SYMCO Holdings Manages Companies
SYMCO Holdings Company directs the management and operations of the subsidiaries it owns and maintains the authority to add or remove board members, directors and other key management and personnel. SYMCO has strict managerial control or may allow subsidiaries to act with some level of autonomy for day-to-day business operations, including lower- and midlevel hiring and certain budgeting decisions.
SYMCO subsidiaries has little to no financial control over its operations. Even independently acting subsidiaries are ultimately financially controlled by their SYMCO Holdings Company. This includes financial activities such as investment decisions, sales projections and budgeting. If a subsidiary was itself a holding company prior to becoming a subsidiary of SYMCO, all of its subsidiaries also become subsidiaries of SYMCO as the top holding company.
SYMCO may invest in subsidiaries in a variety of industries to diversify its investment, lower its risk potential and, in some instances, take advantage of shared loss and tax consolidation. Although a holding company may enjoy the profits of its subsidiaries, it also has a fiduciary responsibility to the subsidiaries it controls. A subsidiary that regains a majority of its shares also regains its autonomy from its holding company.