1873 Fleming of Dundee

August 6, 2009

Dundee, a small city in Scotland grew prosperous from textile trading in the 1800s
and for centuries had been best known for jam-making and shipbuilding.
Thanks to the vision of Dundonian, Robert Fleming(the founder of the well-known Scottish wealth management company which still bears his name), Dundee citizens used the investment trust idea to great benefit.
Over a century ago, Fleming, a 28-year old clerk, foresaw how investing in emerging economies could prove profitable. In 1873, he launched the First Scottish Investment Trust to lower risk and invest in the bonds of foreign states, cities, railroads and other corporations. The emerging economy which Fleming first convinced wealthy Dundee textile barons to invest in was the United States of America.
Although the first investment trust was formed in London, England four or five years earlier to invest in domestic undertakings, it was Fleming of Dundee that made them famous by using investment trusts to purchase bonds outside the UK market and for new ventures. The enormous success Dundee investment trusts had is owed largely to Fleming’s bold but prudent use of investment savvy, which allowed the Robert Fleming organization to prosper and grow.

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