Wood, Gundy & Company, the precursor of CIBC's investment banking arm, opened its doors on February 1, 1905 at the corner of King and Yonge streets in Toronto. Formed by George Herbert Wood and James Henry Gundy, the firm initially specialized in underwriting and distributing municipal and provincial bonds. At a time when Canada was a country of savers, not investors, Wood and Gundy were pioneers in the investment business.
On June 30, 1987, changes to federal and provincial regulations ended the traditional separation of banks, investment dealers, trust companies and insurance companies. A year later, CIBC acquired a majority interest in Wood Gundy Inc., by then one of Canada's leading securities dealers and the foremost Canadian dealer internationally. While the bank provided the capital necessary to compete in the new environment, Wood Gundy brought a pre-eminent reputation in underwriting as well as a legendary name. Given their complementary strengths, the operations of Wood Gundy and the bank's investment banking arm merged. The result, CIBC Wood Gundy Inc., formed the core of CIBC World Markets when it was created in 1997.