Thomas S. Ricketts
Encyclopedia
Thomas S. "Tom" Ricketts (born May 23, 1963) is chairman of the Chicago Cubs
Chicago Cubs
The Chicago Cubs are a professional baseball team located in Chicago, Illinois. They are members of the Central Division of Major League Baseball's National League. They are one of two Major League clubs based in Chicago . The Cubs are also one of the two remaining charter members of the National...

, and the chief executive officer
Chief executive officer
A chief executive officer , managing director , Executive Director for non-profit organizations, or chief executive is the highest-ranking corporate officer or administrator in charge of total management of an organization...

 of Incapital LLC, a Chicago investment bank that packages corporate bonds for retail investors. He is also a director of TD Ameritrade Holding Corporation
TD Ameritrade
TD Ameritrade is an American online broker with over 6 million U.S. customers, and many more internationally, that has grown rapidly through acquisition to become the 746th-largest US firm in 2008. TD Ameritrade Holding Corporation is the owner of TD Ameritrade Inc...

 as well as the son of Ameritrade founder J. Joseph Ricketts
J. Joseph Ricketts
J. Joseph Ricketts is the founder, former CEO and former chairman of TD Ameritrade, one of the largest online discount brokerages in the world, based in Omaha, Nebraska...

. Forbes
Forbes
Forbes is an American publishing and media company. Its flagship publication, the Forbes magazine, is published biweekly. Its primary competitors in the national business magazine category are Fortune, which is also published biweekly, and Business Week...

estimate of the Ricketts' family wealth ($1 Billion), consolidated under J. Joseph Ricketts name, placed them at #371/ 400 on the Forbes 400
Forbes 400
The Forbes 400 or 400 Richest Americans is a list published by Forbes Magazine magazine of the wealthiest 400 Americans, ranked by net worth. The list is published annually in September, and 2010 marks the 29th issue. The 400 was started by Malcom Forbes in 1982 and treats those in the list like...

 list.

In January 2009, a Ricketts family bid led by Thomas Ricketts was chosen as the winning bidder for the Chicago Cubs
Chicago Cubs
The Chicago Cubs are a professional baseball team located in Chicago, Illinois. They are members of the Central Division of Major League Baseball's National League. They are one of two Major League clubs based in Chicago . The Cubs are also one of the two remaining charter members of the National...

. The bid was estimated to total around $900 million for the team and related assets.The sale was approved unanimously by the owners of the other 29 Major League Baseball
Major League Baseball
Major League Baseball is the highest level of professional baseball in the United States and Canada, consisting of teams that play in the National League and the American League...

 teams that October. Ricketts was introduced as the chairman of the Cubs on October 31, 2009. The transaction closed in late October, 2009. All four siblings (Pete
Pete Ricketts
John Peter "Pete" Ricketts is the former Chief Operating Officer of Ameritrade. He was the Republican nominee for the 2006 U.S. Senate race in Nebraska which he lost to incumbent Ben Nelson.-Biography:...

, Tom, Laura, and Todd) and both parents share interest in the team through their family trust.

Biography

Ricketts and his three siblings grew up in Omaha, Nebraska
Omaha, Nebraska
Omaha is the largest city in the state of Nebraska, United States, and is the county seat of Douglas County. It is located in the Midwestern United States on the Missouri River, about 20 miles north of the mouth of the Platte River...

. His father, J. Joseph Ricketts
J. Joseph Ricketts
J. Joseph Ricketts is the founder, former CEO and former chairman of TD Ameritrade, one of the largest online discount brokerages in the world, based in Omaha, Nebraska...

, founded Ameritrade when Tom was 8 years old. The Ricketts' childhood is described as normal middle class
Middle class
The middle class is any class of people in the middle of a societal hierarchy. In Weberian socio-economic terms, the middle class is the broad group of people in contemporary society who fall socio-economically between the working class and upper class....

, with their father working 80 hour weeks and worrying about paying bills. Ricketts senior let it be known that he wanted his children to establish themselves through their own hard work and would not be allowed to join TD Ameritrade until they reached the age of 30.
Ricketts is the second oldest of four children. His older brother J. Peter Ricketts lives in Omaha and was the unsuccessful Republican
Republican Party (United States)
The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S...

 nominee for the 2006 U.S. Senate race in Nebraska. Younger sister Laura Ricketts
Laura Ricketts
Laura M. Ricketts is co-owner of the Chicago Cubs and CEO of Ecotravel.com. Ricketts is also a board member of Lambda Legal and the Housing Opportunities for Women organization...

, a lawyer, developed and runs Ecotravel.com and serves on the board of directors of Lambda Legal
Lambda Legal
Lambda Legal is an American civil rights organization that focuses on lesbian, gay, bisexual, transgender communities as well as people living with HIV/AIDS through impact litigation, education, and public policy work.Lambda's founder William J. Thom, Esq...

. Laura and youngest brother Todd both live in Chicago. Ricketts and his wife Cecelia live with their five children in Wilmette, Illinois
Wilmette, Illinois
Wilmette is a village in New Trier Township, Cook County, Illinois, United States. It is located north of Chicago's downtown district and has a population of 27,651. Wilmette is considered a bedroom community in the North Shore district...

.

University of Chicago

In 1984, Ricketts moved from Omaha to Chicago
Chicago
Chicago is the largest city in the US state of Illinois. With nearly 2.7 million residents, it is the most populous city in the Midwestern United States and the third most populous in the US, after New York City and Los Angeles...

 in order to attend the University of Chicago
University of Chicago
The University of Chicago is a private research university in Chicago, Illinois, USA. It was founded by the American Baptist Education Society with a donation from oil magnate and philanthropist John D. Rockefeller and incorporated in 1890...

. Just out of high school, he moved in with his older brother Peter, also a student at the University of Chicago. Ricketts received a bachelors degree from the university in 1988 and returned to receive his Master of Business Administration
Master of Business Administration
The Master of Business Administration is a :master's degree in business administration, which attracts people from a wide range of academic disciplines. The MBA designation originated in the United States, emerging from the late 19th century as the country industrialized and companies sought out...

 in 1993. Ricketts' relationship with the university continued after graduation with reception of the Distinguished Young Alumni award from the university's Graduate School of Business
Booth School of Business
The University of Chicago Booth School of Business is a graduate business school located in Chicago, Illinois, at the University of Chicago. Formerly known as the University of Chicago Graduate School of Business, Chicago Booth is the second oldest business school in the U.S., the first such school...

. The award is presented for, among other things, recognition of extraordinary career success, outstanding leadership, and influence in the business community to support the school and current students. In addition, as an alumnus Ricketts has been generous with donations to the university. This has included both volunteering his time and establishing an endowment for the New Year Scholarship Fund. Named after his joy of celebrating the Chinese New Year
Chinese New Year
Chinese New Year – often called Chinese Lunar New Year although it actually is lunisolar – is the most important of the traditional Chinese holidays. It is an all East and South-East-Asia celebration...

, the scholarship not only funds promising students but also allows for those students to meet with Ricketts and the other members of the endowment.

Chicago Cubs

In April 2007, Sam Zell announced his intention to acquire the Chicago based Tribune Company
Tribune Company
The Tribune Company is a large American multimedia corporation based in Chicago, Illinois. It is the nation's second-largest newspaper publisher, with ten daily newspapers and commuter tabloids including Chicago Tribune, Los Angeles Times, Hartford Courant, Orlando Sentinel, South Florida...

. After acquiring the Tribune, Zell announced that he would sell the Cubs and related entities including Wrigley Field and a 25% share of SportsNet Chicago. Currently under bankruptcy protection, sale of the Cubs and the 25% interest in SportsNet Chicago will raise needed funds for the Tribune company. The Ricketts family bid, headed by Thomas S. Ricketts, was selected as the winning bid on January 22, 2009. The family bid includes all four siblings (Peter, Tom, Laura, and Todd) and both parents. Forbes
Forbes
Forbes is an American publishing and media company. Its flagship publication, the Forbes magazine, is published biweekly. Its primary competitors in the national business magazine category are Fortune, which is also published biweekly, and Business Week...

estimates that the ownership stake in the Chicago Cubs represents $642.0 million out of the total $900.0 million bid made by Ricketts.

Ricketts has said that his love for the Chicago Cubs started during the 1984 season when he was 18 years old and moved to Chicago to attend the U of C. Later, Tom and his brother Pete lived in an apartment over the "Sports Corner" at Addison and Sheffield, across the street from Wrigley Field
Wrigley Field
Wrigley Field is a baseball stadium in Chicago, Illinois, United States that has served as the home ballpark of the Chicago Cubs since 1916. It was built in 1914 as Weeghman Park for the Chicago Federal League baseball team, the Chicago Whales...

. He met his wife Cecelia in the Wrigley bleachers and simply states that "my family and I are Cubs fans". The bid was reviewed by Major League Baseball
Major League Baseball
Major League Baseball is the highest level of professional baseball in the United States and Canada, consisting of teams that play in the National League and the American League...

 and other stake holders. Although several close friends told the press about Ricketts' deep love for the Cubs, the Ricketts family decided not to court media attention until the bid was accepted by all parties.

On July 6, 2009, the Chicago Tribune
Chicago Tribune
The Chicago Tribune is a major daily newspaper based in Chicago, Illinois, and the flagship publication of the Tribune Company. Formerly self-styled as the "World's Greatest Newspaper" , it remains the most read daily newspaper of the Chicago metropolitan area and the Great Lakes region and is...

reported that Tom Ricketts and family had reached an agreement with the Tribune Company
Tribune Company
The Tribune Company is a large American multimedia corporation based in Chicago, Illinois. It is the nation's second-largest newspaper publisher, with ten daily newspapers and commuter tabloids including Chicago Tribune, Los Angeles Times, Hartford Courant, Orlando Sentinel, South Florida...

 to purchase the Cubs, Wrigley Field, and 25% of Comcast SportsNet Chicago for close to $900 million, as was originally reported. The contract was sent to commissioner Bud Selig
Bud Selig
Allan Huber "Bud" Selig is the ninth and current Commissioner of Major League Baseball, having served in that capacity since 1992 as the acting commissioner, and as the official commissioner since 1998...

 for approval. Final approval came by a unanimous vote of the other MLB owners in an October 6, 2009 conference call. Tom Ricketts is expected to take day-to-day control of the Cubs by the end of October.

On October 27, 2009, the Ricketts family, with Thomas S. Ricketts as board chairman, officially took over 95% ownership of the Chicago Cubs
Chicago Cubs
The Chicago Cubs are a professional baseball team located in Chicago, Illinois. They are members of the Central Division of Major League Baseball's National League. They are one of two Major League clubs based in Chicago . The Cubs are also one of the two remaining charter members of the National...

, Wrigley Field
Wrigley Field
Wrigley Field is a baseball stadium in Chicago, Illinois, United States that has served as the home ballpark of the Chicago Cubs since 1916. It was built in 1914 as Weeghman Park for the Chicago Federal League baseball team, the Chicago Whales...

 and 20% ownership of Comcast SportsNet Chicago. The Tribune will retain 5% ownership. http://www.chicagobreakingsports.com/2009/10/cubs-sale-to-ricketts-is-complete.html

Business history

With his father J. Joseph Ricketts
J. Joseph Ricketts
J. Joseph Ricketts is the founder, former CEO and former chairman of TD Ameritrade, one of the largest online discount brokerages in the world, based in Omaha, Nebraska...

 and his brother J. Peter Ricketts, Thomas Ricketts currently serves as a director of TD Ameritrade Holding Corporation
TD Ameritrade
TD Ameritrade is an American online broker with over 6 million U.S. customers, and many more internationally, that has grown rapidly through acquisition to become the 746th-largest US firm in 2008. TD Ameritrade Holding Corporation is the owner of TD Ameritrade Inc...

. In addition he serves as chairman and CEO of Incapital LLC. Ricketts spent one summer early in life working at TD Ameritrade, giving customers stock quotes over the phone. This was his only work experience with the company before being invited to join as a director later in life. Ricketts found business success outside of his father's company.

Mesirow Financial and ABN AMRO

Ricketts' future success in business became apparent the same year he finished undergraduate studies (1988) when he joined the Chicago Board Options Exchange
Chicago Board Options Exchange
The Chicago Board Options Exchange , located at 400 South LaSalle Street in Chicago, is the largest U.S. options exchange with annual trading volume that hovered around one billion contracts at the end of 2007...

 as a market maker
Market maker
A market maker is a company, or an individual, that quotes both a buy and a sell price in a financial instrument or commodity held in inventory, hoping to make a profit on the bid-offer spread, or turn. From a market microstructure theory standpoint, market makers are net sellers of an option to be...

. Ricketts held this position until 1994, shortly after finishing his MBA. From 1995 to 1996, he served as vice president with Mesirow Financial
Mesirow Financial
Mesirow Financial is a diversified financial services firm with headquarters in Chicago and locations across the United States and in London and Abu Dhabi...

 until moving to ABN AMRO
ABN AMRO
ABN AMRO Bank N.V. is a Dutch state-owned bank with headquarters in Amsterdam. It was re-established, in its current form, in 2009 following the acquisition and break up of ABN AMRO Group by a banking consortium consisting of Royal Bank of Scotland Group, Santander and Fortis...

 as vice president in their brokerage division. Ricketts is credited with pioneering the idea of using of the Internet and other technologies to help companies sell their investment-grade bonds directly to retail investors, as opposed to limiting sales only to institutions. He helped launch the first successful version of this system while at ABN AMRO. In 1999 he left ABN AMRO to found Incapital.

Incapital LLC

Ricketts co-founded Chicago based Incapital
Incapital
Incapital LLC is a investment banking boutique founded by Thomas S. Ricketts in 1999. The securities and investment banking firm has offices in Chicago, Illinois, Boca Raton, Florida and London, England. Currently, Ricketts serves as Incapital chairman with John Radtke as CEO...

 LLC
Limited liability company
A limited liability company is a flexible form of enterprise that blends elements of partnership and corporate structures. It is a legal form of company that provides limited liability to its owners in the vast majority of United States jurisdictions...

 in 1999. The securities and investment banking firm has since expanded with two additional offices in Boca Raton, Florida
Boca Raton, Florida
Boca Raton is a city in Palm Beach County, Florida, USA, incorporated in May 1925. In the 2000 census, the city had a total population of 74,764; the 2006 population recorded by the U.S. Census Bureau was 86,396. However, the majority of the people under the postal address of Boca Raton, about...

 and London, England. Currently, Ricketts serves as Incapital chairman and chief executive officer
Chief executive officer
A chief executive officer , managing director , Executive Director for non-profit organizations, or chief executive is the highest-ranking corporate officer or administrator in charge of total management of an organization...

. Forbes
Forbes
Forbes is an American publishing and media company. Its flagship publication, the Forbes magazine, is published biweekly. Its primary competitors in the national business magazine category are Fortune, which is also published biweekly, and Business Week...

describes the company as a "technologically-oriented investment bank focused exclusively on the underwriting and distribution of fixed income products to individual investors. Incapital underwrites for several major U.S. corporations through its InterNotesSM product platform".
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