Who We Are
Stern Brothers is a certified woman-owned business enterprise (“WBE”) and is one of the few remaining independent, private investment banks in the country.
As a privately-held investment bank, Stern Brothers is not tied to a larger broker-dealer or commercial bank that may have priorities other than public finance or that may have excessive exposure to derivatives or credit default swaps. In addition, unlike our competitors, 100% of the capital of our firm is dedicated to municipal finance, which supports our goal to be aligned with the goals and needs of our clients.
Since 1917, Stern Brothers has been advising public and private decision makers on the best ways to fund capital projects. The firm has particular expertise in crafting innovative structuring solutions to meet the capital funding needs of our issuing clients. We analyze and recommend financing structures and plans on a case by case basis that range from traditional to the latest state-of-the-art financial engineering ideas.
Our significant experience across many segments of the capital markets gives us familiarity with the many executions available to structure and sell fixed and variable-rate, tax-exempt and taxable bonds in an efficient and effective manner for our borrowing clients.
Stern Brothers operates on a national scope from offices across the country. The firm employs seasoned senior personnel, each of whom has had many years of investment banking experience prior to joining Stern Brothers. These individuals are assisted by a group of talented bankers, analysts and sales people who work with them to analyze, structure, and distribute the deals.
Fixed Rate Experience
In the past five years alone, Stern Brothers has served as underwriter, placement agent, remarketing agent or financial advisor for nearly 400 municipal transactions nationwide, totaling $19.3 billion of fixed-rate bonds; and has been involved in municipal transactions totaling nearly $100 billion. Our senior bankers work on sole or senior managed transactions where our structuring capabilities are critical, and our institutional placement relationships and capabilities enable us to offer competitive pricing. Stern Brothers specializes in project, facilities and asset based financings, with specialty practices in housing, alternative energy, healthcare, higher education, infrastructure , real estate and industrial development finance.
Variable Rate Experience
One of the strengths that Stern Brothers possesses is our expertise in variable rate debt structures and the variable rate market as a whole. Stern Brothers is the tenth largest remarketing agent in the nation for more than $3.8 Billion of variable rate bond amount, exceeding 400 bond issues, and supported by approximately 50 different credit vehicles. Our greater than $1 billion of both Fannie Mae and Freddie Mac variable rate bonds rank Stern Brothers in the top five for these credits. We remarket bonds in over 40 states with sizes ranging from less than $1 million to greater than $100 million.
Stern Brothers currently serves as remarketing agent for almost $4.5 billion of short term, variable-rate tax-exempt bonds and notes throughout the United States, and is ranked ninth nationally based upon the number of transactions remarketed. During the past three years, the Firm’s remarketing volume has grown by more than $1 billion. Along with our fixed rate and variable rate underwriting business lies a strong private placement capability used for situations where the issuer is unable to seek an investment grade credit rating for a particular project or bond.
Marketing and Distribution Capabilities
Stern Brothers works daily with institutional investors of all types, including first, second and third-tier institutional investors; banks and bank trust companies; pension fund advisors and money market accounts. The Firm is active traders in the secondary market working with our customer accounts. Our institutional sales personnel are in close touch with portfolio managers to understand their needs and the types of structures and credit they seek.