Legg Mason Captures $12 million Dallas Duo
On Wall Street
June 2001
Legg Mason has lured a two-man, $12-million team – the highest-grossing brokers ever to join the firm. Kyle Bass and Steve Fitzpatrick, who had been with Bear, Stearns, will join a newly created Legg Mason office in Dallas, Tex.
“Dallas was a big missing hole for us,” said Bob Sabelhaus, director of the firm’s private client group. “It’s a very high-net-worth city, and one we should be in. Over time, we want to build the rest of the state, maybe San Antonio and west Texas.”
In addition to the new office in Dallas, Legg Mason operates three offices in Texas: two in Houston and one in Austin. A branch manager for the new Dallas office is being sought.
According to Rick Peterson & Associates, the recruiting firm that brokered the move, Bass and Fitzpatrick will now be able to compete against their former Bear, Stearns colleagues for business.
Separately, Legg Mason has opened a new branch in Knoxville, Tenn. The office has recruited six reps – four from PaineWebber, one from First Union, and one from Morgan Keegan, which is now part of Regions Financial Corp. They average close to $550,000 in production.
Sabelhaus said that Legg Mason has slowed its branch office expansion due to the uncertain environment in the equities market. Still, he said the firm plans to hire 125 to 150 trainees this year, and will recruit a similar number of experienced brokers. He said Legg Mason plans to stick to its hiring goals set last November despite the market retreat. In 2000, the firm added 80 trainees and 90 veterans.