# Strong Capital Management

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{{Short description|Defunct financial services firm based in Menomonee Falls, Wisconsin}}
{{Infobox company
| name = Strong Capital Management
| logo = 
| fate = Acquired by [Wells Fargo](/source/Wells_Fargo)
| predecessor = 
| successor = 
| foundation = {{sda|1974}}
| defunct = 2004
| location = [Menomonee Falls, Wisconsin](/source/Menomonee_Falls%2C_Wisconsin)
| industry = [Investment management](/source/Investment_management)
| key_people = Richard Strong
| products = [Financial services](/source/Financial_services), [Wealth management](/source/Wealth_management)
| num_employees = 
| parent = 
| subsid = 
}}

'''Strong Capital Management''' was a financial services firm based in [Menomonee Falls, Wisconsin](/source/Menomonee_Falls%2C_Wisconsin). During its 30-year existence, it acquired other companies<ref>{{cite news|url=http://nl.newsbank.com/nl-search/we/Archives?p_product=MWSB&p_theme=mwsb&p_action=search&p_maxdocs=200&p_topdoc=1&p_text_direct-0=0EB82CFC4B69C212&p_field_direct-0=document_id&p_perpage=10&p_sort=YMD_date:D&s_trackval=GooglePM|title=Strong Capital Management buys Ziegler's discount brokerage|date=August 13, 1999|work=Journal-Sentinel|accessdate=1 June 2012}}</ref> and expanded into the Israeli market.<ref>{{cite news|url=http://www.globes.co.il/serveen/globes/docview.asp?did=687337&fid=942|title=Strong Capital Management launches Israel operation|date=May 3, 2003|work=Globes|accessdate=1 June 2012}}</ref>  However, it became defunct after the [2003 mutual fund scandal](/source/2003_mutual_fund_scandal) amid charges of improper mutual fund trading.

In May 2004, the firm agreed to pay $80 million in restitution to investors, and founder/CEO Richard Strong agreed to personally pay an additional $60 million; two other executives were also sanctioned and fined.<ref>{{Cite web| title = Strong Capital Management and Founder Richard Strong Agree to Pay $140 Million to Settle Fraud Charges Concerning Undisclosed Mutual Fund Trading| access-date = 2025-07-29| url = https://www.sec.gov/news/press/2004-69.htm}}</ref> The agreement was reached in a settlement with the [Securities and Exchange Commission](/source/Securities_and_Exchange_Commission), [New York State](/source/New_York_State) Attorney General [Eliot Spitzer](/source/Eliot_Spitzer), and [Wisconsin](/source/Wisconsin) Attorney General [Peg Lautenschlager](/source/Peg_Lautenschlager). Unlike most such settlements, the firm admitted wrongdoing and apologized to investors.<ref>{{cite news|url=https://www.usatoday.com/money/perfi/funds/2004-05-20-strong-settle_x.htm|title=Strong Capital, founder to pay $140M in settlement|date=May 20, 2004|work=USA Today|accessdate=1 June 2012}}</ref> Strong and the other two executives were barred from the securities industry for life, but no criminal charges were filed.<ref>{{cite news|url=https://money.cnn.com/2004/05/20/funds/fundsfire_strong/?cnn=yes|archive-url=https://web.archive.org/web/20141011231540/http://money.cnn.com/2004/05/20/funds/fundsfire_strong/?cnn=yes|url-status=dead|archive-date=October 11, 2014|title=Strong, firm to pay $140M in settlement|date=May 25, 2004|work=CNN Money|accessdate=1 June 2012}}</ref>

The settlement cleared the way for the company to be sold. It was acquired by [Wells Fargo](/source/Wells_Fargo) later in 2004.<ref>[https://www.wellsfargo.com/press/strong05262004?year=2004 Wells Fargo press release]</ref>

==References==
{{Reflist}}

Category:Defunct financial services companies of the United States
Category:Defunct companies based in Wisconsin
Category:1974 establishments in Wisconsin
Category:2004 disestablishments in Wisconsin

{{US-finance-company-stub}}

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Adapted from the Wikipedia article [Strong Capital Management](https://en.wikipedia.org/wiki/Strong_Capital_Management) by Wikipedia contributors ([contributor history](https://en.wikipedia.org/wiki/Strong_Capital_Management?action=history)). Available under [Creative Commons Attribution-ShareAlike 4.0 International](https://creativecommons.org/licenses/by-sa/4.0/). Changes may have been made.