Founded by William Fargo and Henry Wells in 1998, Wells Fargo & Company is an America-based financial service firm. It’s corporate headquarter is in San Franciso, California whereas in Manhattan it has its operational headquarter. Wells Fargo Bank was its first primary subsidiary, which is a national bank in Wilmington, Delaware. When considering the total assets, this bank is the fourth largest in the United States and 30th largest corporation in the world by total revenue. When it comes to market capitalization, Wells Fargo was ranked the largest in 2015, third-largest in 2017, & fourth in 2018.
A merger in 1998 between Wells Fargo & Company and Norwest Corporation with Wachovia in 2008, is the result of Wells Fargo today. As of 2018, the bank had 13,000 ATMs and 8050 branches operating in 35 countries with over 70 million customers.
Services and Operations
1. Community Banking
It includes the customer connection of Wells Fargo, groups for consumer deposit, diversified products, and regional banking. There are around 2000 branches for stand-alone mortgages in the US. There are mini branches as well in places like grocery stores, which have ATMs with basic teller facilities and space for conducting a meeting with clients privately. It has mobile wallet transaction as well that facilitates payments via Samsung Pay, Android Pay & Wells Fargo Wallet.
a) Consumer lending
In the US, the home mortgage section of Wells Fargo is the largest lender and every one out of four home loans is originated by it.
b) Student loans
For students to cover college expenses, like accommodation, computers, books, and tuition fees, the bank provides private student loans. They even provide for medical school, law school, graduate school, community colleges, career, and undergraduate. Consolidated loans for private students and parents are also available.
c) Equipment Lending
The bank has various divisions that lease and finance equipment to various types of firms like Wells Fargo Rail.
2. Investment and wealth management
Dealer Firms, National brokers, Wells Fargo Advisors, LLC, and Wells Fargo Investments, LLC, are different means through which Wells Fargo provides investment products.
a) Asset management
Wells Fargo Asset Management (WFAM) is the bank’s division for mutual funds trade name. Mutual funds are offered under the Wells Fargo Advantage Funds brand name. As of 31 December 2020, WFAM had management assets worth USD 603 billion.
The investment banking division of Wells Fargo is WFS.
Cross-selling is the key business strategy of Wells Fargo. It encourages its clients to buy additional services from the other divisions of the bank.
4. International operation
It has its banking service all over including offices in Toronto, Tokyo, Singapore, Dubai, London, Philippines, and India.
Wells Fargo operates under Charter #1 is under which Wells Fargo operates. In the US, it was the first issued national bank charter.
Key Executive Team and CEO
- Charles W. Scharf – Director, President, and CEO
- Mike Santomassimo– CFO and Senior EVP
- Sam Bullard– Senior Economist, Managing Director
- Charles Dougherty– Economist, Vice President
- Jay Bryson– Chief Economist, Managing Director
- Nick Bennenbroek– International Economist and Managing Director
- Mary T. Mack– CEO of Consumer and Small Business Banking, Senior EVP
- Derek A. Flowers– Head of Strategic Execution and Operations, Senior EVP
- William M. Daley– Vice Chairman of Public Affairs
- Perry G. Palos– CEO of Commercial Banking, Senior EVP
- Jonathan G. Weiss– CEO of Corporate and Investment Banking, Senior EVP
- Barry Sommers– CEO of Wealth and Investment Banking
- Michael S. Weinbach– CEO of Consumer Lending, Senior EVP