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Basel proposal lacks publicly available data and analysis required by lawWashington, D.C. – The banking agencies’ Basel proposed rule violates the Administrative Procedure Act by relying on data and analyses that the agencies have not made available to the public, the Bank Policy Institute, the American Bankers Association, the Financial Services Forum, the Institute of International Bankers, the Securities Industry and Financial Markets Association and the U.S. Chamber of Commerce <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fbpi.us7.list-manage.com%2ftrack%2fclick%3fu%3dfaf7489e1426ec7870b0a00f0%26id%3d536a241777%26e%3d1b85cdf2b6&amp;c=E,1,rFKCCai6YdNTkweXNKY6UOB7DhI3DyRAp5_x8OwK7y3LbunaoHC1x34BUeLr9EyzDbjMnz1_b5XJd5VMAoee8QluAUXpGpGLHjwegMX9EebBAJCKUYMI2wzZD9K9&amp;typo=1">wrote in a letter</a> today. In addition to omitting necessary information from the proposed rule, the agencies have also announced that they plan to collect additional data which they will use to calibrate the final rule — a move that also fails to comply with the law because the public would be denied the ability to review the data used in the rulemaking. The trade associations called on the agencies to remedy these violations of the law by publicly disclosing any and all evidence and analyses the agencies relied on or plan to rely upon — and then re-proposing the rule with a new 120-day comment period.What we are saying: “The agencies cannot fill in the blanks in the final rule. Instead, to the extent the agencies intend to collect and analyze further data on which to base some or all of their rulemaking in this area, they must suspend the current open rulemaking, complete any data collection and analysis necessary to support their crafting and calibration of the rule, re-propose the rule in light of the additional analyses and data and make that information available to the public and then allow commenters an opportunity to respond.&nbsp; Any other approach would violate the agencies’ duty to identify and make available for public review and comment the technical studies and data on which any rule is based,” the trade association wrote in their letter.Legal requirements:&nbsp; The Proposed Rule violates basic legal obligations of the APA.&nbsp; When proposing a rule, agencies must identify and make available all data and analysis the agencies used to develop the proposal so that the public has a meaningful opportunity to consider and respond to the agencies’ rationale through the public comment process.&nbsp; The agencies have not done so here.Deficiencies in the proposed rule: The letter provides multiple examples where the proposed rule relies on data, analysis, and methodologies that have been withheld from the public view.&nbsp; It also notes the use of impermissibly vague references to “supervisory experience” — in lieu of specific data or analysis — to justify many elements of the proposal.&nbsp; Furthermore, the letter provides examples of instances in the rule where the agencies simply assert a proposition with no citation, evidence or analysis to back it up whatsoever.&nbsp; These omissions deprive the public of a meaningful opportunity to consider and comment on the validity and prudence of the proposal. The agencies are obligated under the law to remedy these legal deficiencies.-30-About Bank Policy InstituteThe Bank Policy Institute (BPI) is a nonpartisan public policy, research and advocacy group, representing the nation’s leading banks and their customers. Our members include universal banks, regional banks and the major foreign banks doing business in the United States. Collectively, they employ almost 2 million Americans, make nearly half of the nation’s small business loans, and are an engine for financial innovation and economic growth.About the American Bankers AssociationThe American Bankers Association is the voice of the nation’s $23.5 trillion banking industry, which is composed of small, regional and large banks that together employ more than 2.1 million people, safeguard $18.6 trillion in deposits and extend $12.3 trillion in loans.About the Financial Services ForumThe 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. 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, deep and liquid capital markets, a competitive global marketplace, and a sound financial system.About the Institute of International BankersThe Institute of International Bankers (IIB) represents internationally headquartered financial institutions from over thirty-five countries around the world doing business in the United States. Its members consist principally of international banks that conduct U.S. operations through branches and agencies, bank subsidiaries, and broker-dealer subsidiaries. The mission of the IIB is to help resolve the many special legislative, regulatory, and tax issues confronting internationally headquartered financial institutions that engage in banking, securities, and/or insurance activities in the United States.About Securities Industry and Financial Markets AssociationSIFMA is the leading trade association for broker-dealers, investment banks and asset managers operating in the U.S. and global capital markets. On behalf of our industry’s one million employees, we advocate on legislation, regulation and business policy affecting retail and institutional investors, equity and fixed income markets and related products and services. We serve as an industry coordinating body to promote fair and orderly markets, informed regulatory compliance, and efficient market operations and resiliency. We also provide a forum for industry policy and professional development. SIFMA, with offices in New York and Washington, D.C., is the U.S. regional member of the Global Financial Markets Association (GFMA). For more information, visit <a href="https://www.sifma.org/">http://www.sifma.org</a>

Banking Trade Associations Call on Banking Agencies to Re-Propose Basel Rule

Capital and the U.S. Economy

CONTACT: Barbara Hagenbaugh(202) 457-8783<a href="mailto:bhagenbaugh@fsforum.com">bhagenbaugh@fsforum.com</a>&nbsp;Financial Services Forum CEO highlights migration of risk in “Banking with Interest” podcastWashington, D.C. &nbsp;– Financial Services Forum President and CEO Kevin Fromer spoke to “Banking with Interest” host Rob Blackwell to discuss the potential implications of a proposal to increase capital requirements for the largest U.S. banks. Fromer highlighted in the Intrafi podcast how higher requirements would push activities outside the regulated banking sector, harm consumers and businesses, and reduce the competitiveness of the U.S. economy.“You have to go back to the why -- why do you need to constrain banks and their customers?” Fromer said. “There are real world impacts of these decisions.”<figure class="image image_resized" style="width:84.88%;"><a href="https://podcasts.apple.com/us/podcast/the-case-against-higher-bank-capital-requirements/id1506774121?i=1000627588419"><img src="https://fsforum.com/a/media/kevin-podcast-2.jpg"></a></figure><a href="https://podcasts.apple.com/us/podcast/the-case-against-higher-bank-capital-requirements/id1506774121?i=1000627588419">(Click Here to Listen to Interview)</a>Following are highlights from the interview:On the Migration of Risks in the Financial System:“You could be making the banks incrementally safer and you could be making the rest of the financial system less safe. You could be creating a situation where there's more risk migrating outside of the banks and into the nonbank sector. That hasn't been covered off by regulation, that is something that regulators here and at the international level are struggling with right now.“And I don't think the next significant crisis that relates to the financial system is going to emanate from the banking sector. It's going to emanate from that less regulated, nonbank sector. So I think that is a broad concern. In other words, what kind of a financial system do you want? What kind of a banking system do you want? Is it right for our system here in the United States? Does it help ensure that we are competitive as a nation over the long term? Those are the kinds of questions that you have to think about when you're presented with a proposal that seems to unnecessarily raise capital.”On the Cost of Higher Capital Requirements:“None of these institutions and their leaderships are at all complacent,” Fromer said, noting the support the largest U.S. banks have provided the broad economy. “I think they've been very assertive during times when the country needed to have the support of the banking system, to offer that support and to be strong enough to offer that support. I think that's the broad concern, why are we raising capital to this extent for purposes of meeting this international standard? Are we doing so contrary to the implementation designs of other jurisdictions … and what is the cost of this type of proposal to the consumers, the businesses, the institutional investors in this country? And just broadly, (for) the economy at large, is this a sensible thing to do right now?”On the Gap Between U.S. and EU Implementation:“There's no question that a Basel process that was intended to create a level playing field with respect to capital requirements has quite perversely resulted in an unlevel playing field. And that system, to me, seems broken when we have those kinds of outcomes. The U.S. proposal that we're dealing with right now is again going to build on that trend where the U.S. is proposing to be super equivalent, to have rules in place for its institutions that exceed the standard in the Basel 3 Finalization proposal coming out six years ago. So we're going to go from an unlevel playing field to an even wider gap, wider spread, more unlevel playing field.”On the Lack of Connection to the Midsize Bank Turmoil:“I don't think there's any relationship whatsoever between what happened to the regional banks and Basel 3 Finalization. There's literally no nexus.”&nbsp;Please see the Forum’s <a href="https://fsforum.com/a/media/capital-and-u.s.-economy.pdf">fact sheet</a> for more information on capital and the largest U.S. banks and the potential impact of the regulators’ capital proposal.&nbsp;Learn more, including what policymakers and others have to say about the strong capital positions at the largest U.S. banks, at <a href="smartbankcapital.com">smartbankcapital.com</a>.&nbsp;###&nbsp;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. Forum member institutions are a leading source of lending and investment in the United States and serve&nbsp;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.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;

“What kind of a banking system do you want?” 

Forum CEO highlights migration of risk in “Banking with Interest” podcast

CONTACT: Brigid Richelieu(202) 660-2569brichelieu@fsforum.com&nbsp;&nbsp;Washington, D.C. – Industry leaders, policy experts, and government officials gathered Tuesday for the Financial Services Forum Summit, featuring discussions on American competitiveness, capital and the economy, migration of risk in the financial sector, and innovation inside banks.Click below to see key moments from each panel. Full recordings are available <a href="https://youtube.com/playlist?list=PLrk0NBVU8wNDiugNPTEXAXsSBVIwDKoTP&amp;si=WuiTL0yft4YFJf6P">here</a>.&nbsp;<h4><a href="https://youtu.be/xMMKf2zDtkI">A Conversation with Secretary Gina Raimondo</a></h4>In a wide-ranging conversation with State Street Chairman and CEO Ron O’Hanley, Commerce Secretary Gina Raimondo talked about American competitiveness, stating: “Our capital markets, our entrepreneurs, our innovation [are] the envy of the world. That allows us to compete.” Secretary Raimondo also discussed her recent visit to China, calling the conversations between U.S. and Chinese officials “candid,” but she noted that U.S. companies still are concerned with investing in China: “I don’t know if we will solve any problems by talking. I do know we won’t if we don’t talk.”&nbsp;<div class="raw-html-embed"><iframe width="560" height="315" src="https://www.youtube.com/embed/xMMKf2zDtkI?si=ny8kq7F9U1ScrpD3" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen=""></iframe></div>&nbsp;<h4><a href="https://youtu.be/qAfcmRsX9xs">Capital and the State of the Economy</a></h4>Former Fed Vice Chair for Supervision Randal Quarles, American Action Forum’s Doug Holtz-Eakin, and Goldman Sachs’s Sheara Fredman discussed the strength of capital at the largest U.S. banks and raised concerns regarding the economic impact of increasing capital requirements. “The system is at an optimal level of capital now, and materially increasing the level of capital in the system will result in a cost to economic dynamism,” Quarles said.&nbsp;<div class="raw-html-embed"><iframe width="560" height="315" src="https://www.youtube.com/embed/qAfcmRsX9xs?si=o2nrhqywnoBdYHlr" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen=""></iframe></div>&nbsp;<h4><a href="https://youtu.be/ogTRia8sJS4">Migration of Risk Within the Financial Sector</a></h4>In a discussion on nonbank financial institutions and the migration of risk within the financial sector, panelists Richard Berner from New York University, Hilary Allen from American University, and Karen Petrou from Federal Financial Analytics, Inc. discussed how increasing capital requirements will accelerate the movement of risk outside of the banking sector and discussed supervisory needs of nonbank financial institutions. “We need a big rethink about the way institutions that aren’t banks, but which engage in activities that might cause risks, are overseen and supervised,” Berner said. “If we identify risk that is similar, we ought to have the same supervisory outcome for managing those risks.” Petrou noted that increasing bank requirements while knowing it will lead to a movement of risk to less regulated firms, is “a very significant dereliction of long-term duty.” Of the migration, she said, “bit by bit, it’s changing the basic business of banking and the model as a whole.”&nbsp;<div class="raw-html-embed"><iframe width="560" height="315" src="https://www.youtube.com/embed/ogTRia8sJS4?si=coi9ELlcUwmQOqcP" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen=""></iframe></div>&nbsp;<h4><a href="https://youtu.be/Dkb78vA4ZA0">Innovation Inside Large Banks</a></h4>JPMorgan Chase’s Aaron Iovine, State Street’s Justin McCormack, and Goldman Sachs’s Lee Brenner discussed the innovations that are reshaping the banking landscape and how these advances interact within the current regulatory framework in a conversation moderated by Davis Polk’s David Portilla. “There’s an underlying theme to how financial institutions look at innovation as a whole, and that is risk management,” said Iovine.&nbsp;<div class="raw-html-embed"><iframe width="560" height="315" src="https://www.youtube.com/embed/Dkb78vA4ZA0?si=e1_5oSxaJk4Duz64" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen=""></iframe></div>&nbsp;&nbsp;###&nbsp;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&nbsp;millions of consumers, businesses, investors, and communities throughout the country. The Forum promotes policies that support savings and investment, deep and liquid capital markets, a competitive global marketplace, and a sound financial system. &nbsp;Visit our website: <a href="http://www.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;

ICYMI: Financial Services Forum Summit 2023 Brings Together Leaders to Discuss Key Issues for Banking Industry and Global Economy

Fact Sheet

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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

Article

Dear reader,Welcome to the latest edition of The Forum File. In this edition, we are sharing our firms’ efforts to remove economic barriers in underserved communities.We hope you enjoy reading this edition and please do not hesitate to share your feedback.Kevin Fromer, President and CEO, Financial Services Forum&nbsp;<h2>Penny for Your Thoughts</h2>Heather Higginbottom is the Co-Head of Global Philanthropy and Head of Research and Policy at JPMorgan Chase&nbsp;<h3>Tell me about the goals and strategy for the JPMorgan Chase PolicyCenter?</h3>We established the <a href="https://www.jpmorganchase.com/impact/our-approach/policy-center">JPMorgan Chase PolicyCenter</a> in 2019 to advocate for nonpartisan, data-driven ideas to help us further our overarching goal of promoting inclusive economic growth around the world. To do this, the PolicyCenter creates innovative partnerships, identifies gaps in research, and fosters an actionable policy dialogue among key academic, nonprofit, and business partners. Many of the policies on which it focuses are related to the firm’s pillars, including Business Growth and Entrepreneurship, Careers and Skills, Neighborhood Development, and Financial Health. I’m really proud of how the PolicyCenter has evolved over the past four years to tackle pressing issues. For example, during the pandemic, the PolicyCenter supported comprehensive reforms to improve affordable rental housing and homeownership, including expediting the execution of better targeted rental assistance, incentivizing eviction reforms that improve outcomes for tenants and landlords, and building on COVID-19 protections that support homeowners.&nbsp;<h3>Why is a skilled workforce critical to U.S. economic competitiveness, and what is JPMorgan Chase doing to help close the skills gap?</h3>We know that a good job is foundational to unlocking economic mobility and can have a multiplying effect in our communities, but access to these opportunities is often out of reach for too many workers. To meet this challenge, in 2019, we launched a $350 million, 5-year global initiative to develop, test, and scale innovative efforts that prepare individuals with the skills they need to be successful in a rapidly changing economy. Looking ahead, the private sector has an important role to play in advancing “earn and learn apprenticeships,” which combine paid, on-the-job training and mentorship with formal classroom or online instruction to help individuals master the knowledge, skills, and competencies they need for career success. A prosperous and inclusive job market is the basis of a strong economy, which is why it is imperative for companies like ours to transform how we prepare people to compete for well-paying jobs and successful careers.&nbsp;<h3>How does JPMorgan Chase take its work to close the skills gap into historically underserved communities?</h3>&nbsp;We are committed to helping create economic mobility and career pathways by building durable partnerships between local school systems, colleges and universities, education and workforce development agencies, and employers. For example, through the <a href="https://www.jpmorganchase.com/impact/people/advancing-black-pathways">Advancing Black Pathways</a> and <a href="https://www.jpmorganchase.com/impact/people/advancing-hispanics-latinos">Advancing Hispanic &amp; Latinos</a> initiatives, we support economic success for Hispanic, Latino, and Black communities at a global scale. We have also committed $1 million in philanthropic capital to Hispanic-Serving Institutions (HSIs) and related professional associations and intermediaries. These commitments are put toward programs that enhance student support systems at HSIs as well as connect students and their families with the resources they need to complete higher education and access quality career pathways.&nbsp;<h2>Value Add</h2>JPMorgan Chase’s investment in Detroit<figure class="image"><img src="https://fsforum.com/a/media/detroit-forum-file.jpg"></figure>When the city of Detroit filed for bankruptcy in 2013, times were hard: half of the city’s street lights were out, a third of buses were sitting in garages, and only eight ambulances operated across the entire city. JPMorgan Chase had been doing business in Detroit since 1933 and seen this struggle firsthand through its employees, clients, and customers who lived it. But in this challenging moment, the company saw an opportunity to collaborate with the government, other businesses, and community leaders to revitalize the city.&nbsp;That collaboration laid the groundwork for what has culminated in a $200 million commitment in Detroit focused on skills training and job creation, increasing access to affordable housing, growing small businesses, and planting the seeds for financial security for more Detroiters. Beyond JPMorgan’s business and philanthropic capital, its employees apply their skills and expertise to help ensure that the city’s economic turnaround creates lasting opportunity for its residents.Through its support for the <a href="https://www.jpmorganchase.com/news-stories/how-39mm-loan-fund-is-helping-underserved-entrepreneurs-grow">Entrepreneurs of Color Fund</a>, JPMorgan Chase helped small business owner and local developer Marcus Jones revitalize his community in the McNichols neighborhood. There Jones and his partner launched the Detroit Training Center (DTC) to provide vocational training and certifications to local residents. As DTC grew, it worked to offer training and certifications to veterans and the homeless.&nbsp;As part of its ongoing investment in Detroit’s recovery and commitment to supporting local developers, JPMorgan Chase has also supported Capital Impact Partners to launch the Equitable Development Initiative (EDI), which mentors early- and mid-career underrepresented developers, such as Jones. In four years, over 200 local developers have been trained by the EDI.&nbsp;In 2022, Jones opened the Detroit Pizza Bar, and it became the first sit-down restaurant in the McNichols neighborhood in 40 years. The development for the pizza restaurant hired workers trained by Jones through his workforce development programs for renovations. And, when the restaurant was ready to open, Jones hired people who lived within a two-mile radius, prioritizing those who might not be able to afford a car. He also reached out to public and culinary schools to train his employees in all aspects of the business so his employees could leave with even better resumes.&nbsp;The Detroit Pizza Bar became more than just a place to grab a slice, but an example of how intentional community development is vital for economic growth and opportunity in a community like Detroit.&nbsp;<h2>Capital Gains</h2>What we’re doing in Washington<figure class="image"><img src="https://fsforum.com/a/media/img_0024.jpg"></figure>Forum President and CEO Kevin Fromer <a href="https://fsforum.com/news/what-kind-of-a-banking-system-do-you-want">joined</a> “Banking with Interest” host Rob Blackwell to discuss how increasing bank capital requirements would push activities outside the regulated banking sector and harm consumers, businesses, and the U.S. economy’s competitiveness. “You have to go back to the why -- why do you need to constrain banks and their customers?” Fromer said. “There are real world impacts of these decisions.” Listen to the full interview <a href="https://podcasts.apple.com/us/podcast/the-case-against-higher-bank-capital-requirements/id1506774121?i=1000627588419">here</a>.The Forum, with five other trade associations, wrote a <a href="https://fsforum.com/news/banking-trade-associations-call-on-banking-agencies-to-re-propose-basel-rule">letter</a> to the U.S. banking agencies calling for a re-proposal of the Basel capital rule, noting that “the proposed rule repeatedly relies on data and analyses that the agencies have not made available to the public. This reliance on non-public information violates clear requirements under the Administrative Procedure Act that agencies must publicly disclose the data and analyses on which their rulemaking is based.”The Forum <a href="https://fsforum.com/a/media/capital-and-u.s.-economy.pdf">highlighted</a> how higher capital requirements would negatively impact households, businesses, and the overall U.S. economy.The Forum also joined with 26 other trade organizations to send a <a href="https://fsforum.com/a/media/joint-trades-letter-on-sec-safeguarding-proposal---9.12.23---final.pdf">letter</a> to U.S. Securities and Exchange Commission Chair Gary Gensler regarding the agency’s Safeguarding Advisory Client Assets proposal, highlighting the negative impacts of the proposal on investors, market participants, and the financial markets.<h2>&nbsp;</h2><h2>Our Two Cents</h2>Research from the ForumThe Forum launched a new blog series, <a href="https://fsforum.com/news/capital-insights-demystifying-the-consequences-of-higher-capital-requirements">Capital Insights</a>, to improve transparency and promote discussion on the proposed capital requirements. Our Chief Economist and Head of Policy Research, Sean Campbell, highlighted how the role of capital requirements would impact:<ul><li><a href="https://fsforum.com/news/capital-insights-new-bank-capital-rules-will-handicap-small-businesses">small businesses</a> by making lending more costly and less available.</li><li>the <a href="https://fsforum.com/news/capital-insights-proposed-market-making-requirement-a-threat-to-liquidity-economy-and-financial-stability">cost of market </a>making and how it would further strain market liquidity.</li></ul>&nbsp;<h2>Checking the Balance</h2>Members in the NewsBank of America <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2023/07/bank-of-america-awards--1m-grant-to-national-juneteenth-museum.html">awarded</a> a $1 million grant for the development of the National Juneteenth Museum in Fort Worth, Texas. “The bank’s foundational support acknowledges the significant role Juneteenth plays in our city’s history and is another demonstration of our commitment to advance economic opportunity and racial equality,” said Mike Pavell, Bank of America Fort Worth President.BNY Mellon <a href="https://www.bnymellon.com/us/en/about-us/newsroom/company-news/bny-mellon-invests-10-million-dollars-with-lafayette-square-to-support-underserved-communities.html">announced</a> its investment of $10 million with Lafayette Square, an investment firm that seeks to create opportunities to support people and communities in low-to-moderate income areas while generating positive returns for investors. BNY Mellon’s contribution will fund Lafayette Square’s flagship investment strategy, which aims to deploy over 51 percent of invested capital in underserved areas or to borrowers who provide substantial employment to low- and moderate-income individuals.Citi <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fpressroom.ifc.org%2fall%2fpages%2fPressDetail.aspx%3fID%3d27739&amp;c=E,1,RfjnetTZ08-9Fqz_Rf98qc9If6Y8aLRcP6MR2anFZOTUt1jN3Rp8CaGtx1v-Efe8Y_wHCWw4nI3Rm9yvYrxKU-cHIXq71DnZoNgMZRF2KMM31_71mxw,&amp;typo=1">announced</a> a new agreement with the International Finance Corporation (IFC) to launch a $300 million facility pilot under IFC’s newly established Global Supply Chain Finance Program. The initiative will help boost supply chain finance in emerging markets by providing affordable financing options for buyers and suppliers and by creating new opportunities for small and medium enterprises across the globe.Goldman Sachs <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.goldmansachs.com%2fcitizenship%2f10000-small-businesses%2fUS%2fnews-and-program-information%2fpages%2f10ksb-expansion-into-rural-communities.html&amp;c=E,1,aFwh66mi65ZgadkvaSnzE4NfO4s_RMWjJag9Rgvv4lW-XnpDViIEP4yxrJb7RAuRLSx1dejIVtDKf_OUx874Kyx-rKmppsmW2F2FLUxZ8QYFu7YXKPBr&amp;typo=1">announced</a> a $100 million investment in rural communities across the country, deepening its support for small businesses. The new initiative is an extension of Goldman Sachs’ <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.goldmansachs.com%2fcitizenship%2f10000-small-businesses%2fUS%2findex.html&amp;c=E,1,Iailmfnwr55Ghxu3IHwuBHJVXQqsTRkMHUcGYQv7t1mCSmG2pBdJKvJITJxZoUNzw1Vam4JrdJEUJDDK4mh5gyXq4jCvN5wqyTvZk8dg3UQkEmjEzg,,&amp;typo=1">10,000 Small Businesses program</a>, which has served over 14,000 businesses across the U.S. for more than a decade by providing access to education and capital. The initiative will reach rural small business owners in 20 states in the next five years.JPMorgan Chase&nbsp;<a href="https://www.jpmorganchase.com/news-stories/jpmorgan-chase-announces-new-business-and-philanthropic-commitments">announced</a> more than $7.5 million in philanthropic commitments to three nonprofits to improve housing affordability and stability in Washington D.C. In addition, the firm is expanding its Chase Home Lending program, making $5,000 homebuyer grants available in more majority Black, Hispanic and Latino neighborhoods in D.C. The commitment is part of JPMorgan Chase's five-year commitment to improving housing for the underserved.Morgan Stanley’s Global Sports &amp; Entertainment Division <a href="https://www.morganstanley.com/press-releases/money-in-the-making--program-launch---morgan-stanley">announced</a> the launch of <a href="https://us.etrade.com/l/gse-money-in-the-making?vanity=gsemoneyinthemaking">Money in the Making</a>, a digital financial education program for the next generation of athletes, entertainers, sports and entertainment professionals and emerging talent. The program aims to provide these individuals with the financial education, tools and resources needed to build and manage wealth.State Street <a href="https://investors.statestreet.com/investor-news-events/press-releases/news-details/2023/State-Street-Partners-With-Diverse-Firms-to-Underwrite-1.5-Billion-of-Senior-Unsecured-Debt/default.aspx">partnered</a> with five diverse firms to underwrite $1.5 billion of senior unsecured debt. This marks State Street’s ninth consecutive debt offering and is consistent with State Street’s inclusion, diversity, and equity efforts.Wells Fargo <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fnewsroom.wf.com%2fEnglish%2fnews-releases%2fnews-release-details%2f2023%2fWells-Fargo-Launches-Down-Payment-Grant-Program-to-Help-Bridge-Homeownership-Gap%2fdefault.aspx&amp;c=E,1,MctesculdHaLoAxBtJ6rrhkSIr3NY-maL9SubiG7sePo-kG6yuzMW0kk9Y-uLft9PCp4RuM2tsUf6ZlD3ueoHhsBPOhjYBxwnB9uND0riGsh5kLRY6SCEcnubJZa&amp;typo=1">launched</a> the Homebuyer AccessSM grant to help bridge the homeownership gap in underserved communities. Wells Fargo Home Lending will offer $10,000 Homebuyer Access downpayment grants to eligible homebuyers in eight metropolitan areas. This offering under the bank’s Special Purpose Credit Program is part of Wells Fargo’s efforts to help drive economic growth, sustainable homeownership, and neighborhood stability in minority communities.

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The Forum File, 2023 Edition #6

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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 &amp; 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 &amp; 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 &amp; 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 Chair

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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. Jane serves as a Board Member for the Business Roundtable and the Council on Foreign Relations. She is Vice Chair for the Partnership for New York City and a member of Harvard Business School’s Board of Dean’s Advisors, the Stanford Global Advisory Board and the Economic Club of New York. 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, Forum Vice Chair

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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

Robin Vince is President and Chief Executive Officer of BNY Mellon and a member of its Board of Directors. Previously, he was Vice Chair of BNY Mellon and CEO of Global Market Infrastructure. In that role, he oversaw BNY Mellon’s Clearance and Collateral Management, Treasury Services, Markets and Execution Services and Pershing businesses.

Prior to joining BNY Mellon in October 2020, Robin was the Chief Risk Officer of Goldman Sachs and a member of the Management Committee. He joined Goldman Sachs in 1994 and held many leadership roles, including Treasurer, Head of Operations, Head of Global Money Markets, COO of the EMEA region and CEO of Goldman Sachs International Bank, among others. He served on several key subsidiary boards and governance committees. He was named managing director in 2002 and partner in 2006.

Robin is a member of National Geographic Society's Hubbard Council and serves on the Board of Advisors of The Hospital for Special Surgery.

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Robin Vince

BNY Mellon Chief Executive Officer

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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

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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 720,000 U.S. employees&nbsp;serve millions of consumers, businesses, investors, and communities across the country.

Forum members increased credit to businesses and households by 11% to $9.2 trillion in 2021.

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

Research

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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.


Essential to the U.S. Economy

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<ul><li>Bank of America is the largest private investor in Community Development Financial Institutions (CDFIs) in the United States.&nbsp; The company provides capital to more than 250 CDFIs across all 50 states, which supply affordable, responsible loans and technical assistance to low-income and other underserved clients and communities.&nbsp;Bank of America’s portfolio of loans, deposits and investments to CDFIs exceeds $2 billion. Additionally, as part of its $1 billion commitment to closing the racial wealth gap, the bank has committed $50 million to support MDIs.</li><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>

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 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></ul>

We are dedicated to combatting inequality through a series of important initiatives. These initiatives support minority owned small businesses and provide funding for community organizations that are dedicated to closing the racial wealth gap.

<ul><li>Bank of America in 2021 provided $6.6 billion to build sustainable communities, creating more than <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2021/02/bank-of-america-community-development-banking-provided-record--5.html">11,600 affordable housing units</a>, including 3,200 units for senior citizens, 3,400 units for formerly homeless, veterans, or those with special needs, and 5,500 certified green units. The bank also tripled its affordable homeownership initiative to $15 billion through 2027, giving homebuyers as much as $10,000 for down payments and as much as $7,500 for closing costs.</li><li>Citi in 2021 established its <a href="https://www.citibank.com/icg/sa/citicommunitycapital/">Affordable Housing Preservation Program</a>, investing more than $200 million, out of a $550 million three- year commitment to affordable housing, in five equity funds co-managed by Black investment managers to preserve multi-family rental housing. In Oregon, Citi provided a $10.0 million construction loan and a $4.7 million permanent loan for the renovation of Webster House, a 48-unit project targeting elderly households experiencing homelessness or at risk of becoming homeless.</li><li>Goldman Sachs promotes affordable housing through its <a href="https://www.goldmansachs.com/what-we-do/asset-management/impact-investing/">Urban Investment Group (UIG)</a>, a domestic, multi-asset class investing and lending business that provides capital to real estate developments and social enterprises working in underserved communities. In 2021, UIG deployed over $3 billion in community development loans in low- and moderate-income communities and created and preserved 4,617 units of affordable housing across the country.</li><li>JPMorgan Chase in 2021 <a href="https://www.jpmorgan.com/commercial-banking/insights/affordable-housing-preservation-two-years-in">announced</a> it had committed more than $13 billion in financing for over 100,000 affordable housing units as part of its Affordable Housing Preservation Program. In 2020, JPMorgan Chase announced its <a href="https://www.jpmorgan.com/commercial-banking/insights/breaking-down-barriers-to-affordable-housing---jpmorgan-chase">commitment</a> to finance 100,000 affordable housing units in underserved communities, originate 40,000 home loans for Black and Latinx households, and help 20,000 Black and Latinx households lower their mortgage payments through refinancing. The bank has also committed to originating over 40,000 home purchase loans and refinancing an additional 20,000 loans in minority neighborhoods.</li><li>Morgan Stanley, along with the National Equity Fund, in 2022 <a href="https://www.connectcre.com/stories/morgan-stanley-nef-invest-250m-in-affordable-housing-program/">committed $250 million</a> to preserve and deliver quality affordable and workforce housing at a national level. In 2021, Morgan Stanley partnered with the Metropolitan Atlanta Rapid Transit Authority (MARTA) and the National Equity Foundation to <a href="https://www.housingfinance.com/finance/partnership-launches-100-million-fund-to-preserve-housing-near-marta-stations_o">launch</a> the Greater Atlanta Transit-Oriented Affordable Housing Preservation Fund to boost MARTA’s affordable housing effort, which supports long-term preservationof affordable housing near MARTA rail stations by incentivizing and providing gap funding for owners of affordable housing.</li><li>State Street is a longtime supporter of <a href="https://www.metrohousingboston.org/about/">Metro Housing | Boston</a>, a Boston nonprofit that works with individuals and families who are homeless or at risk of losing their homes, helping them navigate available services to empower them to move along the continuum from homelessness to housing stability. In 2020, State Street in 2020 invested over $240 million in <a href="https://www.statestreet.com/values/economic-responsibilities.html">affordable housing</a> communities throughout the U.S., through the Low-Income Housing Tax Credit program. Since 2010, State Street has invested over $1.7 billion in affordable housing.</li><li>Wells Fargo in 2022 <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2022/Wells-Fargo-Foundation-Aims-to-Grow-Diverse-Housing-Developers-with-40-Million-Donation/default.aspx">announced</a> Growing Diverse Housing Developers, a $40 million grant initiative focused on expanding the growth and success of real estate developers of color, including Black- and Latino-owned firms, as well as increasing the supply of affordable homes across the country. Wells Fargo also works with NeighborWorks America <a href="https://nl.wfhmconsumerevents.com/">to provide</a> down payment assistance and homebuyer education for low- and moderate-income families. In one initiative, in 2021 the bank committed to invest $5 million to help more than 300 low- and moderate-income residents in Houston with home down payment assistance.</li></ul>

Forum members are playing a leading role in promoting affordable housing throughout the country. In 2021 alone, Forum banks created or preserved more than 150,000 affordable housing units.

<ul><li>Recognizing the importance of a banking relationship to help narrow the wealth gap, Forum members were founding lenders in a pilot program with CFE to offer&nbsp;<a href="https://cfefund.org/project/bank-on/">BankOn accounts</a> to people across the country. More than <a href="https://2wvkof1mfraz2etgea1p8kiy-wpengine.netdna-ssl.com/wp-content/uploads/2021/07/CFE-Fund_-2021-Bank-On-100-Accts-Press-Release.pdf">100 lenders</a> big and small now offer BankOn accounts, <a href="https://www.stlouisfed.org/~/media/files/pdfs/community-development/bank-on/bankon_data.pdf?la=en">successfully</a> bringing people into the banking system.</li><li>Forum members have worked with CFE Fund and others to launch Financial Empowerment Centers in cities across the country. These centers offer free financial counseling, helping clients navigate complex financial situations and plan for the future. Additionally, the program supports strategic research projects to enhance the success of financial counseling.&nbsp;<a href="https://cfefund.org/project/financial-empowerment-centers/">Learn more</a>.</li><li>Bank of America, Citi, JPMorgan Chase, and Wells Fargo have long partnered with Cities for Financial Empowerment (CFE) to provide low-cost, low-fee checking accounts to help bring more people into the banking system.</li><li>The Citi Foundation <a href="https://www.prnewswire.com/news-releases/the-citi-foundation-and-cities-for-financial-empowerment-fund-to-increase-summer-job-opportunities-financial-education-and-banking-access-to-an-additional-140-000-young-people-301316128.html">announced</a> an additional $3.66 million in support to the CFE&nbsp;to increase summer job opportunities, financial education, and banking access to an additional 140,000 young people.</li><li>Forum members are working with the OCC on&nbsp;<a href="https://www.occ.treas.gov/topics/consumers-and-communities/minority-outreach/project-reach-fact-sheet.pdf">Project REACh</a>, a program to promote financial inclusion.&nbsp;Led by JPMorgan Chase, banks have worked to find ways to help people without traditional credit histories access credit. The banks have created a tool to import non-traditional data sources, such as deposit account activity, to allow lenders to have greater options to assess creditworthiness.</li><li>The Wells Fargo Foundation <a href="applewebdata://9AC3D0AC-44A3-42B2-AAA0-A73664A505E0/%E2%80%A2%09https:/cfefund.org/cfe-fund-and-wells-fargo-announce-third-cohort-of-bank-on-fellowship/">announced</a> a $1 million grant to CFE to increase the size of the BankOn Fellowship Program, which funds a full-time BankOn coalition leader focused on improving banking access for residents.</li></ul>

Forum members have long been on the frontlines in the effort to bring unbanked and underbanked Americans into the financial mainstream.

<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>

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

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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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