The Humiliation Of Raymond James

Barron’s rated the research efforts of some of the large national and regional brokerages. "As we do every six months, Barron’s rates the stock-picking abilities of brokers that issue focus lists, or rosters of their best ideas."

The list covers research calls from firms as diverse as Smith Barney, Bear Stearns, Charles Schwab, and Credit Suisse. The surprise winner for both the last six months and the last year is tiny Matrix USA.

At the other end of the list is Raymond James. It ranks last for both the six month and one year periods, actually showing negative returns. The S&P 500 total return is up for the periods. Raymond James also ranks last for the last three years and last five years.

The results are so bad that it appears that someone at the firm tried to pick the worst investments they could find. Investors have to wonder how the brokerage keeps its customers.

Douglas A. McIntyre