Isle brokerage
will be sold

Fry & Co.'s founder
is leaving Hawaii

By Rick Daysog
Star-Bulletin

The founder of Fry & Co. is selling the local stock brokerage, in another sign that Hawaii's weak economy is taking its toll on isle businesses.

David Fry, who started the company in 1987, said he's negotiating with two prospective buyers for the business which at its peak managed as much as $75 million in clients' money.

Fry, who declined to identify the potential buyers, said he plans to relocate to Boca Raton, Fla., where he's accepted a job as managing director for JWH Risk Management Inc. starting July 15. JWH is affiliated with John W. Henry & Co. Inc., a trading advisor which manages nearly $2 billion in futures and stock investments for institutional clients.

Fry said his firm had been profitable but he decide to sell because he had an offer he couldn't refuse and because he saw little growth in Hawaii's weak economy.

He also blamed local and federal regulatory environments that are tough on small independent brokerages like Fry & Co. "That made operating the business less satisfying than it's ever been," he said.

Fry & Co., known for its commentary on local public companies, provided investment services for wealthy individuals and specialized in investing in the Asian emerging markets.

The firm also served as a market maker for Hawaii state bonds.

During the early 1990s, Fry & Co. employed about 12 workers at its downtown office. The company, which later relocated to Kailua, recently employed just two full-time workers.