Alan Schwartz joined
Bear Stearns in 1976, first working in
Dallas. In 1979, he was appointed the director of research and investment in
New York City. He became Co-President and Co-
COO on June 25, 2001. Schwartz became sole President and COO in August 2007 after Warren Spector (the original heir-apparent to Chairman and CEO
Jimmy Cayne) was forced to resign in the wake of the collapse of two hedge funds, which foreshadowed the upcoming subprime mortgage crisis and financial meltdown. Schwartz became CEO in January 2008. When Schwartz became CEO, Bear Stearns stock traded around $75 per share; however, the share price continued to drop as the financial crisis worsened over 2007-08. Within a week of its near collapse and merger with
JPMorgan Chase on March 16, 2008, the shares were trading at $5.33 per share. After the deal with JPMorgan was announced, the fire sale price of the stock prompted a reportedly angry confrontation between Schwartz and senior trader Alan Mintz in the company gym. Schwartz stayed on with JPMorgan for a short while to manage the transition but declined a permanent senior position with the firm. Schwartz also turned down offers from rival investment banks
Goldman Sachs and
Morgan Stanley. According to Schwartz, the new job meant "fate has dealt [him] an opportunity to start
from scratch." In 1994, Schwartz was elected to the
Common Cause National Governing Board. In 2006, he was a founding board member of the
Robin Hood Foundation. ==Personal life==