 2017, a pioneer in the advancement of financial innovation, BNY was the first bank to execute a Real-Time Payments® using The Clearing House’s network.
Today, it is a bank holding company, which engages in global financial services. It provides financial services for institutions, corporations and high-net-worth individuals, offering investment management and investment services through a worldwide client-focused team.
Currently, BNY operates through three segments: Investment Management, Investment Services. This oldest bank in the nation is currently headquartered in lower Manhattan, NYC.