Merrill Lynch

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Karah McGuiness, Sloane Collins, Brandt Grobeis,
Kevin Alparone, Meagan Ritter, Danielle Keiser
Ian Parks
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Table of Contents

• Company Research
• Background
• Products
• Subsidiaries
• Industry
• Market Geographics
• Competitors
• Company Profitability
• Industry Analysis
• Total Market Size
• Market Segments
• Competition
• Economic Growth
• Technology Trends
• Environmental Trends
• Globalization

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Company Research
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Company Background

• Founded 1914 (Charles E. Merrill Co)
• Chairman and CEOE. Stanley (Stan) O'Neal
• Fortune 500 Ranked No.22
• Stock Symbol MER
• Employees 61,900
• Annual Revenue 7.5 billion
• Investment Firm / Financial Institution

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Products

• Individual
• Rate Mortgage, Home Equity Loans, Commercial Real
  Estate Financing, Term Loans
• Small and Midsized Businesses
• Business Sales and Capital Solutions, Endowment
  Management, Insurance, etc
• Institutions and Corporations
• Investment Banking, Equities, Money Manager
  Services, etc

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Global Markets Investment Banking Group
Global Wealth Management
Global Markets
Global Investment Banking
Global Private Client
Global Investment Management
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Major Subsidiaries and Divisions

• Financial Data Services, Inc
• ML IBK Positions, Inc
• Broadcort Capital Corp.
• ML Life Insurance Co. of NY
• ML Mortgage Holdings, Inc
• Roszel Advisors, LLC
• Two major operating segments
• Global Market and Investment Bank
• Global Wealth Management Group

Merrill Lynch
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Market Group

• Individuals
• Small and Midsized Businesses
• Institutions and Corporations

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Market Geographics
(Dollars in millions) ( change)

• r

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Competition

• On what basis does Merrill Lynch Compete?
• Financial services for private, institutional,
  and government clients, including mutual fund,
  insurance, annuity, trust, and clearing services,
  besides traditional investment banking and
  brokerage. Merrill Lynch operates in two
  segments the Global Markets and Investment
  Banking Group, and Global Wealth Management.
• How does Merrill Lynch Compare to its
  competitors?
• Future Competitors/Barriers to entry for new
  Competition
• Companies on the rise in the Investment and
  Financial Industry who can improve the Industry
  and keep up with the existing competition. There
  are many successful companies and it is very
  competitive

Analysis of Top 3 Competitors (in billions of
dollars)
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Company Profitability

• (Net Sales) (Cost of Goods Sold) Gross
  Profit Rate
• Net Sales
• 21,225.0 1,569.0 .926078 93.
  
  21,225.0
• Earnings Estimate
• Broad business diversification
• Strong customer relationships
• Successful products
• Strong reputation in the global
• investment world
• Earnings Estimate

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Industry Analysis
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Total Market Share

• Total market size 374 billion dollars.
• Owns 16.8 percent of market.
• Market is growing

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Market Segments

• Capital Market Segments
• Private Wealth Management
• Retirement
• Personal banking
• Investing
• Small Business Finance
• Corporate Cash
• Benefits
• Global Wealth Management
• Equities
• Commodities

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CompetitionCompetitors

• Credit Suisse (USA)
• Goldman Sachs
• Morgan Stanley
• Citigroup Global Markets
• ETRADE Financial
• MF Global
• TD Ameritrade
• A.G. Edwards
• AIG
• AXA Financial
• Bear Stearns, Brown
• Brothers Harriman
• Deutsche Bank
• FMR
• INVESCO
• Edward Jones
• JPMorgan Chase
• Lehman Brothers
• Nomura Securities

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Economic Growth

• Quickly becoming a power house of finical
  investments
• 1-year Net Sales Growth 47.7
• 1-year Net Income Growth 46.6
• Net Revenue
• Employee Increase
• Clients Accounts

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Technology Trends

• Merrill Lynch Online
• Merrill Lynch Online International
• Merrill Lynch Direct
• On-line trading
• The MLX portal
• propriety internet platform for institutional
  clients
• Links from co-mingled, third party platforms such
  as TheMarket.com and Bond.tub

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Government Legislation

• Sarbanes-Oxley Act
• Securities and Exchange Commission
• GLB (Gramm-Leach-Bliley)
• Chinese Wall

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Globalization and the Impact of Foreign Markets

• Clients in over 38 different countries
• Canada, Europe, India, Africa, Japan, Australia,
  and Latin America
• Merrill Lynch has institutional equity sales,
  trading, and capital markets professionals
  across 6 continents.
• Some major foreign competitors include ABN AMRO,
  Credit Suisse, Deutsche Bank, Macquaire Bank, RBC
  Capital Markets, Nomura Securities, Rothschild,
  UBS AG, and BNP Paribas.

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Resources

• Hoover.com
• Finace.yahoo.com
• Ml.com
• Joe Pomerantz
• www.sourcecos.com
• www.va-interactive.com 
• Wikipedia.org