This op-ed was featured in <a href="https://morningconsult.com/opinions/strength-of-large-u-s-banks-means-its-time-to-rely-on-rigorous-capital-distribution-process/">Morning Consult</a>.&nbsp;<h3>By Kevin Fromer</h3><blockquote>Later this week, the Federal Reserve will issue results of its latest round of stress tests, offering an update on the health and safety of the largest banks in the country. This assessment marks the third round of stress tests the government has conducted in a year to measure the capital adequacy of large U.S. banks.</blockquote>These results will herald the full return to the government’s normal capital distribution oversight <a href="https://www.federalreserve.gov/newsevents/pressreleases/bcreg20210325a.htm">process</a>, which was halted in 2020 due to the uncertain economic effects of the pandemic. Given the strength of the nation’s largest banks and the rapid improvement in the economy, it is clearly time to rely on the established and rigorous regulatory process, which allows banks to return excess capital to investors across the country. This return to regular order will support the economy as we build a strong, inclusive recovery.Capital distributions are expected by investors in any large corporation. Companies in a variety of&nbsp;<a href="https://www.wsj.com/articles/companies-are-flush-with-cashand-ready-to-pad-shareholder-pockets-11621157406">industries</a>&nbsp;routinely distribute portions of their earnings to investors — it is how American companies attract investment so that they can grow, create jobs, expand services and better support the economy.Despite what critics would have you believe, the capital distribution process is not a zero-sum game. Share distributions&nbsp;<a href="https://finance.yahoo.com/news/tax-cuts-fuel-stock-buyback-spike-130545937.html?acid=twitter_yfsocialtw_l1gbd0noiom&amp;ncid=twitter_yfsocialtw_l1gbd0noiom&amp;guccounter=1">complement</a> — not replace — the investments that banks make in their communities, workers, operations and businesses. Only safe and highly capitalized banking institutions can even consider buybacks or dividends.What’s more, unlike every other industry, large financial institutions face higher regulatory scrutiny and approval to buy back shares or to issue dividends.This year, large banks must pass a strenuous stress test to demonstrate they maintain a strong capital position and can support the economy, even during a significant downturn. They must further satisfy several different regulatory capital&nbsp;<a href="https://www.federalreserve.gov/newsevents/pressreleases/files/bcreg20200304a2.pdf">requirements</a>&nbsp;each quarter to continue making planned buybacks and dividends. Then, and only then, are banks able to distribute capital.In the most recent test, which the Federal Reserve completed in&nbsp;<a href="https://www.federalreserve.gov/publications/files/2020-dec-stress-test-results-20201218.pdf">December</a>, the average post-stress capital ratio for the U.S. Global Systemically Important Banks was 9.7 percent, significantly larger than that of other U.S. banks subject to the stress tests and more than twice the minimum requirement of 4.5 percent.The largest U.S. banks entered the global pandemic in a strong position and they acted quickly to&nbsp;<a href="https://fsforum.com/our-impact/covid-19-response">support</a>&nbsp;customers, small businesses, employees and the communities in which they operate. They also&nbsp;<a href="https://fsforum.com/news/financial-services-forum-statement-on-share-buybacks">suspended</a>&nbsp;their share buybacks — which account for the majority of their capital distributions — and aggressively reserved for potential losses. Importantly, large banks’ strength and scale allowed them to significantly support the economy.In 2020, the nation’s largest banks increased their provision of&nbsp;<a href="https://fsforum.com/a/Credit_ad3853a06e/Credit_ad3853a06e.pdf">credit</a>&nbsp;by 10 percent, helping families, small businesses, large employers and the government. They accepted a massive surge in deposits and facilitated loans to nearly 850,000&nbsp;<a href="https://fsforum.com/a/COVID_19_Response_b55baf7fc3/COVID_19_Response_b55baf7fc3.pdf">small businesses</a>&nbsp;through the Paycheck Protection Program. They also committed significant resources to communities across the country, creating or preserving more than 158,000 affordable&nbsp;<a href="https://fsforum.com/a/Committed_to_Affordable_Housing_2021_4c59c48264/Committed_to_Affordable_Housing_2021_4c59c48264.pdf">housing</a>&nbsp;units, and supported their nearly 758,000 employees by giving them extra time off, paying for child and elder care and providing economic incentives.The largest banks have also been strong&nbsp;<a href="https://fsforum.com/our-impact/supporting-underserved-communities">supporters</a>&nbsp;of historically underserved communities. In addition to the work they are doing to promote lending in minority neighborhoods, they are investing in mission-driven financial institutions so that they can succeed and serve diverse and low- and moderate-income communities. From 2015 to 2020, the largest banks&nbsp;<a href="https://fsforum.com/a/cdfifactsheetfinal2021_861e28ce56/cdfifactsheetfinal2021_861e28ce56.jpeg">invested</a>&nbsp;$9 billion in Community Development Financial Institutions, and they have also&nbsp;<a href="https://fsforum.com/a/MDI_One_Pager_6a4a12345f/MDI_One_Pager_6a4a12345f.pdf">committed</a>&nbsp;more than $500 million to Minority Depository Institutions, in some cases investing directly in the MDIs to support their long-term wellbeing.The largest banks are committed to supporting their employees and the communities they serve. These institutions can and will continue to provide this support while distributing&nbsp;capital.It’s important to remember that the benefits of buybacks and dividends to the economy go far beyond the shareholders. More than half of all U.S. households own stocks, either directly&nbsp;or indirectly, according to the&nbsp;<a href="https://www.federalreserve.gov/econres/scfindex.htm">Federal Reserve</a>. Moreover, stock holdings are most concentrated among households headed by a retiree and dependent on dividends to meet their financial needs. Therefore, money returned to shareholders recirculates throughout the economy.&nbsp;It is our banks’ responsibility to those teachers, first responders, veterans and small businesses who invest in them to always use capital in the highest and most efficient way possible.As Federal Reserve Chairman Jerome Powell&nbsp;<a href="https://www.govinfo.gov/content/pkg/CHRG-115shrg32517/pdf/CHRG-115shrg32517.pdf">said</a>: “When a company buys back its shares or pays higher dividends, the resources do not disappear. Rather, they are redistributed to other uses in the economy. For instance, shareholders may decide to invest the windfall in another company, which may in turn make productivity-enhancing investments. Or they may decide to spend the windfall on goods and services that are produced by other companies, who may in turn hire new workers. In these ways, stock repurchases would also be likely to boost economic growth.”The nation’s largest banks are committed to serving our country and to building an economic recovery that supports everyone. They have been through a real-life stress test during the past year and have shown that they are safe, strong, and are a key source of support for the economy. Government oversight of share distributions by the largest U.S. banks is rigorous, and ensures the continued strength of the financial system. The fact that banks have such excess capital to reinvest in the form of buybacks and dividends is a promising sign for the economy. It is now time to rely upon a normal process of assessing our institutions, and ensuring that they may support a durable, inclusive recovery.&nbsp;Kevin Fromer is president and CEO of the Financial Services Forum, which represents the eight largest, most diversified U.S. banking institutions, and previously served as&nbsp;the Assistant Secretary of the Treasury for Legislative Affairs from 2005 to 2009.&nbsp;

Op-ed: Strength of Large U.S. Banks Means It’s Time to Rely on Rigorous Capital Distribution Process

CONTACT: Barbara Hagenbaugh(202) 457-8783bhagenbaugh@fsforum.comNiko Davis(202) 713-7322ndavis@fsforum.com&nbsp;“The strength and resiliency of the nation’s largest banks have been reconfirmed,” Forum CEO says. Washington, D.C. – Financial Services Forum President and CEO Kevin Fromer issued the following statement today in response to the Federal Reserve Board’s 2021 Dodd-Frank Act Stress Test <a href="https://www.federalreserve.gov/publications/files/2021-dfast-results-20210624.pdf">results</a>:&nbsp;“The strength and resiliency of the nation’s largest banks have been reconfirmed through this hypothetical stress test as well as their performance throughout the dramatic course of the global economy over the past 15 months. We are proud of the supportive role our member banks have been able to play for American businesses and households.“The eight Global Systemically Important Banks (GSIBs) entered the pandemic in a position of strength. Since 2010, their Tier 1 capital, which acts as a buffer against losses, has risen 51 percent to $985 billion. This strength positioned them to act quickly to support customers, small businesses, employees and communities across the country during the pandemic.“The Federal Reserve’s stress tests—the third such test conducted in a year—show that GSIBs are well capitalized and fully capable of supporting the economy, even in the face of significant losses. Given the strength of the nation’s largest banks and the rapid economic recovery, it is time to rely on the rigorous regulatory process that calculates the potential return of excess capital safely to investors across the country. This reasonable return of excess capital will support the economy as we build a strong and broad recovery.”Background:In <a href="https://fsforum.com/our-impact/covid-19-response">2020</a>, the nation’s largest banks increased their provision of credit by 10 percent, helping families, small businesses, large employers, and the government. They accepted a massive surge in deposits and facilitated loans to nearly 850,000 small businesses through the Paycheck Protection Program. They also committed significant resources to communities across the country, creating or preserving more than 158,000 affordable housing units, and supported their nearly 758,000 employees by giving them extra time off, paying for child and elder care and providing economic incentives.The largest banks have also been strong <a href="https://fsforum.com/our-impact/supporting-underserved-communities">supporters</a> of historically underserved communities. In addition to the work they are doing to promote lending in minority neighborhoods, they are investing in mission-driven financial institutions so that they can succeed and serve diverse and low- and moderate-income communities.The banks supported the economy while also remaining extremely healthy and strong. Still, out of abundance of caution at the onset of the pandemic, GSIBs <a href="https://fsforum.com/news/financial-services-forum-statement-on-share-buybacks">suspended</a> their share buybacks—which account for the majority of their capital distributions—and &nbsp;reserved for potential losses. The Federal Reserve also put on hold its regular process for permitting capital distributions of excess capital given the economic uncertainty. &nbsp;Today’s release marks the full return to the government’s normal, rigorous capital distribution oversight process, a process that exists for no other industry in the United States.Share distributions complement—not replace—investments businesses in all industries make in their communities, workers, capital, and businesses. Dividends and buybacks are good for the economy and benefit all shareholders. More than half of all U.S. households own stocks, either directly or indirectly, putting money into the pockets of people who can spend it in support of industries across the country.Click <a href="https://fsforum.com/a/Buybacks_and_Dividends_Supporting_the_Economy_d7452feac2/Buybacks_and_Dividends_Supporting_the_Economy_d7452feac2.pdf">here</a> for more information on share distributions.Read <a href="https://fsforum.com/news/large-bank-resilience-and-the-stress-tests">more</a> about the Forum member’s performance in the 2021 stress tests in our blog.###The Financial Services Forum is an economic policy and advocacy organization whose members are the chief executive officers of the eight largest and most diversified financial institutions headquartered in the United States. &nbsp;Forum member institutions are a leading source of lending and investment in the United States and serve millions of consumers, businesses, investors, and communities throughout the country. The Forum promotes policies that support savings and investment, financial inclusion, deep and liquid capital markets, a competitive global marketplace, and a sound financial system. Visit our website: <a href="https://fsforum.com">fsforum.com</a> Follow us on Twitter <a href="https://twitter.com/fsforum">@fsforum</a> and <a href="https://www.linkedin.com/company/financial-services-forum">LinkedIn</a> &nbsp;

Federal Reserve Stress Tests Reaffirm Strength and Safety of Largest U.S. Banks 

Dear reader,Welcome to the fifth edition of the Forum File. This issue, we are highlighting how our members are fulfilling their commitments to create a more equitable and inclusive economy as we continue to recover from the pandemic.Thanks for reading, and don’t hesitate to share your thoughts.Kevin Fromer, President and CEO, Financial Services Forum&nbsp;<h2>Penny For Your Thoughts</h2>“We are listening to our employees and know how deeply concerned they are about the ongoing challenges facing their communities and society as a whole. They want to contribute and be part of an organization committed to driving positive change.” – Jolen Anderson, Global Head of Human Resources and Global Impact Citizenship at BNY Mellon<h3>How is BNY Mellon investing in the people and communities it operates in?</h3>It’s hard to categorize all the ways the global pandemic has changed our society, but two substantial areas it has highlighted is the need to continue to digitize the processes and programs we all rely on and the even more urgent need for us all to address widespread racial, social, economic, and health-related disparities. As we have considered our giving strategy following the pandemic, we’ve recognized the incredible opportunity of combining these two areas (people and community) to ensure all communities have access to the digital economy.In pursuit of this idea, we are supporting efforts that educate, train, and develop traditionally underrepresented communities in the business and advanced technology fields. Especially young people will need to possess critical, foundational technical skills, soft skills, and relevant work experience to maximize their potential in the future economy. At the same time, others need support reskilling and upskilling.<h3>What steps are BNY Mellon taking to support the education and training underserved communities need to truly access the future digital economy?</h3>A core part of BNY Mellon’s philanthropic efforts and overarching philosophy around employee volunteerism is a commitment to developing a workforce for the future – one that is equipped to meet the demands of a technologically-driven society.In the past year, we’ve taken critical steps to support this goal. In 2020,<a href="https://www.bnymellon.com/us/en/about-us/newsroom/company-news/bny-mellon-commits-20-million-to-fund-the-future-workforce.html"> we made a $20 million, multiyear commitment</a> to academic and job training organizations for educational and workforce development programming. Building on our existing workforce initiatives, we are investing in the educational success of underserved populations, upskilling and reskilling members of the communities we work in. Specifically, this commitment includes $10 million to City University of New York (CUNY), a long-standing grantee for BNY Mellon, to underwrite the launch of the NYC Future of Work Initiative to further expand the BNY Mellon Transfer Scholarship Program. We also committed $5 million to the Community College of Allegheny County (CCAC) to establish the BNY Mellon Early College in High School program.&nbsp;The remaining $5 million of our Future of Work commitment includes investment in additional workforce training to better equip individuals with skills, experience, qualifications and access to a tightening labor market through 2022.<h3>What other strategies is BNY Mellon pursuing to ensure positive, impactful change?</h3>Beyond our efforts to support our Future of Work initiative, we are also Committed to Putting the <a href="https://www.bnymellon.com/us/en/about-us/esg-and-responsible-investment.html">Future First</a> by powering a new era of ESG. BNY Mellon is committed to using our reach, market influence and resources to help address a variety of pressing global environmental, social and governance (ESG) issues. We aim to accelerate the evolution of ESG—on behalf of clients, investors, communities and all the stakeholders—to make a positive impact on people and the planet.With our size, scale and significance at the heart of the financial system, we touch many points along the financial value chain-giving us an unparalleled view of the continuous shifts in ESG. We're uniquely positioned to collaborate with clients to drive transparency, insight and impact.Recently, we published our <a href="https://www.bnymellon.com/content/dam/bnymellon/documents/pdf/insights/considering-climate-at-bny-mellon.pdf.coredownload.pdf">Considering Climate Report </a>which clearly and publicly outlines our approach and commitment as a global financial institution to sustainability and combatting climate change.We also hosted the <a href="https://futurefirstforum.bnymellon.com/?cid=ALL_OSM_XC003275_Week430secpromoTwitter_ALLSEG_PUB_GL_TWT_BRN__DV__">Future First Forum</a> to help foster a larger conversation about what our industry and others can do to develop meaningful ESG strategies and share ideas that help us all truly safeguard the future.<h2>&nbsp;</h2><h2>Value Add</h2>Community Impact, Skills-based volunteering, and signature pro-bono program<figure class="image image_resized" style="width:100%;"><img src="https://fsforum.com/a/media/screen-shot-2021-07-28-at-12.13.47-pm.png"></figure>Since the launch of our Community Impact Program in 2008, BNY Mellon employees volunteered nearly 1.3 million hours valued at approximately $25 million.Skills-based volunteering leverages the company’s greatest asset — our employees’ knowledge and expertise — and opens opportunities to make an impact on society. In this regard, 2020 was no exception. Despite the lockdowns and restrictions on in-person activities, employees from 16 countries continued to volunteer in 2020.Many volunteer projects pivoted to virtual volunteering, totaling more than 54,000 hours to serve a variety of important causes and organizations.This included activities such as virtual mentoring with underrepresented high school students, coaching young first-generation-to-college entrepreneurs, and providing strategic advising to non-profits through the Signature Pro Bono Program.Through pro bono volunteering, we leverage the talent of our employees to increase the nonprofit sector’s capacities in our communities. In fact, since 2017, the Signature Pro Bono Program has provided critically needed capacity-building support in areas such as finance, technology and marketing to a number of non-profit organizations. BNY Mellon employees delivered nearly 3,000 hours of corporate and legal pro-bono services, valued at over $500,000 in 2020. Additionally, 100% of participants reported that the experience allowed them to develop professionally and that they would participate again.&nbsp;<h2>Capitol Gains</h2>What we're doing in WashingtonAs seen in <a href="https://fsforum.com/news/op-ed-strength-of-large-u-s-banks-means-it-s-time-to-rely-on-rigorous-capital-distribution-process">Morning Consult</a>, we supported the full return to the government’s normal capital distribution oversight process. U.S. Global Systemically Important Banks are strong and resilient. In fact, in the second most recent stress test, the average post-stress capital ratio for our members was 9.7 percent—more than twice the minimum requirement of 4.5 percent.In addition, we have been highlighting Forum members’ commitments to addressing racial and economic inequities through:·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Significant contributions to Community Development Financial Institutions (CDFIs) and Minority Depository Institutions (MDIs) with $9 billion in investments in CDFIs and $500 million into MDIs.·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Financing the creation or preservation of more than 158,000 affordable housing units in 2020.&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Improving representation in the workplace by increasing diversity among Forum member professional employees, managers, and executives from 2018 to 2020.Learn more <a href="https://fsforum.com/a/Supporting_Workforce_Diversity_a4bf164240/Supporting_Workforce_Diversity_a4bf164240.pdf">here</a>.&nbsp;<h2>Our Two Cents</h2>Research from the ForumThe BankNotes Blog Spotlighted:·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <a href="https://fsforum.com/news/large-bank-resilience-and-the-stress-tests">Results of this year’s stress test</a> released by the Federal Reserve, showing Forum members maintained more than double the regulatory minimum capital ratio. Even if stress losses were increased by 50 percent, Forum members would still maintain a capital ratio well in excess of the minimum.·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <a href="https://fsforum.com/news/changing-realities-and-financial-regulation-the-changing-nature-of-short-term-wholesale-funding">New research</a> from economists at the Federal Reserve Board and the University of Chicago demonstrating that the role played by short-term wholesale funding in the banking system has changed significantly over the past decade.·&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <a href="https://fsforum.com/news/pistons-or-sparkplugs-how-large-banks-and-governments-work-together-to-support-the-economy">Large banks coexist alongside government</a> in our economy and our modern economy can’t operate productively or efficiently without contributions from both.&nbsp;<h2>Checking the Balance</h2>Members in the newsBank of America announced grant funding for <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2021/06/bank-of-america-announces-2021-art-conservation-project-grant-se.html">23 major art restoration projects</a> in 13 countries and nine U.S. cities through the 2021 Bank of America Art Conservation Project. The firm is celebrating a decade of providing grant funding to nonprofit cultural institutions throughout the world to conserve historically or culturally significant works of art that are in danger of deterioration. The bank further showed its dedication to the arts by announcing a <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2021/07/bank-of-america-awards--1-million-dollar-grant-to-cleveland-s-ka.html">$1 million dollar anchor grant</a> to Karamu House, the oldest African American producing theatre in the United States.BNY Mellon earned a <a href="https://www.bnymellon.com/us/en/about-us/newsroom/company-news/bny-mellon-named-to-2021-disability-equality-index.html">100% on the Disability Equality Index</a> for 2021 and was recognized by the American Association of People with Disabilities and Disability:IN as a Best Place to Work for its disability inclusion practices and policies. HEART, BNY Mellon’s Employee Resource Group for Diverse Abilities, helps support work that elevates awareness of disabilities and promotes a safe, respectful and welcoming environment.<a href="https://urldefense.com/v3/__https:/www.bloomberg.com/news/articles/2021-07-21/citigroup-traders-bankers-vie-to-do-stints-at-black-owned-banks__;!!Jkho33Y!w8NN97EHACTtWgbbvwStb2UfHWVehWR5zvsjptN3moUX4xEFRzFS2yb6Cx4ovGI$">Bloomberg reported</a> Citi’s new mentorship program which allows senior executives to spend time working at black owned banks and help the minority depository institution (MDIs) shore up operations or establish new lines of business as part of the firm’s efforts to mentor and offer long-term revenue growth opportunities to the country’s dwindling MDIs. In addition to these recent efforts, Citi has provided $50 million to half a dozen such banks as part of a broader $1 billion commitment to closing the nation’s wealth gap.Goldman Sachs announced the <a href="https://www.goldmansachs.com/media-relations/press-releases/2021/ombw-first-round-of-capital-and-philanthropic-grants.html">initial grants and investments</a> for the One Million Black Women initiative, which has committed more than $10 billion to advance racial equity and economic opportunity by investing in Black women. Investment capital and philanthropic grants will provide organizations funds to advance causes including expanding broadband access, increasing access to financial coaching, providing affordable housing, decreasing maternal mortality rates, and more.JPMorgan Chase announced new steps <a href="https://www.forbes.com/sites/brendarichardson/2021/06/24/chase-commits-400-million-toward-closing-the-housing-affordability-gap/?sh=73196881b95f">to improve housing affordability and stability</a> as well as affordable homeownership opportunities for Black and Latinx households. As part of its $30 billion commitment to racial equity, a new five-year, $400 million philanthropic commitment will focus on housing stability, affordability and wealth creation. The firm also announced new efforts to advance federal housing policies that help mitigate bias in the home appraisal process such as promoting equal access to valuation data and improved appraisal process techniques. JPMorgan Chase is also providing mentors for trainees in the Appraiser Diversity Pipeline Initiative, an initiative led by the Appraisal Institute and Fannie Mae to attract new people in the field and increase diversity in the industry.Morgan Stanley awarded <a href="https://www.morganstanley.com/press-releases/usd21-7-million-award-to-opportunity-finance-network">$21.7 million in funding</a> to Opportunity Finance Network to support human capital and professional development for the Community Development Financial Institution (CDFI) network, and to make pass-through grants to CDFIs in amounts of $100,000 - $250,000. These grants are designed to help CDFIs increase their lending capacity to the communities they serve. Mission-driven CDFI grant recipients will support economic recovery and growth, especially in Black, Latinx, Native, and rural communities.State Street recently announced strategic <a href="https://clicktime.symantec.com/3JcbZHHReBsX153wiAcXSK37Vc?u=https%3A%2F%2Finvestors.statestreet.com%2Finvestor-news-events%2Fpress-releases%2Fnews-details%2F2021%2FState-Street-Announces-Strategic-Engagements-with-Industry-Groups-to-Increase-Representation-of-Black-and-Latinx-Talent-in-the-Asset-Management-Industry%2Fdefault.aspx">engagements with leading industry and education-focused organizations</a>that support the advancement of Black and Latinx professionals in financial services. Aligned with the firm’s 10 Actions to address racism and inequality in the workplace and communities and as part of its commitment to combating racial inequities within the global asset management industry, State Street will work with four organizations to provide career exploration; inclusion, diversity and equity best practices; employment; and professional development opportunities.Wells Fargo provided <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2021/Opportunity-Finance-Network-Receives-Largest-Grant-in-35-Year-History-from-Wells-Fargo/default.aspx">a $25 million grant</a> to Opportunity Finance Network’s (OFN) <a href="https://ofn.org/finance-justice-fund">Finance Justice Fund</a> to assist in tackling systemic barriers to capital in communities around the country. The Finance Justice Fund aims to address the racial wealth gap and persistent poverty by delivering financing through CDFIs to communities with less access to traditional financial services. The firm also awarded $1 million in grants to four organizations to provide <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2021/Wells-Fargo-Awards-1-Million-to-Assist-Asian-American-and-Pacific-Islander-Communities/default.aspx">support for the Asian American and Pacific Islander community</a> and small businesses. The funding is in response to the COVID-19 pandemic and the recent increase in anti-Asian hate, discrimination and violence.&nbsp;

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The Forum File, Edition 5

COVID-19 Response

WCNC

External Link

Bank of America Provides 10,000 Chromebooks to CMS Students in Charlotte

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<ul><li>Citi has provided $173 million in capital, administered over $886 million in financing, and committed more than $79 million in philanthropic funding to more than 80 CDFIs across the country since 2015. The bank has also made its ATM network available free of charge to clients of nearly 30 MDIs and CDFIs – providing their customers with convenience and nearly $1 million in savings.</li><li>Goldman Sachs&nbsp;provided $774.5 million to eight different CDFIs between 2016 and 2020.</li><li>JPMorgan Chase&nbsp;has made 64 loans totaling more than $870 million to CDFIs and invested more than $1.4 billion in 49 different CDFIs through the New Markets Tax Credit program since 2015. Additionally, from 2015 to 2019 the firm provided 1,001 grants to 145 CDFIs totaling $194 million and continues to mentor and advise select MDIs and CDFIs to help them achieve their future success.</li><li>Morgan Stanley&nbsp;has provided $3.6 billion in investment in 41 CDFIs and $30.5 million in investment in three MDIs between 2016 and 2020. Additionally, the firm has <a href="https://www.morganstanley.com/press-releases/morgan-stanley-announces--10-million-to-support-minority-deposit">committed</a> $10 million in grants supporting MDIs.</li><li>Wells Fargo&nbsp;has invested $847 million in 305 unique CDFIs through grant and debt capital since 2015. Additionally, the bank has <a href="https://stories.wf.com/wells-fargo-announces-seeking-commit-50-million-capital-minority-depository-institutions/">committed</a> to investing up to $50 million in capital for MDIs.</li></ul>

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Supporting CDFIs and MDIs

We are supporting hundreds of Community Development Financial Institutions (CDFIs) and Minority Depository Institutions (MDIs) by providing over $8.5 billion in capital and financing between 2016 and 2020.

<ul><li>Bank of America&nbsp;in 2020&nbsp;<a href="https://newsroom.bankofamerica.com/press-releases/bank-america-announces-four-year-1-billion-commitment-supporting-economic">committed</a> $1 billion over four years to help local communities address economic and racial inequality. The firm has also <a href="https://newsroom.bankofamerica.com/press-releases/community-development/smithsonian-announces-race-community-and-our-shared-future#:~:text=Bank%20of%20America's%20%2425%20million,economic%20opportunity%20in%20minority%20communities.">committed</a> an additional $25 million to the Smithsonian to fund its Race, Community and Our Shared Future initiative, <a href="https://newsroom.bankofamerica.com/press-releases/corporate-philanthropy/bank-america-expands-support-boys-girls-clubs-america-1">provided</a> a $1 million grant to the Boys &amp; Girls Clubs of America, and made a $22.1 million <a href="https://newsroom.bankofamerica.com/press-releases/corporate-philanthropy/bank-america-expands-support-boys-girls-clubs-america-1">investment</a> in 2020 Neighborhood Builders and Neighborhood Champions in Support of Local Organizations.&nbsp; &nbsp;&nbsp;</li><li>BNY Mellon&nbsp;has <a href="https://www.bnymellon.com/us/en/about-us/newsroom/company-news/bny-mellon-commits-20-million-to-fund-the-future-workforce.html">committed</a> $20 million to community colleges and a select group of local and national organizations to support workforce training programs in traditionally underrepresented minority groups and communities. Additionally, the bank made an initial pledge of $1.5 million to organizations including My Brother’s Keeper, the NAACP Legal Defense and Education Fund, the Southern Poverty Law Center, the National Network for Safe Communities and the Vera Institute of Justice.</li><li>Citi <a href="https://www.citigroup.com/citi/news/2020/200923a.htm">launched</a> more than $1 billion in strategic initiatives in 2020 aimed at closing the racial wealth gap. The bank also <a href="https://www.citigroup.com/citi/news/2020/200117a.htm">launched</a> the $150 million Citi Impact Fund to make equity investments in ‘double bottom line’ private sector companies, with a focus on women and minority owned businesses.</li><li>Goldman Sachs&nbsp;has launched the One Million Black Women <a href="https://www.goldmansachs.com/our-commitments/sustainability/one-million-black-women/index.html">initiative</a>, a $10 billion investment initiative to advance racial equity and economic opportunity by investing in Black women with the goal of impacting the lives of at least 1 million Black women by 2030. It has also <a href="https://www.goldmansachs.com/media-relations/press-releases/current/gs-fund-for-racial-equity.html">created</a> the Goldman Sachs Fund for Racial Equity, which launched with $10 million – building on the more than $200 million the firm has granted over the past decade to organizations serving communities of color – and aims to support organizations addressing racial injustice, structural inequity and economic prosperity.</li><li>JPMorgan Chase&nbsp;in 2020 <a href="https://www.jpmorganchase.com/news-stories/jpmc-commits-30-billion-to-advance-racial-equity">committed</a> $30 billion to advance racial equity over the next five years through promoting affordable housing and homeownership for underserved communities, growing Black- and Latinx-owned businesses, improving financial health and access to banking in Black and Latinx communities and accelerating investment to build a more diverse and inclusive workforce.</li><li>Morgan Stanley&nbsp;<a href="https://www.morganstanley.com/press-releases/morgan-stanley-announces-10-million-to-support-national-urban-le">announced</a> $10 million in grants to support the National Urban League, aimed at supporting financial literacy, homeowner counseling and workforce development programs. The firm also <a href="https://www.morganstanley.com/press-releases/morgan-stanley-commits--5-million-to-naacp-legal-defense-and-edu">committed</a> $5 million on top of matching employee contributions to the NAACP Legal Defense and Education Fund to support its work in fighting for racial justice.</li><li>State Street&nbsp;in 2020 <a href="https://www.statestreet.com/content/dam/statestreet/documents/New_Commonwealth_Racial_Equity_and_Social_Justice_Fund_Press_Release.pdf">announced</a> a five year, $5 million commitment to the New Commonwealth Racial Equity and Social Justice Fund, which supports Black- and brown-led organizations that are working on economic empowerment, youth civic engagement, healthcare equity and criminal justice reform.</li><li>Wells Fargo&nbsp;<a href="https://stories.wf.com/60-billion-plan-aims-to-boost-african-american-homeownership/">launched</a> a ten-year initiative with the National Urban League and the National Association of Real Estate Brokers to provide $60 billion in home loans to 250,000 African American homeowners and to invest $15 million in homeowner education and counseling.</li></ul>

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Combatting Inequality

We are dedicated to combatting inequality through a series of important initiatives. These initiatives support minority owned small businesses, provide funding for community organizations that are dedicated to closing the racial wealth gap and expand access to affordable housing for traditionally underserved communities. 

<ul><li>Bank of America&nbsp;has committed to spending nearly $2 billion annually with diverse businesses through its <a href="https://about.bankofamerica.com/en-us/what-guides-us/vendor-management.html#fbid=tlM4qFkwCad">Supplier Diversity program</a>.</li><li>BNY Mellon&nbsp;has established a dedicated <a href="https://www.bnymellon.com/us/en/supply-chain-responsibility-program/supply-chain-responsibility-program-statement.html">Supply Chain Responsibility program</a> to build and maintain a diverse supplier base, as well as host workshops and expos to support diverse vendor development.</li><li>Citi actively seeks diverse suppliers through minority and women business development organizations and participation in various trade show activities while utilizing diverse suppliers and consultants through their <a href="https://www.citigroup.com/citi/suppliers/who.htm">Supplier Diversity program</a>.</li><li>Goldman Sachs&nbsp;has <a href="https://www.goldmansachs.com/our-commitments/sustainability/our-vendor-program/vendor-diversity/">committed</a> to increasing spending with diverse vendors by 50 percent by 2025.</li><li>JPMorgan Chase&nbsp;has set a goal of continually exceeding $1 billion in spending with <a href="https://www.jpmorganchase.com/about/suppliers/supplier-diversity">diverse suppliers</a> each year.</li><li>Morgan Stanley&nbsp;<a href="https://www.morganstanley.com/about-us/supplier-diversity">partners</a> with supplier diversity organizations like the Women’s Business Enterprise National Council and the National Minority Supplier Development Council.</li><li>State Street&nbsp;has committed to increasing its spending with diverse suppliers over the next three years in order to strengthen Black- and Latinx-owned businesses.</li><li>Wells Fargo&nbsp;aims to spend 15 percent of its procurement budget with diverse suppliers through the bank’s <a href="https://www.wellsfargo.com/about/diversity/supplier-diversity/commitment/">Supplier Diversity program</a>.</li></ul>

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Supporting Diverse Suppliers

Our institutions are committing to partner with diverse vendors and suppliers to support minority and women-owned businesses.

We invested nearly $9 billion in Community Development Financial Institutions between 2016 and 2020.

Supporting Historically Underserved Communities

Article

Letters

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We advocate for sound policies that recognize the importance of ensuring that banks are able to support the economy, compete internationally, and remain strong. In particular, the Forum supports a review of the GSIB surcharge, a capital requirement that was agreed to internationally, but that U.S. regulators have implemented in a manner that places higher requirements on U.S. banks than that required of foreign competitors. 

The Forum has also weighed in on an international assessment of post-crisis reforms and the clear need to differentiate between jurisdictions and to acknowledge the progress made in the United States.


Capital and Financial Stability

Joint Trades Letter in Support of the Adjustable Interest Rate (LIBOR) Act

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The Goldman Sachs Group, Inc.

David Solomon is Chairman and Chief Executive Officer and a member of the Board of Directors of The Goldman Sachs Group, Inc.

Previously, he was President and Chief Operating Officer and prior to that, he served as Co-Head of the Investment Banking Division from 2006 to 2016. Before that, Mr. Solomon was Global Head of the Financing Group, which includes all capital markets and derivative products for the firm’s corporate clients. He joined Goldman Sachs as a Partner in 1999.

Mr. Solomon is a member of the Board of Trustees of Hamilton College and serves on the board of The Robin Hood Foundation.

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David Solomon

The Goldman Sachs Group, Inc. Chairman and Chief Executive Officer, Forum Chairman

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State Street Corporation

Ron is chairman and chief executive officer of State Street Corporation. He is also a member of State Street Corporation’s Board of Directors.

Ron was previously president and chief operating officer of State Street Corporation, and before that president and chief executive officer of State Street Global Advisors, the investment management arm of State Street Corporation. He joined State Street in 2015.

Prior to State Street, Ron was president of Asset Management & Corporate Services for Fidelity Investments, responsible for all Fidelity asset management organizations and Fidelity’s corporate functions and enterprise technology. He served at Fidelity from 2010 to 2014.

Prior to joining Fidelity, Ron served as president and chief executive officer of BNY Mellon Asset Management in Boston, a position to which he was named in 2007. During this time, he also served as vice chairman of Bank of New York Mellon Corporation and was a member of its Executive Committee. Additionally, Ron oversaw all of Bank of New York Mellon’s activities in Asia. Prior to the 2007 merger of Bank of New York and Mellon, he was vice chairman of Mellon Financial Corporation and president and chief executive officer of Mellon Asset Management. He served at Mellon and Bank of New York Mellon from 1997 to 2010.

Prior to Mellon, Ron was with McKinsey & Company, Inc., from 1986 to 1997 and was elected a partner in 1992. He founded the Investment Management practice worldwide and was co-founder and co-leader of the firm’s North American Personal Financial Services practice. Additionally, he was a member of the Worldwide Property & Casualty Insurance practice. During his tenure with McKinsey, Ron served in the firm’s Boston, New York, and Stockholm offices.

Ron received his Bachelor of Arts degree in political science from Syracuse University in 1980 and his Master of Business Administration from Harvard Business School in 1986.

Ron serves on the boards of Unum Corp. and Rhode Island Commerce Corporation. He also serves on the boards of Beth Israel Lahey Health, The Boston Foundation, IYRS School of Technology and Trades, Syracuse University and WBUR. Ron’s philanthropic and civic interests include corporate governance, retirement/healthcare policy and funding, education, and climate. He has led several initiatives on gender equality. Ron is a frequent speaker and writer, and an avid offshore sailboat racer.

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Ronald O'Hanley

State Street Corporation Chairman And Chief Executive Officer, Forum Vice Chairman

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Bank Of America

Brian Moynihan leads a team of more than 200,000 employees dedicated to making financial lives better for people, companies of every size, and institutional investors across the United States and around the world.

Bank of America is recognized as a top employer by Working Mother magazine and Military Times. The company is also listed on Fortune magazine’s list of the Best Workplaces for Diversity and the Best Workplaces for Parents. It was also named one of the Best Places to Work for Disability Inclusion by the U.S. Business Leadership Network and the American Association of People with Disabilities. In 2018, Euromoney recognized Bank of America as the World’s Best Bank and the World’s Best Bank for Diversity and Inclusion, as part of their annual Global Awards for Excellence. Bank of America was also named the 2019 Catalyst Award winner, honored for supporting the continued development, empowerment and advancement of women in the company and around the world.

Moynihan participates in several organizations that focus on economic and market trends, including the World Economic Forum International Business Council, the Financial Services Forum, the Bank Policy Institute (chair), the Business Roundtable, and the American Heart Association CEO Roundtable (co-chair). He is also a member of the Federal Advisory Council of the Federal Reserve Board.

Moynihan leads the company’s Global Diversity and Inclusion Council and is a member of the museum council for the Smithsonian’s National Museum of African American History and Culture. Moynihan is also a member of the Brown University Corporation’s Board of Fellows and the Congressional Medal of Honor Foundation Board.

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Brian Moynihan

Bank Of America Chairman Of The Board And Chief Executive Officer

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BNY Mellon

Todd Gibbons currently serves as the Chief Executive Officer of BNY Mellon. Prior to that, Todd had been a Vice Chairman of BNY Mellon and CEO of Clearing, Markets and Client Management. In that role he oversaw the Pershing clearing business; the trading, financing, collateral and liquidity management solutions delivered through the Markets business; treasury services and commercial payment activities; the U.S. government securities clearance and U.S. tri-party repo businesses delivered through BNY Mellon Government Securities Services Corp; credit services; global client management; and regional area management. From 2008 through 2017, he served as CFO. Previously, for six years he was Chief Risk Policy Officer, overseeing credit, operational and market risk management of the company and The Bank of New York.

Todd also served as CFO of The Bank of New York for almost a year prior to the merger. He first joined The Bank of New York in 1986 and held top management positions in the capital markets business, including head of global treasury, with responsibility for asset and liability management, funding, money market trading, swaps and derivative products. Prior to joining The Bank of New York, he was assistant treasurer at Handy and Harman, a leading refiner, processor and fabricator of precious metals.

Todd is a member of BNY Mellon’s Executive Committee. He also serves on the advisory board of Wake Forest University’s Business School. He holds a B.S. in Business Administration from Wake Forest University and an MBA from Pace University.

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Thomas Gibbons

BNY Mellon Chief Executive Officer

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Citigroup

Jane Fraser is the Chief Executive Officer of Citi, the world’s most global bank, serving millions of consumers, businesses and institutions across 160 countries and jurisdictions. She is the first female CEO in the firm’s history.

Jane has deep experience across Citi’s consumer and institutional businesses and, in many ways, she helped shape Citi into the company it is today. Before becoming CEO in February 2021, she was President of Citi and CEO of the Global Consumer Bank, responsible for all of Citi’s Consumer businesses, including Retail Banking and Wealth Management, Credit Cards, Mortgage and Operations and Technology in 19 markets.

Before that, she was the Chief Executive Officer of Citigroup Latin America from 2015 to 2019. From 2013 to 2015, she was the Chief Executive Officer of the U.S. Consumer and Commercial Banking and CitiMortgage. From 2009 to 2013, Jane served as the Chief Executive Officer of Citi’s Global Private Bank. Prior, Jane was the Global Head of Strategy and Mergers & Acquisitions for Citi from 2007 to 2009. She joined Citi in 2004 in the Corporate and Investment Banking division.

Before joining Citi, Jane was a Partner at McKinsey & Company. She started her career at Goldman Sachs in the Mergers & Acquisitions department in London and then worked for Asesores Bursátiles in Madrid, Spain.

She is Vice Chair for Partnership for New York City and a member of the Harvard Business School’s Board of Dean’s Advisors, the Stanford Global Advisory Board, the Economic Club of New York and the Council on Foreign Relations. Jane has an M.B.A. from Harvard Business School and an M.A. in economics from Cambridge University. She is married with two children.

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Jane Fraser

Citigroup Chief Executive Officer

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JPMorgan Chase & Co.

Jamie Dimon is Chairman of the Board and Chief Executive Officer of JPMorgan Chase & Co., a global financial services firm with assets of $2.5 trillion and operations worldwide. The firm is a leader in investment banking, financial services for consumers, small business, commercial banking, financial transaction processing and asset management.

Dimon became CEO on January 1, 2006 and one year later also became Chairman of the Board.  He was named President and Chief Operating Officer upon the company’s merger with Bank One Corporation on July 1, 2004. Dimon joined Bank One as Chairman and CEO in 2000.

Dimon began his career at American Express Company.  Next, he served as Chief Financial Officer and then President at Commercial Credit, which made numerous acquisitions and divestitures, including acquiring Primerica Corporation in 1987 and The Travelers Corporation in 1993. Dimon served as President and Chief Operating Officer of Travelers from 1990 through 1998 while concurrently serving as Chief Operating Officer of its Smith Barney Inc. subsidiary before becoming co-Chairman and Co-CEO of the combined brokerage following the 1997 merger of Smith Barney and Salomon Brothers.  In 1998, Dimon was named President of Citigroup Inc., the global financial services company formed by the combination of Travelers Group and Citicorp.

Dimon earned his bachelors degree from Tufts University and holds an MBA from Harvard Business School. He serves on the boards of directors of a number of non-profit institutions including the Clearing House and Harvard Business School. Additionally, he is the Chairman of the Business Roundtable and serves on the executive committee of the Business Council and the Partnership for New York City, and is a member of the Financial Services Forum, Financial Services Roundtable and Council on Foreign Relations.

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Jamie Dimon

JPMorgan Chase & Co. Chairman And Chief Executive Officer

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Morgan Stanley

Mr. Gorman is Chairman and CEO of Morgan Stanley.

Mr. Gorman became CEO in January 2010 and Chairman in January 2012. He joined the Firm in February 2006 and was named Co-President in December 2007.

Before joining Morgan Stanley, Mr. Gorman held a succession of executive positions at Merrill Lynch. Prior to this, he was a senior partner of McKinsey & Co. and began his career as an attorney in Melbourne, Australia.

Among his civic activities, Mr. Gorman serves as a Director of the Federal Reserve Bank of New York and the Council on Foreign Relations, and is a member of the Board of Overseers of the Columbia Business School, the Monetary Authority of Singapore International Advisory Panel, the Business Council, and the Board of the Institute of International Finance.

He formerly served as President of the Federal Advisory Council to the U.S. Federal Reserve Board, Co-Chairman of the Partnership for New York City, Chairman of the Board of the Securities Industry and Financial Markets Association and Co-Chairman of the Business Committee of the Metropolitan Museum of Art.

Mr. Gorman, who was born in Australia, earned a B.A. and Law degree from the University of Melbourne and an M.B.A. from Columbia University.

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James Gorman

Morgan Stanley Chairman And Chief Executive Officer

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Wells Fargo & Company

Charles W. Scharf is chief executive officer and president, and a member of the Board of Directors of Wells Fargo & Company.

A financial services veteran with 24 years of experience in leadership roles in the banking and payments industries, Charlie served as chief executive officer of Bank of New York Mellon from July 2017 to October 2019 and the chairman of its board from January 2018 to October 2018. He also was chief executive officer and a director of Visa Inc. from October 2012 to December 2016.

During his tenure at Bank of New York Mellon, Charlie demonstrated a strong track record in initiating and leading change, driving results, strengthening operational risk and compliance, and innovating amid a rapidly evolving digital landscape.

As the CEO of Visa, Charlie transformed the firm into a technology-driven digital commerce company by partnering with the world’s leading technology companies to drive new payment experiences and introduce new technologies to improve payment system security.

Previously, he was a managing director of One Equity Partners at JPMorgan Chase & Co. and chief executive officer of Retail Financial Services at JPMorgan Chase. He also was chief executive officer of the retail division of Bank One Corp., chief financial officer of Bank One Corp., chief financial officer of the Global Corporate and Investment Bank division of Citigroup, and chief financial officer of Salomon Smith Barney and its predecessor company.

Charlie earned a Bachelor of Arts degree from Johns Hopkins University and an MBA from New York University.

He is a director of Microsoft Corporation, serves on the board of trustees of Johns Hopkins University, is a member of The Business Council, and is chairman of the New York City Ballet. He lives in New York City.

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Charles Scharf

Wells Fargo & Company Chief Executive Officer And President

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We are the eight largest and most diversified financial institutions headquartered in the United States. Our more than 750,000 U.S. employees&nbsp;serve millions of consumers, businesses, investors, and communities across the country.

Forum members recognize that climate change poses risks to the world’s economy.
The transition to a low-carbon economy will occur over several decades and requires collaboration between a wide range of industries and government. The Forum advocates for appropriate policies and international cooperation to ensure that climate policies and regulations related to the financial industry are based on science, risk, and sound methodologies.


Climate Finance

The Forum supports proposals that would require public companies to annually disclose the gender, race, ethnic, and veteran status of their boards of directors, nominees, and senior executives. Diversity of corporate boards is an area of focus for our institutions and is critically important to investors and other stakeholders.

Board diversity ensures representation of differing experiences and perspectives and allows for unique approaches to solve complex problems. Our members recognize that board diversity bolsters competitiveness around the world, helps foster a sustainable and inclusive economy, and leads to better results for consumers, clients, and communities.


Diversity, Equity and Inclusion

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<ul><li>We hold more than $4.2 trillion in loans, accounting for 40% of total lending to businesses and households.</li><li>We provide more than $679 billion, or nearly half, of all consumer loans by banks in the U.S., supporting everything from the purchase of a new car to furnishing a new home.</li><li>Lending by our institutions accounts for 34% of total commercial and industrial (C&amp;I) lending by banks, helping businesses grow and contribute to the economy.</li><li>We represent a major source of lending to small businesses in communities across the country, holding $126 billion in small business loans&nbsp;and allowing the economy to grow at both a local and national level.</li><li>We also collectively meet nearly three-quarters of the bank funding needs of other financial institutions, supporting community banks, insurance companies and mortgage finance companies, for example, which then provide important services to businesses and households.</li></ul>

Our institutions lend to consumers, businesses and other financial institutions, promoting savings and investment that positions individuals and entities at all layers of the U.S. economy for resiliency and success. At the same time, we are supporting consumers, governments, and businesses of all sizes in growing and creating American jobs.

<ul><li>We underwrite nearly three-quarters of debt and equity transactions – such as initial public offerings – among large institutions in the U.S., providing a critical service that other U.S. institutions cannot offer on a similar scale.</li><li>With $4.2 trillion of mutual funds and annuities under management, we support the retirement and other savings needs of many Americans.</li><li>We finance a significant portion of state and local government expenditures for vital projects, like hospitals, roads, bridges, and schools, through $120 billion in municipal securities holdings. Additionally, we support a large portion of federal government expenditures through $1.1 trillion in U.S. Treasury securities holdings.</li></ul>

Our institutions help foster deep and liquid capital markets, ensuring the U.S. government and private institutions are able to effectively finance public spending and investments in the real economy. 

Our institutions collectively employ more than 750,000 people, offering a variety of benefits and opportunities to help our employees achieve their personal and professional goals.

Forum members increased credit to businesses and households by 10%
to nearly $8.3 trillion in 2020.


Supporting the Economy

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<ul><li>BNY Mellon&nbsp;started the <a href="https://www.bnymellon.com/us/en/about-us/diversity-inclusion.html">IMPACT</a> network to help cultivate a diverse and inclusive workplace by promoting the recruitment, retention, professional development and advancement of multicultural employees.</li><li>Morgan Stanley&nbsp;has established an ‘<a href="https://www.morganstanley.com/articles/diversity-hiring-black-banking-professionals">Experienced Professionals Program</a>’ to recruit Black professionals with two or more years of post-graduate or work experience for full-time positions to help expand the talent pool of Black financial professionals.</li><li>State Street&nbsp;helps create a diverse workforce through its <a href="https://www.statestreet.com/values/social-consciousness.html">Global Inclusion program</a>, which offers mentoring, events and performance goals focused on diversity and inclusion, and employee networks.</li></ul>

We are building a pipeline of diverse talent by expanding the pool of diverse managers and ensuring an inclusive workplace.

<ul><li>Bank of America&nbsp;has a Global Diversity &amp; Inclusion Council chaired by CEO Brian Moynihan, which leads D&amp;I efforts and works with the management team setting related goals for the company.</li><li>Citi&nbsp;has named members of the CEO’s leadership team as co-chairs of its affinity groups, which set and reinforce the company’s diversity priorities and goals.</li><li>JPMorgan Chase&nbsp;<a href="https://www.jpmorganchase.com/news-stories/jpmc-announces-brian-lamb-as-global-head-of-diversity-inclusion">named</a> a new Global Head of Diversity &amp; Inclusion in April 2020, a newly created position that reports directly to the firm’s co-presidents.</li><li>Wells Fargo has created a new expanded diversity role reporting directly to the CEO, with a broad mandate to drive diversity and inclusion in both the firm’s workplace and business.</li></ul>

Our institutions are establishing and empowering Diversity & Inclusion leadership roles dedicated to advancing diversity, inclusion and equity in the workplace in partnership with chief executives.

<ul><li>Bank of America&nbsp;offers Employee Networks that provide teammates from diverse backgrounds opportunities to connect with each other, develop leadership skills, and build strong ties with the communities they serve.</li><li>JPMorgan Chase&nbsp;has multiple <a href="https://careers.jpmorgan.com/us/en/about-us/diversity">Business Resource Groups</a> (BRGs) that help foster networks of employees and connect women and minority employees with each other to provide mutual support and sharing.</li><li>Morgan Stanley&nbsp;has multiple <a href="https://www.morganstanley.com/people-opportunities/enetworking">Employee Networks</a> designed to enhance employee engagement, deliver substantive content, create a framework for cross-business unit connectivity and idea-sharing, and advance the firm’s overall culture of inclusion.</li></ul>

We have launched and expanded our Employee Resource Groups (ERGs) and other affinity groups to support employees and create conditions for them to succeed.

<ul><li>Bank of America&nbsp;has created unconscious bias trainings and offers diversity &amp; inclusion training.</li><li>Citi trains all hiring managers and Human Resources employees on unconscious bias.&nbsp;</li><li>JPMorgan Chase&nbsp;requires all employees to participate in unconscious bias and diversity &amp; inclusion training.</li><li>Wells Fargo&nbsp;requires live anti-racism manager training and has developed a series of educational sessions in which employees can share with their colleagues their personal stories and perspectives on the realities of racism in the U.S.</li></ul>

We are creating and offering training focused on concepts like anti-racism, unconscious bias, and social justice.

<ul><li>Bank of America&nbsp;has committed to hiring 10,000 individuals from low- and moderate-income communities by 2023.</li><li>Citi has set a goal of having 30% Black and Hispanic/Latinx colleagues in its U.S. analyst and associate programs.</li><li>Goldman Sachs&nbsp;<a href="https://www.goldmansachs.com/media-relations/press-releases/current/update-on-inclusion-and-diversity.html">announced</a> a plan to, by 2025, achieve a representation among its vice presidents that equates to 40 percent women globally, 7 percent Black professionals in the Americas and UK, and 9 percent Hispanic/Latinx professionals in the Americas.</li><li>JPMorgan Chase&nbsp;has committed to hiring 4,000 Black students in full-time positions, apprenticeships and internships over the next five years.</li><li>State Street&nbsp;has <a href="https://www.statestreet.com/values/inclusion-diversity/diversity-goals.html">set</a> three- and five-year goals for achieving higher percentages of employees of color in SVP, MD, and VP positions across the firm.</li><li>Wells Fargo&nbsp;has committed to doubling the number of Black employees in leadership positions over the next five years.</li></ul>

Our institutions have established hiring commitments to diversify our workforces.

**Our commitment to diversity, equity and inclusion**

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