Biography

He was born in Carmel, New York

Carmel, New York

Carmel is a town located in Putnam County, New York, USA. As of the 2000 census, the town had a total population of 36,465.There are no incorporated villages in the town, although the hamlets of Carmel and Mahopac each have populations sizable enough to be thought of as villages.The Town of Carmel...

.

Drew was poorly educated. His father died when Daniel was fifteen years old. Drew enlisted and drilled, but because he enlisted too late, never fought in the War of 1812

War of 1812

The War of 1812 was a military conflict fought between the forces of the United States of America and those of the British Empire. The Americans declared war in 1812 for several reasons, including trade restrictions because of Britain's ongoing war with France, impressment of American merchant...

. After the war, he started a successful cattle-driving business. In 1823, he married Roxanna Mead. In 1834, he entered the steamship business, competing unsuccessfully with Cornelius Vanderbilt

Cornelius Vanderbilt

Cornelius Vanderbilt , also known by the sobriquet Commodore, was an American entrepreneur who built his wealth in shipping and railroads. He was also the patriarch of the Vanderbilt family and one of the richest Americans in history...

 but running numerous profitable lines outside of New York

New York City

New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...

.

He founded the brokerage firm of Drew, Robinson & Company in 1844, which dissolved a decade later with the deaths of his partners. He continued to work in the brokerage business as an independent operator. Drew is popularly credited with introducing the term "watered stock

Watered stock

Watered stock is an asset with an artificially-inflated value. The term is most commonly used to refer to a form of securities fraud common under older corporate laws that placed a heavy emphasis upon the par value of stock.- Origin of term :...

" to the New York financial district, to describe company shares whose price has been temporarily manipulated upward; the term supposedly came from his time in the cattle business, when he would have his cattle drink water before selling them, to increase their weight temporarily.

In 1857, Drew became a member of the board of directors of the Erie Railroad

Erie Railroad

The Erie Railroad was a railroad that operated in New York State, New Jersey, Pennsylvania, Ohio, Indiana, and Illinois, originally connecting New York City with Lake Erie...

 and used his position to manipulate the firm's stock price.

In 1864, Drew once again struggled with Vanderbilt, speculating on the stock of the New York and Harlem Railroad

New York and Harlem Railroad

The New York and Harlem Railroad was one of the first railroads in the United States, and possibly also the world's first street railway. Designed by John Stephenson, it was opened in stages between 1832 and 1852 between Lower Manhattan to and beyond Harlem...

. Drew was selling the stock short

Short selling

In finance, short selling is the practice of selling assets, usually securities, that have been borrowed from a third party with the intention of buying identical assets back at a later date to return to that third party...

, but Vanderbilt and his associates bought every share he sold, ultimately causing the stock price to rise from 90 to 285 in five months. Drew lost $500,000.

In 1866-1868, Drew engaged in the Erie War

Erie War

The Erie War was a 19th century conflict between American financiers for control of the Erie Railroad, which operated in several American states and connected New York to Chicago....

, in which Drew conspired along with fellow directors James Fisk

James Fisk (financier)

James Fisk, Jr. —known variously as "Big Jim," "Diamond Jim," and "Jubilee Jim"—was an American stock broker and corporate executive.-Early life and career:...

 and Jay Gould

Jay Gould

Jason "Jay" Gould was a leading American railroad developer and speculator. He has long been vilified as an archetypal robber baron, whose successes made him the ninth richest American in history. Condé Nast Portfolio ranked Gould as the 8th worst American CEO of all time...

 to issue stock to keep Vanderbilt from gaining control of the Erie Railroad. Vanderbilt, unaware of the increase in outstanding shares, kept buying Erie stock and sustained heavy losses, eventually conceding control of the railroad to the trio.

In 1870, Fisk and Gould betrayed Drew, manipulating the stock price of the Erie Railroad and causing him to lose $1.5 million. {Fisk was killed in 1871 by a jealous rival over a mistress and Gould himself would later be swindled out of $1,000,000 worth of Erie railroad stock and never controlled the Erie Railroad}. The Panic of 1873

Panic of 1873

The Panic of 1873 triggered a severe international economic depression in both Europe and the United States that lasted until 1879, and even longer in some countries. The depression was known as the Great Depression until the 1930s, but is now known as the Long Depression...

 cost him still more, and by 1876, Drew filed for bankruptcy

Bankruptcy

Bankruptcy is a legal status of an insolvent person or an organisation, that is, one that cannot repay the debts owed to creditors. In most jurisdictions bankruptcy is imposed by a court order, often initiated by the debtor....

, with debts exceeding a million dollars and no viable assets. He died in 1879, dependent on his son for support.

Drew, a devout Methodist, built churches in Carmel and Brewster, New York

Brewster, New York

Brewster is a village within the town of Southeast in Putnam County, New York, United States. Its population was 2,162 at the 2000 census. The village is the most densely populated portion of the town...

, contributed to the founding of Drew Theological Seminary in Madison, New Jersey

Madison, New Jersey

Madison is a borough in Morris County, New Jersey, in the United States. As of the 2000 United States Census, the population was 16,530. It also is known as "The Rose City".-Geography:Madison is located at ....

, which is now part of Drew University

Drew University

Drew University is a private university located in Madison, New Jersey.Originally established as the Drew Theological Seminary in 1867, the university later expanded to include an undergraduate liberal arts college in 1928 and commenced a program of graduate studies in 1955...

, and Drew Seminary for Young Ladies in his home town of Carmel.

Drew Street, in eastern Baltimore, Maryland, is reportedly named after him due to Drew's involvement as an investor in the Baltimore Canton Company, which owned and developed much of the area through the early 1900's.