Find out how to effectively analyze the Rothschild share price with quality information about this company. We will indeed take the time, through a dedicated article, to give you all the data you need to know about the Rothschild group such as the details of its activities, its main direct competitors or its major allies and partners. We will also explain how to set up a good fundamental analysis of this stock by exploiting the most important and relevant data of the news of this group and its direct environment.
In particular, the international expansion strategy pursued by Rothschild in recent years, which aims to increase its market share in countries in which it has little presence, will have to be monitored.
Increasingly strict financial and banking regulations may also have an influence on the Rothschild group's activities in the more or less long term and must be analysed.
Although the sector in which Rothschild operates is relatively uncompetitive, it will still be important to keep an eye on its main rivals and their news and financial results.
It is also important to keep a close eye on the global economic situation and its phases of growth or recession, which may have a greater or lesser impact on the company's activities and hence on its results.
Similarly, developments on the main stock and financial markets may influence Rothschild's economic health.
It is also important to keep an eye on the possible strategic partnerships that the group could set up in the more or less long term in order to gain market share or to offer new products and services.
Finally, the group's financial results should of course be closely monitored by comparing the various balance sheets from one year to the next and also by comparing them with market expectations.
Let's first take a few moments to look at the Rothschild group and its core business, in order to understand its future challenges and growth opportunities over the longer term.
The Rothschild & Co group is actually the parent company of the Swiss Rothschild group and is a company specialising in financial advisory services, private banking, asset management and private equity.
Formerly known as Paris Orléans, this holding company is controlled by the French and English branches of the Rothschild family and owns the second largest railway network in the world, which was nationalized in 1938. It was in 1984 that the Rothschild family turned the company into a bank. It changed its name in 2015 to Rothschild & Co.
It is under the Concordia BV holding company that the group's banking activities are grouped today with four main business lines, including investment banking, which concerns merger and acquisition consulting, financing and restructuring consulting, the primary equity market and private placement of debt and shares, then private banking with trust, asset management, wealth management and institutional management activities, and lastly private equity, which is a recent activity still in the structuring phase.
Now that you are familiar with the group's activities, we suggest you take a look at its main competitors. You need to have a good understanding of them in order to assess the threat or opportunity that their publications and news represent for Rothschild shares.
This is Rothschild's biggest competitor. This financial holding company was formed from the merger of Chase Manhattan Bank and JPMorgan & Co in 2001 and is listed on the NYSE. It is also the largest banking group in the United States and one of the largest in the world with a balance sheet of several trillion dollars in assets. The group operates in as many as 60 countries and is a leader in investment banking, retail and corporate financial services, trading, CDS and derivatives, asset management, private banking and private equity. JPMorgan Chase & Co. also owns the world's second largest hedge fund and has over 90 million clients worldwide with offices in the United States, the United Kingdom and Tokyo. This holding company also includes various financial institutions such as JP Morgan, Chase Manhattan, Chemical, Manufacturers Hanover, Bank One, Firts Chicago, National Bank of Detroit and others. It is also the fourth largest company in the world.
Rothschild's second competitor is the Lazard Group, which also specializes in financial advice and asset management. It is a Franco-American company founded in 1848 and is now listed on the NYSE. The company operates in 27 different countries around the world in North America, South America, Europe, Asia, Australia and Africa. Lazard's investment banking business is predominantly financial advisory, including strategic advisory, mergers and acquisitions, restructuring, capital markets, balance sheet structuring, capital raising and other advisory services, as well as asset management for institutional, corporate and retail clients.
In the past, Rothschild has set up several interesting partnerships that we are now proposing to you to discover:
UBP or Union Bancaire Privée and Rothschild have set up a joint private equity offering in 2019. Thus, these two family-owned establishments have decided to propose an innovative strategy aimed at diversifying the assets of their private and institutional clients in the private equity market. Thanks to this strategic partnership, UBP will benefit from Rothschild & Co's experience in this field and will be able to broaden its offer for clients wishing to invest in non-listed companies. Indeed and following another partnership with Partners Group in 2017 and the acquisition in 2018 of ACPI, this bank has a particularly diversified range of private debt solutions. These strategies thus complement its exclusive direct investment offer in the private markets.
Earlier in 2017, the Rothschild group signed a strategic alliance with Chilean company Banchile Administradora General de Fondos or Banchile AGF, the current leader in asset management in Chile. Through this agreement, Rothschild's range of investment solutions is now accessible and available in Chile. The Swiss group has worked closely with Banchile AGF to offer its expertise in European and US equities, corporate debt and asset allocation without immediately disclosing the financial details of the deal.
Currently, the Rothschild Group has a total market capitalization of €1.952 billion. It also has €2.039 billion in equity, debt of €11.172 billion and in 2018 had revenues of €1.976 billion. The group's assets under management are €75.9 billion and the company's balance sheet is €13.211 billion with a net income of €0.286 billion.
At the end of 2019, the main shareholders of the group are Rothschild Concordia Holding with 32% of the capital, Rothschild & Co with 8.30% of the capital, the Maurel Bernard family with 5.45% of the capital, Jardine Matheson Holdings with 5.44%, De Edouard Rothschild with 5.23%, Baron Eric de Rothschild with 1.40%, Benjamin de Rothschild with 1.28%, François Henrot with 0.98%, Olivier Pécoux with 0.56% and Laurent Baril with 0.52%.
In 2012, the group was reorganised with the transfer of almost all the capital of Rothschild & Cie Banque and Rothschild Continuation Holding to the Paris Orléans Holding Company. In 2015, the Paris Orléans holding company became Rothschild & Co. Finally, in January 2017, Rothschild & Co merged with the Martin Maurel financial company by absorbing it.
