Peter Eichler Jr., grandson of the founder of former L.A. brokerage giant Bateman Eichler & Co., said he's starting a new firm here with the same name.
The original Bateman Eichler, founded in Los Angeles in 1931, grew into one of the larger regional securities firms before it was bought by Kemper Securities in 1982.
"The Bateman Eichler name is familiar to thousands of investors in California," said Eichler, 42, the grandson of Bateman founder Rudolph J. Eichler. He said he plans a high-service firm for high-net-worth individual investors.
The majority owner of the new Bateman Eichler is Santa Monica-based Aletheia Research & Management, which manages about $125 million for wealthy individuals and partnerships. Eichler is head of Aletheia, which he founded in 1997.
Eichler worked at brokerage Bear Stearns & Co. from 1986-1997 and became a managing director.
Eichler said the new Bateman Eichler already has six brokers and expects to hire more. He said the firm will produce its own research and will pay established brokers 60% of the commissions they generate, and trainee brokers less, though the percentage would never be less than 50%.
That's higher than the 35% share of commissions the average broker earns, according to Dan Jamieson, editor of Registered Representative, a magazine in Irvine devoted to the brokerage business.
"Brokers will still know the [Bateman Eichler name]," said Jamieson. "I'm not sure about investors."