Dear reader,Welcome to the latest edition of The Forum File. In this edition, we are highlighting our firms’ efforts to provide innovative and resilient solutions to stay ahead of a changing market environment.We hope you enjoy reading this edition and please do not hesitate to share your feedback.Kevin Fromer, President and CEO, Financial Services Forum<h2>Penny for Your Thoughts</h2>At BNY Mellon, Laide Majiyagbe is the Head of Liquidity &amp; Financing and Nathaniel Wuerffel is the Head of Market Structure.<h3>Let’s start with one of the biggest topics in market reform: central clearing. How are you preparing for the rule’s implementation?</h3>Nate: Central clearing is a really big topic in the Treasury market right now because it represents the most significant change to the structure and functioning of the market itself in decades. It fundamentally will reassemble the way the Treasury market works. The Treasury market is the most important financial market in the world because of two fundamental characteristics: it’s safe and liquid.&nbsp;&nbsp;Of course, central clearing isn’t a cure-all. It guards against some risks but can’t solve for one-sided markets like we saw during the pandemic; and by itself it won’t ensure the liquidity of the market in times of stress. Keeping the Treasury market safe and liquid—its two foundational attributes—will take a range of efforts by both the public and private sectors.&nbsp;Laide: The Treasury market is core to what we do at BNY Mellon. We are the primary provider of settlement services for the Treasury market, processing more than 12 trillion transactions per day. We have the largest triparty platform, which allows clients to use Treasuries and other securities as a source of liquidity. Further, BNY Mellon is a top provider of cleared repo with roughly 25% of total sponsored balances in its role as sponsoring member.&nbsp;&nbsp;Preparedness for us is multi-faceted. We anticipate our client needs evolving and are innovating new solutions to support our client needs in the reassembled Treasury Market. Additionally, given our unique vantage point in the Treasury market, we are partnering with key participants and industry bodies as a thought leader in how the market transitions to meet the mandate.<h3>What about readiness for the broader market and your clients?</h3>Laide: To echo Nate: the central clearing mandate is the most substantial change to the US Treasury markets in recent history. We estimate as much as 3 trillion in cash and repo transactions will need to become centrally cleared under the mandate. We know that transitioning to central clearing is a significant change not just for us but for all market participants, including our clients.Nate: Early preparedness will be key to successful implementation. The SEC included a phased implementation with eligible cash market transactions due to be centrally cleared by end of 2025, and then repo transactions by the end of June 2026. The timelines can be achieved but only if participants begin planning now. I agree that access is the main hurdle and needs to be considered well in advance. I also think planning ahead to better manage margin and collateral management will be key.&nbsp;&nbsp;<h3>Deposits and pressure on lending and investment are also core topics, especially around regulations impacting the real economy. What are some of the big issues you’re seeing around liquidity?&nbsp;&nbsp;</h3>Laide: Over the last several years the US banking sector navigated significant changes in the operating environment, shifting from unprecedented easing and stimulus to increasingly restrictive policy while witnessing a rapid rise in benchmark rates to curb the highest inflation in decades.&nbsp;&nbsp;The events of last March highlight the consequences of inadequate asset liability and risk management and how the velocity and magnitude of liquidity moves have evolved in the last several decades.&nbsp;We welcome reviews to promote the resiliency and soundness of the US banking sector and encourage it being approached with rigorous qualitative and quantitative analysis and appropriate calibration to prevent unintended knock-on consequences to the broader economy.&nbsp;&nbsp;Nate: Building off what Laide said, I think we are moving into an environment where liquidity and asset liability management will be more and more important. You have banks that have experienced stress in a way that they haven’t in a long time, new liquidity expectations, a growing market and shrinking reserves.&nbsp; All these trends make it harder to know how much liquidity the banking system needs.<h3>BNY Mellon is celebrating 240 years this year, the oldest bank in the US. What’s been the driving force for the company’s success for so long and for the future?</h3>Nate: What has impressed me just as much is how innovative we can be. You don’t stay around for 240 years without innovating and staying ahead of a changing market environment. I’ve seen firsthand how dynamic the firm can be in providing solutions to facilitate market needs, for example, the types of new repo liquidity products we are rolling out on our triparty financing platform, like early morning maturity and intraday repo.&nbsp;And I think that’s where we are really going to continue to be successful, by providing both resilient and innovative solutions that allow individuals, firms, governments, even CCPs (to bring us back to central clearing) to grow and prosper. That’s what it really means to provide financial services. Pretty exciting stuff!&nbsp;&nbsp;Laide: I’ll be coming up on my third year at BNY Mellon, so I have bit more tenure than Nate at the firm.&nbsp; For me, what really stands out is how core resiliency is to us, both as an institution and how we innovate. It’s baked into our identity; it’s why our clients work with us, and the markets rely on us.As we see it, resiliency is very much commercial. And we do this by overseeing nearly $50 trillion in assets for our clients, and building and delivering innovative solutions for them as they execute on their vision and strategy.<h2>Capital Gains</h2>What we’re doing in WashingtonForum President and CEO Kevin Fromer <a href="https://fsforum.com/news/financial-services-forum-statement-on-2024-stress-test-scenarios">issued</a> a statement after the Federal Reserve Board released the scenarios for its annual bank stress tests. “The nation's largest banks are strong, highly capitalized and resilient,” Fromer said. “Elements of the Basel III Endgame proposal would duplicate the stress test exercise, imposing unnecessary costs on companies, savers, investors, and the overall economy.”The Forum <a href="https://fsforum.com/a/media/capital-requirements-for-the-largest-u.s.-banks-%E2%80%93-separating-fact-from-fiction.pdf">released</a> its latest factsheet that dispels twelve myths about the Basel III Endgame proposal.<h2>Our Two Cents</h2>Research from the ForumIn our latest BankNotes <a href="https://fsforum.com/news/the-evidence-is-conclusive-treasury-market-liquidity-has-deteriorated-significantly">blog</a>, Forum Chief Economist and Head of Policy Research, Sean Campbell, reviews the recent evidence on U.S. Treasury market illiquidity, relates these findings to the existing leverage ratio regime, and discusses how regulators can and should adjust policy to improve the functioning and stability of the world’s most important financial market.<h2>Checking the Balance</h2>Bank of America <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2024/02/bofa-delivers--7-1-billion-in-financing-to-build-11-000-housing-.html">announced</a> that the firm provided $7.1 billion in debt and equity financing last year to support affordable housing and economic opportunities in communities across the United States. This financing helped create and preserve 11,000 housing units for individuals, families, seniors, the formerly homeless and those with special needs.BNY Mellon <a href="https://www.bnymellon.com/us/en/about-us/newsroom/company-news/bny-mellon-announces-collaboration-with-america250-to-launch-nationwide-student-contest-americas-field-trip.html">collaborated</a> with America250, a nonpartisan initiative to encourage Americans to celebrate and commemorate the 250th anniversary of the United States, to launch a nationwide contest, “America’s Field Trip.” The contest invites elementary, middle, and high school students to submit artwork, videos and essays that reflect what America means to them.Citi <a href="https://shop.15percentpledge.org/">partnered</a> with the Fifteen Percent Pledge on the Fifteen Shop, a digital shopping site featuring a curation of products from Black-owned businesses. To help further the Pledge’s mission of promoting economic justice and closing the racial gap, Citi launched a consumer donation campaign and will match purchases made with a Citi credit card on the Fifteen Shop in the form of a donation to the Pledge until March 31, 2024.Goldman Sachs <a href="https://themissouritimes.com/goldman-sachs-launches-small-business-education-program-in-missouri/">partnered</a> with State Fair Community College in Sedalia, Missouri, to launch a small business education program to educate small business owners on how to improve and expand their businesses. The partnership is part of the firm’s $100 million dollar investment for rural small businesses.JPMorgan Chase <a href="https://www.jpmorganchase.com/news-stories/chicago-investment">announced</a> its renovation plans for Chase Tower in Chicago. With this investment in its Chicago headquarters, JPMorgan Chase will remain one of the city’s largest employers and continue to make a significant impact on the local economy.Morgan Stanley’s E*TRADE <a href="https://www.morganstanley.com/press-releases/e-trade-from-morgan-stanley-recognized-by-stockbrokers-com0">received</a> multiple honors from <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fStockBrokers.com&amp;c=E,1,izpd70AR9HORH-oOuSiovinqOZt6qnVZqw3_2DSqz5tKuYRd7IXhcloabTBUryTKjY5CG3zDT1Ss8f1GPx79Wl95qFU0lgY1jvxSMFB07kRf&amp;typo=1&amp;ancr_add=1">StockBrokers.com</a>’s 2024 Online Broker Review. E*TRADE was rated the #1 Investor App for the second year in a row, and Power E*TRADE #1 Web Trading Platform for the 12th year in a row.State Street <a href="https://newsroom.statestreet.com/press-releases/press-release-details/2024/State-Street-Announces-100-Million-Program-for-Minority-Depository-Institutions-and-Community-Development-Financial-Institutions/default.aspx">announced</a> a $100 million program to provide low-cost, stable deposit funding to Minority Depository Institutions and Community Development Financial Institutions. As partners with Optus Bank and Mechanics &amp; Farmers Bank, State Street will support the firms’ collective missions of addressing inequities in our communities by working toward a more just and equitable future.Wells Fargo <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2024/Wells-Fargo-Joins-Forces-with-ICON-to-Support-Initiative-99-Global-Architecture-Competition-to-Build-Homes-for-Under-99000/default.aspx">announced at SXSW</a> a new effort with ICON to support its Initiative 99 global architecture competition to design affordable homes for $99,000 or less. The Wells Fargo Foundation is committing $500,000 in grant funding to Austin-based nonprofit Mobile Loaves &amp; Fishes to build winning 3D-printed designs to serve the underhoused community.&nbsp;

Article

large_CMS.png

medium_CMS.png

small_CMS.png

thumbnail_CMS.png

CMS.png

The Forum File, 2024 Edition #2

Dear reader,Welcome to the latest edition of The Forum File. In this edition, we are sharing our firms’ efforts to support Community Development Financial Institutions and local 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<h2>Penny for Your Thoughts</h2>Dan Letendre is the Head of CDFI Lending &amp; Investing for Bank of America<h3>We know that Bank of America has long been active in the CDFI and MDI space. Can you describe your capabilities there?</h3>Bank of America has supported Community Development Financial Institutions (CDFI) for more than 25 years. We are currently the largest private investor in CDFIs, with $2 billion in loans, deposits, capital grants and equity investments across our over 250 CDFI partners.CDFIs are typically non-profit loan funds, but they can also be mission-driven banks, including Minority Depositary Institutions (MDIs) and credit unions. They provide capital, mentoring and financial advice to support small businesses, affordable housing, fresh food supermarkets, healthcare centers and nonprofit organizations operating in lower income communities. We partner with them to fund projects that strengthen families, businesses, and entire communities in underserved areas throughout the U.S.&nbsp;<h3>How do CDFIs work, and why is their work important?</h3>CDFIs combine private sector capital from banks and other corporations with foundation grants and government support to make loans that larger banking institutions can’t make due to size, risk, or the need for intensive technical assistance. They expand economic opportunity in low-income communities by providing financial and technical assistance to support equitable and sustainable community development. There are more than 1,000 CDFIs certified by the Department of Treasury’s CDFI Fund, which was established as a bipartisan initiative in 1994 to promote economic revitalization and community development.CDFIs help establish track records of lending using alternative underwriting standards or benchmarks (i.e., lower FICO scores or higher loan to value ratios) to borrowers so that traditional lenders can understand how these loans repay and can adequately assess the risk. The goal is for some types of lending incubated within CDFIs to become business as usual for banks once a successful loan performance history has been established.<h3>What are some new developments in your work with CDFIs and MDIs?</h3>We support a range of areas, including affordable housing, community development – such as health clinics, charter schools, and child-care facilities – small businesses, families, and individuals. Some areas of focus include:<ul><li style="text-align:justify;">We announced in November that we are doubling our 2-year-old commitment to fund <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.vet.loan%2f&amp;c=E,1,enNOWwNRv5tuAmEIRxCUKZvmVVPF7Ev1mwCMjaqcaqXHbz5k2MSdK9SfbbNTCO2NLUDWtodJqMtslWlqSXPtiTsvOeWgWR4QZdYKxC9NZF6w&amp;typo=1">Veteran Loan Fund</a>, a CDFI collaborative that provides financing and training for veterans starting small businesses. The consortium of 12 CDFIs has already funded more than 500 small businesses built by former military personnel that have created more than 3,000 jobs across 37 states.</li><li style="text-align:justify;">In 2023, we completed $40 million in funding to CDFIs to finance primary healthcare facilities in medically underserved communities across the United States.</li><li style="text-align:justify;">We have a long history of supporting clean energy initiatives through the work of CDFIs, including the Bank of America Energy Efficiency Finance Program for CDFIs that launched in 2011 to test different program models and financing structures to overcome barriers to making energy efficient improvements to various types of buildings. Additionally, we look forward to the deployment of the $27 billion Greenhouse Gas Reduction Fund, a national federal program created by the Inflation Reduction Act that will mobilize private capital to reduce emissions of greenhouse gases, particularly in low income and disadvantaged communities.</li><li style="text-align:justify;">We continue to support MDIs through $200 million in deposits to help them expand their capacity and facilitate lending, housing, neighborhood revitalization in minority and low/moderate-income communities. Deposits are needed by these institutions in order to leverage the equity capital provided two years ago by the U.S. government to help close the racial wealth gap.</li><li style="text-align:justify;">Our work includes supporting small businesses. Since 2021, our CDFI Locator portal has connected small businesses with over 250 CDFI partners nationwide. The portal provides a short-list of CDFIs based on size of the loan and location. We’ve expanded our <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwomen.accesstocapitaldirectory.com%2f&amp;c=E,1,wynSRiOCVN99mQUd6Xm8nKiFuiAaw7Ar7n5U-JiT6rK9ofjhHHvz_Sd3X7pbXfFklOr7PzKlbzchxtuizPcNfMYsYs8L-Pl2wzu5gpUF9RBXJCVqXTE,&amp;typo=1">Access to Capital Directory</a> to benefit all small businesses using lessons learned from successful the launch in 2021 that initially focused on helping women-owned businesses in the U.S. navigate the capital landscape and identify potential sources of funding, such as equity, debt, and grants.</li><li style="text-align:justify;">Additionally, we invest equity capital in smaller, local funds with underrepresented owners seeking to themselves in diverse entrepreneurs to grow their businesses and drive economic opportunity in their communities. &nbsp;As of June 2023, we had committed more than $500 million in equity investments to more than 150 minority- and women-led funds in communities all around the country, more than doubling our initial $200 million commitment.</li></ul>&nbsp;<h2>Value Add</h2><figure class="image image-style-align-center image_resized" style="width:100%;"><img src="https://fsforum.com/a/media/fav_2023_boa-marathon_126-900x598.jpg"></figure><h3>How Bank of America Supports Communities Through Sports Partnerships</h3>As part of Bank of America’s commitment to Responsible Growth, the company partners with a range of sports and entertainment properties to increase accessibility and drive charitable impact in the communities it serves. These sponsorships, which span across MLB, NFL, NBA, National Women’s Soccer League, golf and motorsports, as well as endurance running, film and more, serve as vehicles for generating economic impact and supporting communities where we live and work.To bring this commitment to life, Bank of America’s Play It Forward Clinics provide youth with access to sports through a unique clinic format that pairs sports technique with life skills development. Prior clinics have included influential athletes across a range of sports, including Gleyber Torres, Jackie Joyner-Kersee, Muggsy Bogues, Dexter Fowler, Kevin Faulk and Megha Ganne. This work supports Bank of America’s dedication to addressing economic mobility across local communities.Bank of America also utilizes sponsorships to drive economic and charitable impact in local communities. For example, the Bank of America Chicago Marathon alone generates more than $386 million in economic impact for the city of Chicago each year and runners raise tens of millions of dollars in charitable donations annually. Since 2002, the Chicago Marathon has raised more than $322 million in support of local, national, and global charities.Looking ahead to the first year of a long-term partnership with the Boston Marathon and the Boston Athletic Association, Bank of America is committed to amplifying the extraordinary charitable impact generated by 30,000 runners who cross the iconic Boston Marathon finish line each spring.<h2>Capital Gains</h2>What we’re doing in WashingtonIn a BankThink piece in American Banker, Forum President and CEO Kevin Fromer wrote: “The nation’s largest banks are strong and they are essential to our economy. Higher capital requirements would do more harm than good,” he said. Read the full letter <a href="https://fsforum.com/news/letter-to-the-editor-basel-myths-are-all-too-real-for-the-financial-services-industry">here</a>.In our latest <a href="https://fsforum.com/news/don-t-confuse-bank-capital-and-returns-to-investors">blog</a> post,&nbsp;Fromer urged policymakers to carefully consider the impacts Basel III Endgame would have on consumers, financial markets, and the economy in light of a discussion about buybacks and dividends. “The debate on the Basel III Endgame should stay focused on why excessive new capital requirements are being considered, and how they would harm Americans across our economy,” Fromer said. “Shifting the discussion to irrelevant topics does nothing to further our understanding of the likely cost of proposed capital increases.”The Forum submitted a comment letter on the Basel III Endgame proposal to the Federal Reserve Board, Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency. &nbsp;Read the key takeaways <a href="https://fsforum.com/a/media/key-takeaways-b3e-comments.pdf">here</a>.In addition, the Forum submitted comment letters responding to proposals on updates to the <a href="https://fsforum.com/news/proposed-increases-in-capital-surcharges-for-largest-u-s-banks-unwarranted">GSIB surcharge</a> and <a href="https://fsforum.com/news/proposed-changes-to-long-term-debt-requirements-would-impair-market-liquidity">Long-Term Debt Requirements</a>.Following a speech by the Federal Reserve Board Vice Chair for Supervision, Forum CEO Kevin Fromer issued a <a href="https://fsforum.com/news/forum-ceo-analysis-shows-excessive-cost-of-capital-proposal">statement</a> on the excessive cost of proposed capital requirements.The Forum <a href="https://fsforum.com/news/highlighting-concerns-on-basel-iii-endgame">highlighted</a> concerns that have been raised by individuals and organizations on the Basel III Endgame proposal.<h2>Our Two Cents</h2>Research from the Forum<a href="https://fsforum.com/news/required-gsib-capital-increase-would-far-exceed-government-estimates">Analysis</a> found that capital requirements for the largest U.S. banks would increase by 30 percent following the implementation of the Basel III Endgame rule. "These capital and risk-weighted asset increases are markedly higher than those provided in the proposal, demonstrating that the agencies have materially underestimated the proposal’s impact,” said the Forum, American Bankers Association, Bank Policy Institute, and SIFMA in a joint letter to banking regulators.<h2>Checking the Balance</h2>Bank of America <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2024/01/bofa-launches-cashpro--insights---latest-digital-innovation-for-.html">launched</a> CashPro Insights, a digital tool that analyzes information flowing through the firm’s CashPro platform and presents clients with insights that empower them to make more informed treasury decisions and drive cost saving efficiencies. CashPro is a digital banking platform accessed by more than 40,000 corporate and commercial clients around the world to manage their treasury, trade and credit operations and perform self-service requests.BNY Mellon was <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.bnymellon.com%2fus%2fen%2fabout-us%2fnewsroom%2fcompany-news%2fbny-mellon-named-as-one-of-the-worlds-most-admired-companies-for-2024.html%3fcid%3dCOM_OSM_NACOMMC_COM_ECC_2112_475_FortuneMAC27_ALLSEG_PUB_GL_TWT_____&amp;c=E,1,cCDNCdI1xzNHbOrSGQYOliabnyko7W6LOJXE1eCdcdCcxP0P4krsghfpKua9RXHKTxNt4g-rMTt4fcMONUjAflp1X-iOw4WGP3wMGLpTELUHW6M,&amp;typo=1">named</a> one of the most admired companies in the world by FORTUNE magazine for 2024. BNY Mellon performed best in “People Management” and “Innovation.”Citi <a href="https://www.citigroup.com/global/news/press-release/2024/citi-markets-to-donate-over-6-6-million-to-education-focused-non-profit-organizations">announced</a> that the firm will donate over $6.6 million in support of education-focused non-profit organizations as part of its “e for education” campaign. The selected non-profit organizations focus on tackling childhood illiteracy and improving access to quality education, such as Fallen Patriots, an organization dedicated to educating children who have lost a parent in the U.S. military.JPMorgan Chase, alongside partners Greater Washington Partnership and Education Strategy Group, <a href="https://www.jpmorganchase.com/news-stories/greater-washington-talentready-philanthropic-commitment">announced</a> the Talent Ready 2.0 initiative, a collaborative effort between employers and educational institutions to accelerate high school students across the D.C., Maryland and Virginia region on a path to great careers. This $5.3 million investment expands on JPMorgan Chase’s ongoing commitment to the region and its efforts to help more people, particularly those from underserved backgrounds, enter the workforce and compete for quality careers.Goldman Sachs’ Urban Investment Group partnered with KeyBank Community Development Lending and Investment and <a href="https://finance.yahoo.com/news/keybank-community-development-lending-investment-141500256.html?guccounter=1&amp;guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&amp;guce_referrer_sig=AQAAAFv5icryoWs1xxbXU9qBRqqkItdhTFSWHaBt0pfZYeBiAfACgR4ni2gx909_Q8-dbaZ1HUg9QOujlKpUjZox2u9ZBk4HyaXpyj3Se9EaKIUaomDx5zRr0bgGx0qOGvUVdRkudAYJ7p1oICiMtgznCr6nUtsWFHlj_PDHb027WO_9">provided </a>a $200 million construction loan for the planned renovation of affordable housing for seniors in Rochester, New York. The capital investment will have a significant impact within underserved communities living in downtown Rochester.Morgan Staney’s at Work platform <a href="https://www.morganstanley.com/press-releases/morgan-stanley-at-work-automation-enhancements-2023">announced</a> a series of technology enhancements that drive increased efficiency across a widening ecosystem of workplace benefits solutions for equity, compensation, retirement, deferred compensation, executive services, saving and giving, and financial wellness.State Street <a href="https://newsroom.statestreet.com/press-releases/press-release-details/2024/State-Street-Corporation-Announces-Issuance-of-Preferred-Stock/default.aspx">announced</a> the issuance of $1.5 billion of depositary shares, with two diverse firms acting as co-managers on the transaction. The offering was structured in keeping with the firm’s inclusion, diversity, and equity efforts and represents State Street’s eleventh consecutive offering with diverse underwriters.Wells Fargo <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2023/Wells-Fargo-Joins-Forces-with-Team-Rubicon-to-Train-Veterans-to-Rebuild-Homes/default.aspx">granted</a> $750,000 to fuel veteran-led humanitarian organization Team Rubicon’s TRades Academy, a program designed to provide trainees with trade skills to use within their own communities. With the TRades Academy, Wells Fargo will address the need for contractors in communities nationwide to repair homes and small businesses impacted by natural disasters.&nbsp;&nbsp;

large_Dan Letendre.jpg

medium_Dan Letendre.jpg

small_Dan Letendre.jpg

thumbnail_Dan Letendre.jpg

Dan Letendre.jpg

The Forum File, 2024 Edition #1

Dear reader,Welcome to the latest edition of The Forum File. In this edition, we are highlighting our firms’ efforts to work with diverse partners and increase representation and opportunities in the financial industry.Wishing all of you a wonderful holiday season and we look forward to continuing the conversation in 2024.Kevin Fromer, President and CEO, Financial Services Forum&nbsp;<h2>Penny for Your Thoughts&nbsp;</h2>Kimberly DeTrask is State Street Corporation’s Executive Vice President and Treasurer with global responsibility for balance sheet management, the investment portfolio, and capital and liquidity management<h3>Tell me about State Street’s program to work with diverse underwriters?</h3>State Street is a significant issuer of financial instruments, such as debt and equity securities. Underwriters evaluate the risk of these instruments before they go to market and provide the channel from the issuer to the investing community. Successful execution of an issuance requires strong partnerships with other institutions, including banks and other financial firms, leveraging a range of information and opinions.In 2020, we decided to consciously increase our partnerships with minority, women, and veteran-owned institutions as part of our commitment to inclusion, diversity, and equity.&nbsp;In Q4 2022, State Street issued its first sustainability debt offering with a syndicate that included a veteran-owned firm as a bookrunner, and included black-, women-, and Hispanic-owned firms as co-managers. This year we have continued our commitment of using at least one diverse firm per deal as a primary underwriter, or bookrunner, as well as having multiple diverse co-managers.&nbsp;In 2023, we have distributed more than one-third of deals to diverse firms across $6.25 billion in debt issuances.&nbsp;<h3>How has the experience been?</h3>This has been a fantastic experience for us, and I believe for our diverse partners as well. This work has had a number of important returns. Importantly, we have found our diverse partners to be valuable resources in their differentiated perspectives and content. One of our partners, for example, is a veteran-owned firm named Academy, which provides specialized research on geopolitics that our team finds valuable in assessing global risk factors.Additionally, this is an important contribution we can make to help increase representation in the industry.&nbsp;We choose to work with firms we see are true to their mission by reinvesting into their firm, employees, and community.&nbsp;It also helps us to bring in a diversified investor base to debt offerings, as our diverse underwriting partners provide access for investors who are not regularly reached by “bulge bracket” firms. Our diverse partners have also served as valuable trading partners in State Street’s bank investment portfolio with good trading coverage and market color.<h3>What’s ahead for 2024?</h3>We will continue to build on the success of the program, remaining focused on increasing our partnership with diverse counterparts while also increasing representation and opportunities across our industry and in our communities.<h2>&nbsp;Value Add</h2><figure class="image image_resized" style="width:100%;"><img src="https://fsforum.com/a/media/state-street-headquarters.jpg"></figure>State Street in September marked the opening of its new global headquarters in downtown Boston, home to State Street for more than 230 years.“This is the beginning of a new and exciting chapter in our company's rich history, and one that will provide our employees with a state-of-the-art working environment that will increase our ability to collaborate and ultimately, help us achieve better outcomes for our clients, our employees and the industry,” said Ron O’Hanley, chairman and chief executive officer of State Street Corporation.Additionally, State Street launched its new brand and digital-first visual identity to better reflect the future of the organization. The new brand is designed to reflect the company’s innovation and history of firsts. Brand remains a critical driver of the company’s success, employee engagement and market value.<h2>Capital Gains</h2>What we’re doing in WashingtonIn an <a href="https://fortune.com/2023/12/06/us-economy-could-face-perfect-storm-basel-iii-endgame-goes-into-effect-finance-banks-kevin-fromer/">op-ed</a> published in Fortune, Forum President and CEO Kevin Fromer warned that&nbsp;the Basel III Endgame proposal to increase bank capital requirements would harm consumers, small businesses, and the broader economy if implemented as proposed. “The largest banks, fundamentally strengthened by a series of changes, have served as a source of support by extending enormous amounts of credit, helping customers navigate uncertainty, and stabilizing the broader banking sector at a critical moment,” Fromer said. “Policymakers must demand extensive changes to the Basel III Endgame proposal so the banking sector can continue its essential role in the U.S. economy–and to avoid taxing consumers and businesses for no appreciable benefit to financial stability.”Fromer also appeared on&nbsp;<a href="https://www.youtube.com/watch?v=OG5I1tnclm4">Bloomberg TV</a> to discuss the negative impacts of the Basel III Endgame proposal, the strength of the largest U.S. banks, and the lack of consensus that more capital is needed. “We have been through many, many years of activity where these institutions have encountered everything you can throw at them and they have been operating with more than enough capital,” he said. &nbsp;<a href="https://fsforum.com/news/icymi-the-u-s-economy-could-face-a-perfect-storm-if-basel-iii-endgame-goes-into-effect">Read more and watch the full interview.</a>Following testimony by U.S. financial regulators before the Senate Committee on Banking, Housing, and Urban Affairs, the Forum issued a <a href="https://fsforum.com/news/the-basel-iii-endgame-proposal-separating-fact-from-fiction">statement</a> dispelling <a href="https://fsforum.com/a/media/capital-requirements-for-the-largest-u.s.-banks-%E2%80%93-separating-fact-from-fiction.pdf">common myths</a> about the Basel III Endgame proposal.The Forum issued a <a href="https://fsforum.com/news/forum-comments-on-passage-of-deposit-insurance-assessment">statement</a> following the approval by the Federal Deposit Insurance Corporation of a special assessment to&nbsp;recover losses resulting from use of the Systemic Risk Exception in connection with the closures of Silicon Valley Bank and Signature Bank. “Forum members are ironically paying a substantial portion of the restoration though they did not benefit from the systemic risk exception determination,” Fromer said. “Forum members again acted as sources of strength and support to the financial system and the broad economy, as they did during the COVID-19 pandemic."The Forum outlined the negative impacts of the Basel III Endgame proposal’s <a href="https://fsforum.com/a/media/fsf_factsheet_b3e-oprisk-requirements_110923.pdf">operational risk</a> capital requirements and the <a href="https://fsforum.com/a/media/basel-iii-endgame-market-making-requirement-threatens-liquidity,-economy,-and-financial-stability.pdf">market-making</a> capital requirement, and <a href="https://fsforum.com/a/media/what-they're-saying-on-b3e.pdf">highlighted</a> the broad array of outside voices raising concerns about the negative impacts of the proposal.&nbsp;<h2>Our Two Cents</h2>Research from the ForumIn the latest BankNotes blog, Chief Economist and Head of Policy Research Sean Campbell <a href="https://fsforum.com/news/true-true-and-irrelevant-common-fallacies-about-current-gsib-capital-and-oncoming-requirements">explains</a> why the notion that increasing required bank capital is not a problem because the banks “already have enough” is a dangerous misconception.The BankNotes blog also <a href="https://fsforum.com/news/federal-reserve-research-underscores-the-illogic-of-recent-capital-proposal">highlighted</a> recent research from the Federal Reserve Bank of New York that underscores the illogic of the Basel III Endgame proposal.<h2>Checking the Balance</h2>Members in the NewsBank of America <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2023/10/new-york-city-entrepreneurs-selected-for-small-business-spotligh.html">announced</a> four New York City-based women- and minority-owned businesses to join the firm’s annual Small Business Spotlight Program, which offers local entrepreneurs and businesses the opportunity to reach new customers. Each business is currently showcasing their products at the Bank of America Winter Village at Bryant Park, a popular winter shopping and tourist destination.To kick off the holiday season, BNY Mellon is <a href="https://www.bnymellon.com/us/en/about-us/newsroom/company-news/bny-mellon-to-host-third-annual-giving-tuesday-community-week-of-impact.html">hosting</a> its third annual Giving Tuesday Community Week of Impact, a campaign that encourages the firm’s employees to support their local communities. It is estimated that the bank’s employees will volunteer more than 3,000 hours in the one-week period.Citi was <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.citigroup.com%2fglobal%2fnews%2fpress-release%2f2023%2fciti-named-worlds-best-digital-bank-and-best-corporate-institutional-digital-bank-for-2023-by-global-finance-magazine&amp;c=E,1,rqlPa0cFRFJZLjG15hbiW5SgI2N4CKorHJD1kzcQvbFg4-xjrNMqELh9uostmGT6Pp2eIPyU0zlv2jI6vdSNbOSFdQPvpdGLDcuXNgKmrF4,&amp;typo=1">named</a> Best Digital Bank 2023 by Global Finance Magazine. This marks 22 consecutive years of recognition as a global banking leader by the publication. Citi was also named Best Corporate/Institutional Digital Bank Globally.Goldman Sachs <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.goldmansachs.com%2fmedia-relations%2fpress-releases%2f2023%2fgs-and-dawn-staley-to-address-racial-wealth-gap.html&amp;c=E,1,bhPfK76ohrFhv9tIdeqTwKqnXE6SGfpRX0mjKxrEYOf8o-snHlNIvPTAEjHWr7Bk-KdYQsjpjYpLFDveMD0dWuKrsVJgirByO9pTXV36Pw,,&amp;typo=1">partnered</a> with Hall of Fame women’s basketball player and coach, Dawn Staley, on a TV advertisement to address the racial wealth gap in the United States. This ad is part of Goldman Sachs’ One Million Black Women initiative to help narrow opportunity gaps, both through direct investments and grants, as well as by amplifying the voices of Black women in the U.S. to help catalyze public policy change.JPMorgan Chase <a href="https://www.jpmorganchase.com/news-stories/philanthropic-commitment-to-scale-nationwide-apprenticeship-programs">announced</a> a $3.5 million commitment to expand apprenticeship opportunities nationwide. These commitments expand on the firm’s efforts to help individuals, particularly those from underserved backgrounds, enter the workforce and compete for quality careers.Morgan Stanley’s Next Level Fund <a href="https://www.morganstanley.com/press-releases/morgan-stanley-next-level-fund-raises-to-invest-in-technology-co">raised</a> $50 million to invest in early-stage technology companies led by entrepreneurs from historically underrepresented populations. Target sectors include technology, consumer/retail, financial technology, healthcare, consumer products and media and entertainment.State Street <a href="https://investors.statestreet.com/investor-news-events/press-releases/news-details/2023/State-Street-Launches-StreetFX-Solution-for-T1-Settlement/default.aspx">announced</a> that it is offering an automated workflow solution with Depository Trust and Clearing Corporation within the firm’s foreign exchange trading service. State Street’s new service, StreetFX, streamlines foreign exchange trading for clients by enabling a faster no-touch, post-trade processing workflow.Wells Fargo <a href="https://www.ajc.com/news/business/wells-fargo-gives-15m-to-local-group-for-black-entrepreneurship/R2YN3NTBBVBJZLYEN4VPUIXUE4/">committed</a> $1.5 million to the Russell Innovation Center for Entrepreneurs (RICE), an Atlanta-based organization focused on supporting Black businesses. This investment will be used to construct a new learning lab at RICE and a digital platform that will be created to provide entrepreneurial training on a national scale.&nbsp;

large_kim detrask final headshot.jpg

medium_kim detrask final headshot.jpg

small_kim detrask final headshot.jpg

thumbnail_kim detrask final headshot.jpg

kim detrask final headshot.jpg

The Forum File, 2023 Edition #8 

Dear reader,Welcome to the latest edition of The Forum File. In this edition, we highlight Wells Fargo’s neurodiverse employment program.We hope you enjoy reading this edition and please do not hesitate to share your feedback.Kevin Fromer, President and CEO, Financial Services Forum<h3>Value Add</h3>Wells&nbsp;Fargo’s Neurodiversity Program celebrates the range of differences among individuals and provides structure and support to help all employees flourish.<figure class="image"><img src="https://fsforum.com/a/media/neurodiversity.jpg"></figure><a href="https://www.wellsfargojobs.com/en/diversity/neurodiversity/">Wells&nbsp;Fargo’s Neurodiversity Program</a> launched in April 2020 as part of the company’s overall commitment to hiring skilled talent and building a diverse workforce.Neurodiversity describes the range of differences in individual brain functions and behavioral traits regarded as a component of normal variation in the human population. It includes inherent cognitive considerations, such as Autism, Dyslexia, Attention Deficit Hyperactivity Disorder (ADHD), and Tourette syndrome, among others — a skilled population that historically has been disproportionately underserved in the job market.The National Library of Medicine cites 15-20% of the U.S. population is diagnosed as “neurodivergent.” This is comprised of 10% (33M) of people who are diagnosed with dyslexia, 5% (15M) who are diagnosed with ADHD, and up to 2% (6.6M) who are diagnosed with Autism.And according to the University of Connecticut Center for Neurodiversity and Employment, unemployment for neurodivergent adults is estimated at 30-40% which is three times the rate of the broader people with disabilities segment and eight times the rate of those without disabilities.&nbsp;The work-entry barrier can be exacerbated by differences in social norms between hiring managers and prospective job candidates, which is part of what the Wells Fargo Neurodiversity Program has improved through facilitation of an inclusive and accommodating skills-based hiring model that allows candidates to showcase their talent in a more comfortable environment over the course of several days. The program also delivers education, individualized support, training, coaching and enablement programs to enrich the lives and work experience of our employees.&nbsp; In addition, workplace accommodations may also be available to help individuals succeed on their career journey.Stephen DeStefani, Wells&nbsp;Fargo Technology Business Services executive, and leader of the Enterprise Neurodiversity Program, calls the program the most rewarding work of his career. The impact of the Wells Fargo Neurodiversity program to date is:<ul><li style="text-align:justify;">Nearly 99% of our neurodiversity hires are still employed with Wells Fargo.</li><li style="text-align:justify;">215 participating Wells Fargo’s hiring managers.</li><li style="text-align:justify;">The program has been implemented in the U.S., and India with a formal launch in EMEA in 2024.</li></ul>DeStefani says the program is on track to have hired over 300 employees globally by the end of 2023 across eight of Wells Fargo core business lines and seven different technology and non-technology roles. “For 2023 we are also tracking over 40% of our hires are women and 55% identifying as Black, Hispanic or multi-racial. DeStefani said. “Inclusion is a 360-degree view, and we continue to expand the program across our enterprise, with continued support from critical non-profit partners including the University of Connecticut’s Center for Neurodiversity and Employment &amp; Innovation and the Autism Society of America.”<h3 style="text-align:justify;">Capital Gains&nbsp;</h3>What we're doing in Washington&nbsp;<figure class="image image_resized" style="width:61.72%;"><img src="https://fsforum.com/a/media/basel-campaign.png"></figure>The Forum and its members launched a new campaign, <a href="https://americanscantaffordit.com/">Americans Can’t Afford It</a>, highlighting the economic consequences of proposed capital requirements on consumers, small businesses, and the economy at large.<figure class="media"><oembed url="https://www.youtube.com/watch?v=-IZmFbk150c&amp;t=19s"></oembed></figure>The Forum released its latest Policy Cents <a href="https://www.youtube.com/watch?v=-IZmFbk150c&amp;t=19s">video</a> featuring Forum President and CEO Kevin Fromer on the role of the nation’s largest banks in community infrastructure projects. Watch the entire series <a href="https://fsforum.com/news/category/policy-cents/1/9">here</a>.The Forum issued a <a href="https://fsforum.com/news/extensions-don-t-address-fundamental-concern">statement</a> following the announcements by the banking agencies to extend the comment periods for the Basel III Endgame and GSIB surcharge proposals. “The agencies must provide the public with an appropriate opportunity to review and comment on the collected data on an aggregate basis and their implications for the proposals before the rules are finalized,” Forum President and CEO Kevin Fromer said. “Anything less would deprive the public of an open and transparent rulemaking process.”Our Two CentsResearch from the ForumIn the latest blog post from our Capital Insights series, Chief Economist and Head of Policy Research Sean Campbell discussed the potential impact of proposed <a href="https://fsforum.com/news/capital-insights-the-coming-1-4-trillion-tax-on-financial-services-provided-by-large-banks">operational risk capital requirements</a> on the cost and availability of all financial products and services provided by large banks.Additionally, a joint blog post with the Securities Industry and Financial Markets Association and the Bank Policy Institute, highlighted how the <a href="https://fsforum.com/news/the-federal-reserve-should-revise-the-u-s-gsib-surcharge-methodology-to-reflect-real-risks-and-support-the-economy">U.S. GSIB surcharge methodology</a> differs from international norms, which places the U.S. at a competitive disadvantage.Checking the BalanceMembers in the NewsBank of America <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2023/09/bank-of-america-increases-us-minimum-hourly-wage-to--23-as-next-.html">again increased</a> its U.S. minimum hourly wage for employees on its path to $25 by 2025. The company moved to $23 in October, increasing the minimum annualized salary for full-time employees to nearly $48,000. This move builds on the bank’s history of being a national leader in establishing a minimum rate of pay for U.S. hourly employees. &nbsp;&nbsp;BNY Mellon <a href="https://www.bnymellon.com/us/en/about-us/newsroom/press-release/bny-mellon-launches-bankify-130348.html">launched</a> Bankify, an open banking payments solution that helps organizations receive consumer payments from bank accounts. Clients will be able to offer end users the ability to make payments directly from their bank accounts as an alternative to credit or debit cards and third-party payment platforms.Citi <a href="https://linkprotect.cudasvc.com/url?a=https%3a%2f%2fwww.citigroup.com%2fglobal%2fnews%2fpress-release%2f2023%2fciti-hires-hispanic-owned-firms-exclusively-to-co-lead-manage-750-million-bond-issuance&amp;c=E,1,-2XU_10-Bt-syi0vUnKgd-cjv-nTQauBSOoupRSUnf_J8n9y6qO-NZE8hKRFh4geFaAFUtsgQMfvmjiIkrF-W1oAP_hJxkNEjsPGHwcd2gBWsy5DanmdEg,,&amp;typo=1">partnered</a> with six Hispanic-owned firms to syndicate a $750 million bond issuance in honor of National Hispanic Heritage Month. Specifically, the firm issued $750 million of Floating Rate Notes, which are due in 2025. This project marks a new milestone in strengthening relations with traditionally underrepresented firms – which also includes women- and veteran-owned broker-dealers – and in working collectively to enable economic growth and progress.Goldman Sachs <a href="https://www.goldmansachs.com/media-relations/press-releases/2023/goldman-sachs-breaks-ground-on-dallas-campus-at-northend.html">broke ground</a> on its Dallas Campus. With the new building, Goldman Sachs will have the capacity to house more than 5,000 people, core to bringing its people together in the Dallas metro area. The project will also promote opportunities to work with small, diverse and local talent as part of the firm’s supplier diversity goals.JPMorgan Chase Wealth Management’s <a href="https://www.chase.com/personal/investments/wealth-plan">Wealth Plan</a>, a digital financial planner, <a href="https://www.jpmorganchase.com/news-stories/jpm-wealth-plan-wins-smart-money-award-from-real-simple">won</a> a Real Simple 2023 Smart Money Award in the Financial Literacy category. Real Simple magazine honored the best new apps, accounts and services in personal finance.Morgan Stanley <a href="https://www.morganstanley.com/atwork">at Work</a> <a href="https://www.morganstanley.com/press-releases/morgan-stanley-at-work-launches-charitable-giving-solution">announced</a> a charitable giving solution, which simplifies corporate clients’ and their employees’ abilities to donate through a donor-advised fund platform. The Charitable Giving Program provides a dynamic and effective framework that enables organizations to support causes about which they are passionate.State Street <a href="https://newsroom.statestreet.com/press-releases/press-release-details/2023/State-Street-Executives-Named-to-2023-HERoes-Advocate-Executives-Role-Model-Lists-and-to-American-Bankers--Most-Powerful-Women-Lists/default.aspx">announced</a> that several of the firm’s executive leaders have been named to 2023 HERoes Advocate Executives Role Model List and to American Banker’s “Most Powerful Women” Lists. The HERoes awards recognize advocates of female leadership and gender diversity in the financial industry and the American Banker’s Most Powerful Women in Finance list celebrates the industry’s most influential female executives in financial services for their business acumen.Wells Fargo <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2023/Wells-Fargo-Awards-Nearly-11-Million-in-Grants-Through-Invest-Native-Initiative/default.aspx">awarded</a> nearly $11 million in grants to 28 organizations across six states as part of its Invest Native program. Invest Native is a $20 million philanthropic initiative by Wells Fargo to strengthen housing access and affordability, small business growth and sustainability in Native communities.&nbsp;&nbsp;

The Forum File, 2023 Edition #7 

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.

large_Heather Higginbottom headshot.png.jpg

medium_Heather Higginbottom headshot.png.jpg

small_Heather Higginbottom headshot.png.jpg

thumbnail_Heather Higginbottom headshot.png.jpg

Heather Higginbottom headshot.png.jpg

The Forum File, 2023 Edition #6

Dear reader,Welcome to the latest edition of The Forum File. In this edition, we are highlighting one bank’s work to support mental health in local communities, Forum members’ vital role in making small businesses stronger, and a look at our contributions to communities across the country.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>Joan Steinberg is Morgan Stanley’s Global Head of Philanthropy and President of the Morgan Stanley Foundation.&nbsp;<h3>What is the Morgan Stanley Alliance for Children’s Mental Health and what drives this work?</h3>For more than 60 years, the Morgan Stanley Foundation has been dedicated to giving children a healthy start to life, supporting diverse communities, and harnessing the time and skills of our employees to make an impact. In February 2020, we launched the <a href="https://www.morganstanley.com/about-us/giving-back/alliance-childrens-mental-health">Morgan Stanley Alliance for Children’s Mental Health</a> in response to the mental health crisis facing our youth.We recognized that while anxiety and depression in young people have risen at alarming rates, children’s mental health remains substantially underfunded. Approximately 20% of youth experience a mental, emotional, developmental or behavioral disorder, but only around 1% of philanthropic funding is earmarked for these issues. Through the Alliance, we are combining the resources and reach of Morgan Stanley with the knowledge and experience of leading nonprofits in the mental health space. Our aim is to help deliver positive, tangible impact on the critical challenges of stress, anxiety and depression in young people.The Alliance supports organizations through growth capital, nonprofit capacity building, seed funding and thought leadership. So far, Alliance programs have reached 25 million students, families and educators globally, many of whom are from diverse and underserved groups.<h3>Tell us about the Alliance’s Innovation Awards program and the solutions it is advancing.</h3>In 2021, the Alliance launched the <a href="https://www.morganstanley.com/about-us/giving-back/childrens-mental-health-awards">Innovation Awards</a> program as a way to identify and fund mental healthcare solutions for youth across the U.S. – seeking to address the lack of both private and public investment in this issue.To date, the Alliance has provided $1 million in grants to ten groundbreaking nonprofits across the United States, and is currently reviewing applications for the next cohort of five organizations working on mental health solutions for youth in their local communities and beyond. Each award winner will receive a grant of $100,000, as well as additional support through publicity, fundraising opportunities and consultation and training with industry professionals.In response to the high volume of applications, we will be expanding the program to support more charities and hopefully effect greater change in this space. Through a capacity building platform, we will offer expert-led and peer learning sessions and networking events aimed to benefit small- to mid-sized organizations. We are encouraged by the growth of the awards program over the past few years, including the $6 million in additional funds raised by our first cohort, and hope to inspire others to join us in our mission to fund transformative solutions to the children’s mental health crisis.<h3>How else is Morgan Stanley working to support local communities?</h3>“Give Back” is one of five core values at Morgan Stanley and is very ingrained in our culture. Our employees engage in the Firm’s philanthropic programs year-round by volunteering, donating funds and collaborating with their colleagues to increase our collective impact. In 2022, our Firm, foundations and employees collectively donated more than $160 million to nonprofit organizations around the world throughout the year.We also leverage the talents and passions of our employees to strengthen our impact. A cornerstone of this work each year is <a href="https://www.morganstanley.com/about-us/giving-back/global-volunteer-month">Global Volunteer Month</a>, when we come together across the world to kick up our efforts to volunteer in the communities where we live and work.&nbsp;Since our first Global Volunteer Month 17 years ago, our employees have provided over 2.8 million hours to local charities during the campaign. We just concluded our 2023 program, and over 60K employees—nearly 75% of our Firm—devoted over 295K volunteer hours to their communities. Senior management is highly invested in the program, serving as role models by participating themselves and actively encouraging our employees to volunteer.<h2>Value Add</h2>Morgan Stanley Strategy Challenge<figure class="image image_resized" style="width:62.21%;"><img src="https://fsforum.com/a/media/morgan-stanley-value-add.png"></figure>The <a href="https://www.morganstanley.com/about-us/giving-back/strategy-challenge-nonprofit-program">Morgan Stanley Strategy Challenge</a>, our flagship pro-bono program, combines our employees’ business acumen with our value of giving back in an especially deep and substantial way. Launched in 2009, the Strategy Challenge gives Morgan Stanley employees the opportunity to consult for nonprofits and help them solve strategic, mission-critical challenges. Over an eight-to-ten-week engagement, employees from different levels and with varied skill sets leverage their expertise to provide customized analysis and implementable action plans, along with tools for future assessments and decision-making.Through the program, Morgan Stanley employees have served a total of 183 nonprofits and volunteered over 131,000 hours. Team recommendations have led to more effective business models, expanded services, productivity improvements and more—all in service of each nonprofit's mission. <a href="https://www.morganstanley.com/press-releases/strategy-challenge-winners-announcement-2023">This year’s teams</a> collaborated with nonprofits to tackle pressing societal issues, including in education, healthcare, children’s wellbeing, mental health and food insecurity.<h2>Capital Gains</h2>What we’re doing in Washington<figure class="media"><oembed url="https://www.youtube.com/watch?v=trW0UaewDWo"></oembed></figure>&nbsp;The Forum released its latest Policy Cents <a href="https://www.youtube.com/watch?v=trW0UaewDWo">video</a> featuring Forum President and CEO Kevin Fromer on the vital role played by the nation’s largest banks in supporting small businesses through lending. Watch the latest video and the rest of our series <a href="https://fsforum.com/news/category/policy-cents/1/9">here</a>.In response to the release of a proposal on capital requirements, Forum President and CEO Kevin Fromer issued a <a href="https://fsforum.com/news/financial-services-forum-capital-proposal-would-harm-u-s-economic-competitiveness">statement</a>. "The U.S. government is poised to increase the cost and reduce the availability of a wide array of services that directly support our economy,” Fromer said. “There is no justification for significant increases in capital at the largest U.S. banks and no other jurisdiction is likely to adopt the approach proposed today, which will only increase the significant disparity that already exists between U.S. and foreign bank capital requirements.”Fromer also joined Bloomberg TV to highlight the costs of higher bank capital to U.S. businesses and households. <a href="https://fsforum.com/news/a-solution-without-a-problem">Read more and watch the full interview.</a>The Forum <a href="https://fsforum.com/news/forum-comments-on-deposit-insurance-special-assessment">responded</a> to a proposal by the FDIC that seeks to recover losses to the Deposit Insurance Fund resulting from use of the Systemic Risk Exception in connection with the closures of Silicon Valley Bank and Signature Bank. The proposed special assessment on insured depository institutions neither reflects the entities that benefitted from the systemic exception determination nor differentiates between stable and unstable deposits, the Financial Services Forum said.The Forum, with the American Bankers Association, Bank Policy Institute, Institute of International Bankers, and Securities Industry and Financial Markets Association, submitted a <a href="https://fsforum.com/news/joint-trades-letter-to-federal-chair-powell-on-costs-of-higher-capital">letter</a> to Federal Reserve Chair Jerome Powell to carefully consider the costs of higher capital requirements.<h2>Our Two Cents</h2>Research from the Forum&nbsp;This year’s stress test demonstrates the robustness and resilience of our nation’s largest banks. The chart below shows Forum firms’ common equity tier 1 capital (CET1) ratio at the beginning of the stress test and at the point the CET1 reaches its minimum value of 4.5 percent.<figure class="image image_resized" style="width:55.94%;"><img src="https://fsforum.com/a/media/picture2.png"></figure>Even though the stress test subjects large banks to an economic scenario more severe than the financial crisis, the chart shows that Forum member capital levels only dip modestly, which indicates sound and resilient balance sheets. Additionally, even at their lowest points, Forum members maintain a level of capital that is three times as high as the regulatory minimum of 4.5 percent.To learn more about capital at the nation’s largest banks, go to smartbankcapital.com.&nbsp;<h2>Checking the Balance</h2>Members in the news&nbsp;Bank of America <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2023/06/bofa-to-open-financial-centers-in-9-new-markets-by-2026.html">announced</a> it will expand its financial center network into nine new markets over the next four years, bringing banking, investing, retirement, lending and small business services and solutions to more clients and communities. Through this expansion, the company will now operate financial centers in more than 200 markets across 39 states.BNY Mellon Investment Management <a href="https://www.bnymellon.com/us/en/about-us/newsroom/press-release/bny-mellon-investment-management-launches-the-bny-mellon-womenpercent27s-opportunities-etf-and-bny-mellon-innovators-etf-130332.html">announced</a> the launch of two new thematic Exchange-traded funds for investors, BNY Mellon Women's Opportunities ETF and BNY Mellon Innovators ETF. "These ETFs will enable investors to potentially benefit from themes we believe will drive economic and societal growth and progression," said&nbsp;David DiPetrillo, Head of North America Distribution at BNY Mellon Investment Management.Citi and American Airlines <a href="https://www.citigroup.com/global/news/press-release/2023/american-airlines-and-citi-enhance-the-citi_aadvantage-executive-world-elite-mastercard-with-more-benefits">announced</a> the refresh of the Citi/AAdvantage Executive World Elite Mastercard with new benefits. The new card benefits will enhance cardmembers’ travel experiences and will offer more opportunities to earn AAdvantage miles and loyalty points, as well as greater rewards for everyday travel and spending.Goldman Sachs <a href="https://urldefense.com/v3/__https:/linkprotect.cudasvc.com/url?a=https*3a*2f*2fwww.goldmansachs.com*2fmedia-relations*2fpress-releases*2f2023*2fgs-expands-visual-structuring-into-equities-crypto-and-precious-metals.html&amp;c=E,1,uRxwJ88UPvQSRmxu_3qWdaXy3c9eWW4ETWjsTMIn9ujDgbevxgnkV_ki4D4QKkV-cR_iE4tTEkPyN3SCXW9ys7LI5t-adr8thxUGNUm8E_4,&amp;typo=1__;JSUlJSUlJQ!!O2kDR7mm-zSJ!oUy16MWJPsjgqr8xm6SOl0U5JDTHTq-t3c6pcMz9xA30lZMDpNQyKDLNdfLqaTnOBYyZeCNg0hX7dmIB$">announced</a> the expansion of Visual Structuring, a tool for options price discovery and trade idea generation, available through Goldman Sachs Marquee. The bank expanded capabilities for the tool into equities, crypto and precious metals, and also launched web and Android versions in addition to the original iOS mobile application for FX launched in September.JPMorgan Chase <a href="https://www.jpmorganchase.com/news-stories/jpmorgan-chase-announces-new-business-and-philanthropic-commitments">announced</a> new philanthropic and expanded business commitments as part of its firmwide approach to addressing the housing affordability gap. The announcement marked two years into JPMorgan Chase’s&nbsp;<a href="https://www.jpmorganchase.com/news-stories/jpmorgan-chase-commitment-to-closing-the-housing-affordability-gap-for-black-and-latinx-households">$400 million, five-year commitment</a>&nbsp; to improve housing affordability and stability for underserved households. &nbsp;Morgan Stanley’s E*TRADE <a href="https://www.morganstanley.com/press-releases/power-etrade-platform-charting-enhancements">earned</a> 5.0 out of 5.0 stars and took the #1 spot for Best Mobile Investor App and Web Trading Platform from StockBrokers.com’s 2023 Online Broker Review. E*TRADE aims to enhance the financial independence of traders and investors through a powerful digital offering and professional guidance.State Street <a href="https://clicktime.symantec.com/15tSySXrkAf2eZTKEsQjj?h=v0KR5lS2qk5Gfure-g99r6d5fwVo9dwOw6focb162rI=&amp;u=https://newsroom.statestreet.com/press-releases/press-release-details/2023/State-Street-Expands-State-Street-Alpha-with-New-Front-to-Back-ETF-Capabilities/default.aspx">announced</a> that its Alpha servicing platform for institutional investment and wealth managers now supports the entire ETF (exchange traded funds) lifecycle with front, middle and back-office capabilities, with everything bolstered by The State Street Alpha Data Platform.Wells Fargo <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2023/Wells-Fargo-Foundation-Awards-7.5-Million-to-Habitat-for-Humanity-to-Build-Repair-Homes/default.aspx">announced</a> a $7.5 million grant to Habitat for Humanity International to help make housing more affordable and accessible. Through the 2023 Wells Fargo Builds program, the grant funding will enable local Habitat for Humanity affiliates to build and repair more than 360 homes nationwide, including accessibility modifications to meet the needs of low-income older adults and people with disabilities.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

medium_Joan Steinberg, Morgan Stanley headshot.jpg

small_Joan Steinberg, Morgan Stanley headshot.jpg

thumbnail_Joan Steinberg, Morgan Stanley headshot.jpg

Joan Steinberg, Morgan Stanley headshot.jpg

The Forum File, 2023 Edition #5 

Dear reader,Welcome to the latest edition of The Forum File. In this edition, we are highlighting how our members are investing in their employees throughout every stage of their careers, the Forum’s work to highlight the facts on bank capital requirements, and a look at our contributions to communities across the country.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>“At Goldman Sachs, our priority is to invest in our people, at every stage of their career— from attracting exceptional individuals with unique and diverse backgrounds to implementing effective talent development strategies and ensuring that all of our people have the resources they need to grow and thrive, both in and outside of the workplace.” – Jacqueline Arthur, Head of Human Capital Management&nbsp;<h3>Mental health is a growing focus for companies following the COVID-19 pandemic. How is Goldman Sachs responding?</h3>We believe we are only as strong as our people, as it is the people of Goldman Sachs who make our firm such an extraordinary organization. Our comprehensive benefits and wellness programs speak to our long-standing commitment to supporting our people and their families at every stage of their careers at Goldman Sachs. Our growing suite of benefits and wellness offerings include our Pathways to Parenthood program, our resilience programming, expanded leave options and financial wellness resources.It’s important that our people know about these resources and feel that they can have an open dialogue about mental health. We are developing a global cohort of Mental Health First Aiders – colleagues who receive training and help connect our people to firm resources. Our Employee Assistance and Critical Health Solutions programs provide access to confidential counseling both on-site and outside the firm, as well as support to navigate access to quality care.<h3>What progress is Goldman Sachs making on diversity, equity and inclusion?</h3>Accountability is at the center of our efforts at Goldman Sachs, and we are focused on attracting and retaining diverse, extraordinary talent. We have laid out aspirational goals as a framework for the progress we plan to make in increasing diverse professionals at all levels of the firm. One of the areas where we have been investing significantly is diversity recruiting and reaching a more diverse array of candidates. Those efforts include our&nbsp;<a href="https://www.goldmansachs.com/careers/professionals/returnship/">Returnship</a>,&nbsp;<a href="https://www.goldmansachs.com/media-relations/press-releases/2023/gs-hosts-hbcu-students-at-third-annual-market-madness-competition.html">HBCU Market Madness</a>,&nbsp;<a href="https://www.goldmansachs.com/careers/professionals/neurodiversity-hiring-initiative.html">Neurodiversity Hiring initiatives</a>&nbsp;and the&nbsp;<a href="https://www.goldmansachs.com/careers/professionals/veterans-integration-program.html">Veterans Integration Program,</a>&nbsp;among others.We are proud to say that these efforts have already resulted in us achieving our campus analyst hiring goals and we are welcoming a new cohort of analysts from these programs this year. Our recruiting efforts have allowed us to create a diverse pipeline of talented individuals at all levels, highlighted by our recent promotion classes of partners and managing directors – which were the most diverse in the firm’s history. We know driving progress towards these goals requires new and innovative approaches, and while we have made strides, we recognize there is more work to be done.<h3>How is Goldman Sachs supporting and investing in its people?&nbsp;</h3>First and foremost, Goldman Sachs is focused on&nbsp;investing in our talent, including&nbsp;by providing&nbsp;our people with new and&nbsp;compelling opportunities to continue to grow and develop in their careers here.&nbsp;Another way we ensure that we engage the best talent from a diverse set of experiences is by creating programming designed to open a multitude of pathways to Goldman Sachs and by recruiting individuals from areas outside of finance. Among these initiatives is our&nbsp;<a href="https://www.goldmansachs.com/careers/professionals/gs-bridge-to-banking.html">Bridge to Banking</a> program, an opportunity for a diverse set of experienced professionals to transition their prior work experience to a career in investment banking.&nbsp;Our twice-annual GS People Pulse survey is particularly valuable in hearing from our people directly. An important take-away from the survey has been ensuring regular career discussions between managers and their team members – that is now codified as the Three Conversations at GS, where everyone participates in a goal-setting conversation, mid-year check in and end of year feedback discussion.&nbsp;<h2>Value Add</h2>Analyst Impact Fund&nbsp;<figure class="image"><img src="https://fsforum.com/a/media/inteleheath-640x360-aud.webp"></figure>&nbsp;To date, Goldman Sachs has deployed $4 million in grants to nonprofit organizations driven by innovative ideas from our analysts.&nbsp;The &nbsp;<a href="https://www.goldmansachs.com/citizenship/goldman-sachs-gives/meet-the-grantees/analyst-impact-fund-2022/">Analyst Impact Fund</a>&nbsp;was designed to democratize our firm’s philanthropic giving and allow our analysts to have real and meaningful impact in the communities where we live and work. The global competition not only expands the firm’s philanthropic reach, but also serves as an important tool to engage our analysts, as they collaborate with peers across the firm to identify non-profits that are tackling global challenges and pitch innovative solutions to the firm’s leadership. They are also given the opportunity to engage with industry leaders both inside and outside of the firm.Winning teams are awarded grants from our philanthropic fund, Goldman Sachs Gives, for their organizations. In seven years of the program, over 5,000 analysts across 48 offices have participated. In 2022, a record number of analysts from across the globe pitched more than 350 non-profits that address a range of important issues, from healthcare access and refugee support to inclusive growth.&nbsp;&nbsp;<h2>Capital Gains</h2>What we’re doing in Washington&nbsp;Following a speech by the Federal Reserve vice chair for supervision, Forum President and CEO Kevin Fromer <a href="https://fsforum.com/news/forum-calls-on-regulators-to-carefully-consider-capital-changes">called</a> on regulators to carefully consider capital changes, emphasizing that “capital isn’t free,” and that “further capital requirements on the largest U.S. banks will lead to higher borrowing costs and fewer loans for consumers and businesses – slowing our economy and impacting those on the margin hardest.”In response to the Federal Reserve Board’s 2023 stress test results Forum President and CEO Kevin Fromer issued a <a href="https://fsforum.com/news/stress-tests-confirm-strong-capital-positions-of-largest-u-s-banks">statement</a> emphasizing how the “stress test results reinforce that additional required capital is not justified. The reforms of the post-Dodd-Frank period have achieved the goals of a stronger, safer banking system.”Following a recent speech on Basel capital proposals by the FDIC chairman, Forum President and CEO Kevin Fromer issued a <a href="https://fsforum.com/news/forum-ceo-comments-on-bank-capital-requirements">statement</a> regarding capital requirements and the largest U.S. banks: “As the chairman of the Federal Reserve has indicated, capital levels in the U.S. banking system are strong, particularly at the eight U.S.-based global systemically important banks. Furthermore, higher capital levels need to be justified because of the tradeoffs.” Fromer highlighted how these large banks have acted as a source of strength through periods of stress, and that costs to the economy after raising capital requirements would be nearly instantaneous.In anticipation of the U.S. implementation of Basel III Finalization, which could significantly raise requirements for the largest U.S. banks, the Forum <a href="https://fsforum.com/news/capital-requirements-for-the-largest-u-s-banks-separating-fact-from-fiction">dispelled</a> five myths with the facts:&nbsp;Myth #1: The largest U.S. banks need more capital.Fact: Policymakers have regularly attested to the strength and resiliency of the largest U.S. banks.&nbsp;Myth #2: Raising capital requirements on the largest U.S. banks does not impact the economy.Fact: Capital is connected to activity throughout the economy.&nbsp;Myth #3: Raising bank capital is not costly because, whatever the size of the capital increase, a “long transition period” will be provided.Fact: Costs are nearly instantaneous despite government transition periods.&nbsp;Myth #4: New and higher Basel III Finalization capital requirements will only impact large banks’ trading activities.Fact: New and higher capital requirements will impact a broad range of functions at the largest banks, including lending.&nbsp;Myth #5: Large banks only serve large corporations.Fact: The nation’s largest banks hold roughly $85 billion in small business loans, invest in CDFIs and MDIs, and meet two-thirds of the funding needs of other financial institutions.&nbsp;<h2>Our Two Cents</h2>Research from the Forum&nbsp;The BankNotes Blog Spotlighted:<ul><li>The safety and stability of the largest U.S. banks by <a href="https://fsforum.com/news/fdic-risk-review-the-largest-banks-remain-well-diversified">highlighting</a> the exceptional diversification of their portfolios in three key loan markets: agriculture, commercial real estate, and housing.</li><li>How unnecessarily <a href="https://fsforum.com/news/too-much-of-a-good-thing-unnecessarily-raising-capital-requirements-on-the-largest-banks-will-exact-a-real-economic-toll">increasing</a> capital requirements for the nation’s largest banks will result in large costs for the economy in terms of increased borrowing costs and reduced access to credit without any significant improvement in resiliency.</li><li>A new report from PwC, <a href="https://www.pwc.com/us/en/industries/financial-services/library/basel-iii-endgame.html#:~:text=Basel%20III%20Endgame%20is%20a,%2Dweighted%20assets%20(RWA)">Basel III Endgame: The next generation of capital requirements</a>, that <a href="https://fsforum.com/news/a-holistic-review-of-large-bank-capital-findings-from-a-new-report">finds</a> that capital at the largest banks has been strengthened considerably and is at levels broadly consistent with recommendations offered by independent research studies.</li></ul>&nbsp;<h2>Checking the Balance</h2>Members in the news&nbsp;Bank of America <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2023/06/bofa-surpasses--500-million-in-equity-investments-to-support-min.html">announced</a> it has committed more than $500 million of equity investments to minority-led funds, more than doubling its initial $200 commitment. This investment further supports diverse entrepreneurs, helping advance racial equality and economic opportunity.BNY Mellon <a href="https://www.bnymellon.com/us/en/about-us/newsroom/press-release/bny-mellon-mocafi-to-bring-digital-payments-innovation-to-underserved-communities-across-the-us-130339.html">announced</a> a strategic alliance with MoCafi, a Black-founded fintech platform leading financial empowerment for traditionally underserved communities, to extend payment options to unbanked and underbanked communities in the United States. BNY Mellon's Treasury Services business will now provide federal, state and local governments, as well as corporate clients, with a digital disbursement payment service that reaches individuals without current access to basic financial services through MoCaFi's offering.Citi <a href="https://www.citigroup.com/global/news/press-release/2023/citi-hires-veteran-owned-firms-as-joint-lead-managers-for-recent-3-2-billion-bond-issuance">announced</a> that nine Veteran-owned firms acted as joint lead managers of a $3.2 billion bond issuance. This partnership strengthens Citi’s commitment to providing opportunities to the Veteran community. Since 2015, Citi has worked on approximately $200 billion in bond issuances with more than 30 firms owned by Veterans, women, or underrepresented minorities who have received more than $50 million in fees.&nbsp;Goldman Sachs recently <a href="https://www.goldmansachs.com/media-relations/press-releases/2023/gs-hosts-hbcu-students-at-third-annual-market-madness-competition.html">hosted</a> its third-annual Market Madness competition, the culmination of its HBCU Possibilities Program, a four-month training in finance fundamentals from Goldman Sachs professionals. The firm awarded $5 million in grants in total, with Spelman College taking home first place and a $1 million grant. The Market Madness: HBCU Possibilities Program is a core component of Goldman Sachs’ $25 million, five-year commitment to Historically Black Colleges and Universities.JPMorgan Chase <a href="https://www.jpmorgan.com/news/jpm-launches-sustainable-investment-data-solutions-for-institutional-investors">announced</a> the launch of its Sustainable Investment Data Solutions for institutional investors. Investors will have access to industry-leading datasets allowing them to readily extract value from sustainable investment data.&nbsp;Morgan Stanley in May <a href="https://www.morganstanley.com/press-releases/strategy-challenge-winners-announcement-2023">completed</a> its 14th annual Strategy Challenge, the firm’s flagship pro bono program that brings together rising talent to help nonprofit organizations solve strategic, mission-critical challenges. Over 10 weeks, Morgan Stanley employees provided consulting services to 15 nonprofits. The challenge culminated in events where teams presented their recommendations. The winning U.S. team collaborated with Meeting Essential Needs with Dignity, a nonprofit focused on increasing access to fresh and healthy food for food insecure families in Essex County, New Jersey.State Street <a href="https://newsroom.statestreet.com/press-releases/press-release-details/2023/State-Street-Partners-with-Diverse-Firms-to-Underwrite-2-Billion-of-Senior-Unsecured-Debt/default.aspx">partnered</a> with four diverse firms to issue $2 billion of senior unsecured debt. The offering marked State Street’s eighth consecutive offering where the underwriting syndicate has been structured in a manner consistent with State Street’s inclusion, diversity and equity strategy. “We remain focused on increasing our partnership with diverse counterparts while also increasing representation and opportunities across our industry and in our communities,” said Kimberly Detrask, Treasurer at State Street Corporation.Wells Fargo <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2023/UnidosUS-Launches-HOME-Initiative-to-Create-Four-Million-Latino/default.aspx">announced</a> that it is the anchor funder of UnidosUs’ new initiative, HOME (Home Ownership Means Equity), a new initiative that seeks to influence systemic change and catalyze the creation of four million new Latino homeowners by 2030. Wells Fargo’s $10 million investment will support UnidosUs’ HOME initiative for expanding marketing opportunities and providing resources for potential homeowners as they navigate the home-buying process.&nbsp;

large_Screen Shot 2023-07-10 at 10.39.51 PM.png

medium_Screen Shot 2023-07-10 at 10.39.51 PM.png

small_Screen Shot 2023-07-10 at 10.39.51 PM.png

thumbnail_Screen Shot 2023-07-10 at 10.39.51 PM.png

Screen Shot 2023-07-10 at 10.39.51 PM.png

The Forum File, 2023 Edition #4

Dear reader,Welcome to the latest edition of The Forum File. In this edition, we are highlighting the vital work the nation’s largest banks are doing to protect customers from financial fraud, the Forum’s work on bank capital requirements, and a look at our contributions to communities across the country and to promoting a diverse workforce.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>Combating Financial Frauds and Protecting Customers: Insights from Mike Steinbach, Citi's Head of Global Fraud Prevention<h3>&nbsp;</h3><h3>What fraud trends is Citi monitoring right now?</h3>At Citi, we serve as a trusted partner for our clients in the fight against fraud by offering dedicated services and easy-to-use, effective tools to stay ahead of scammers. As the Head of Global Fraud Prevention, I have seen financial fraud’s ongoing and rapid evolution from classic physical card theft and account data compromise to sophisticated social engineering schemes.Unfortunately, the impact of cyberattacks and cyber-enabled fraud on global consumers' finances grows yearly. The U.S. Federal Trade Commission <a href="https://www.ftc.gov/news-events/news/press-releases/2023/02/new-ftc-data-show-consumers-reported-losing-nearly-88-billion-scams-2022">data show</a> consumers reported losing $8.8 billion in 2022, a 30 percent annual increase from 2021. Although all fraud is on the rise, like many financial institutions, we are combatting a significant increase in several types:&nbsp;<ul><li>Check fraud:&nbsp;Criminals create or alter checks to illegally withdraw funds from a victim's account, using techniques such as forging signatures, altering check amounts, or creating counterfeit checks.</li><li>Authorized payment frauds:&nbsp;Fraudsters trick individuals into making payments to them, often posing as a trusted entity.</li><li>Money mules:&nbsp;Criminals recruit people to move illicit funds through their bank accounts, often without the individual being fully aware of the scope of the activity.</li><li>First-party fraud:&nbsp;Individuals intentionally defraud financial institutions by submitting incorrect information or abusing credit facilities.</li></ul><h3>Given the rapid growth in fraud, what tools does Citi offer to help customers protect their accounts?</h3>Citi offers tools to prevent, identify, and stop fraud, most of which are opt-in to accommodate customer preferences and reduce friction:<ul><li>Biometric Authentication:&nbsp;Citi Trusted Identity allows enrolled customers the ability to securely manage and monitor their trusted devices. Biometric authentication allows customers to sign onto the Citi Mobile App with their fingerprint, facial recognition, or an iris scan.</li><li>Comprehensive Fraud Management: Citi proactively notifies credit card customers of potential suspicious account activity, and customers can choose to deny suspicious transactions before they happen.</li><li>Account alerts:&nbsp;Highly customizable alerts via Citi Mobile push notifications, email or text help customers monitor their account activity for anything unusual with their balance, payments, spending, and more.</li><li>Citi Quick Lock:&nbsp;This feature allows customers to temporarily freeze misplaced debit and credit cards, blocking new purchases and ATM withdrawals while allowing recurring transactions to continue.</li></ul><h3>What is the broader industry's outlook on the future of fraud?</h3>Fraud has become increasingly sophisticated in the past five to 10 years, with cyber tools enabling criminals to steal at an unprecedented speed and scale. This trend is only growing, as cyber security experts <a href="https://cybersecurityventures.com/cybercrime-damage-costs-10-trillion-by-2025/">anticipate</a> global fraud and cybercrime costs may grow by 15 percent annually over the next five years. Today’s criminals range from individuals to nation states and sophisticated criminal enterprises ­­– and they are all eager to get ahead in this increasingly lucrative shadow industry.To combat their efforts, Citi uses an intelligence-led, threat-driven approach to target fraud throughout the customer journey and fraud lifecycle. This strategy, combined with state-of-the-art tools and top talent, contributes to Citi's position as an industry leader for maintaining low fraud rates, demonstrating our commitment to our customers' financial security.&nbsp;<h2>Value Add</h2>At Citi, our customers are part of our fraud team&nbsp;<figure class="image"><img src="https://fsforum.com/a/media/screen-shot-2023-05-16-at-11.10.10-am.png"></figure>&nbsp;Citi customers themselves play a crucial role in fighting fraud, as they are often the most knowledgeable about their spending habits and can quickly detect suspicious activity.Our research shows that customers feel a shared responsibility for preventing fraud on their accounts and do their part by monitoring their accounts and signing up for alerts. We see alerts as a crucial tool – among many – in helping customers stay ahead of scammers and keeping their accounts safe.Still, customers vary in their knowledge of best practices to avoid fraud, creating an opportunity for Citi and other financial institutions to educate them on fraud prevention and provide clear, actionable solutions.Put simply, proactive customer education is essential for preventing, detecting, and tackling fraudulent transactions. As such, we continually work to stay ahead of scammers and empower consumers with knowledge and information for fraud prevention.That’s why we regularly update <a href="http://citi.com/fraudprevention">citi.com/fraudprevention</a>, for example, to keep customers informed of emerging and common frauds and make it easy for customers to spot red flags to remain secure.Our commitment to empowering and educating our customers in the evolving fight against fraud is unwavering, and we always seek out new ways to safeguard their financial wellbeing.&nbsp;&nbsp;<h2>Capital Gains</h2>What we’re doing in Washington&nbsp;The Securities and Exchange Commission’s proposed rule “Safeguarding Advisory Client Assets” would significantly harm investors and financial markets and exceeds the commission’s regulatory authority, according to a new&nbsp;<a href="https://fsforum.com/a/media/joint-trades-sec-safekeeping-comment-_final.pdf">comment letter&nbsp;</a>filed by the Forum, the American Bankers Association, ABA Securities Association, and the Bank Policy Institute. The associations urged the commission to withdraw and resubmit a proposal that is better targeted to the commission’s objectives.Forum President and CEO Kevin Fromer issued a <a href="https://fsforum.com/news/fed-svb-report-does-not-support-focus-on-large-bank-capital-requirements">statement</a> in response to the Federal Reserve’s review of its supervision and regulation of Silicon Valley Bank: “One should not conflate a liquidity-driven event marked by management failures and supervisory shortcomings with capital adequacy at the largest U.S. banks. The assertion in the introduction that the Fed should focus on large bank capital requirements is disconnected from the report’s conclusions.” Fromer highlighted the stringent capital and liquidity requirements the largest U.S. banks meet, and how these banks have remained a source of strength and support.&nbsp;&nbsp;<h2>Our Two Cents</h2>Research from the Forum&nbsp;The BankNotes Blog Spotlighted:&nbsp;<ul><li>The <a href="https://fsforum.com/news/u-s-vs-european-capital-adequacy-the-increasingly-unlevel-playing-field-unfolding-in-basel-iii-finalization">unlevel playing field</a> created by the existing capital disparity between large U.S. and European banks, and how further regulatory tightening by U.S. regulators will increase the cost of lending by U.S. banks while diminishing their ability to compete with their foreign competitors.</li><li>A <a href="https://fsforum.com/news/large-bank-capital-requirements-and-recent-bank-failures-why-one-has-nothing-to-do-with-the-other">discussion</a> of why recent bank failures had no connection to the existing capital regime for the largest U.S. banks, and how these banks have acted as a source of strength and supported the broader banking sector to avoid further turmoil and cost to the economy.</li></ul>&nbsp;&nbsp;<h2>Checking the Balance</h2>Members in the news&nbsp;Bank of America <a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2023/05/bank-of-america-awards-negro-leagues-baseball-museum--1m-grant-f.html">awarded a $1 million grant</a> to the Negro League Baseball Museum’s capital campaign to build a new 30,000 square-foot facility in Kansas City, Mo. The grant will support the museum’s work to expand programming, create new interactive displays and build a larger archival and storage space.BNY Mellon has been <a href="https://www.bnymellon.com/us/en/about-us/newsroom/company-news/bny-mellon-wins-top-honors-at-global-custodian-awards.html?cid=SEC_OSM_NASECMC_SEC_ASD_2110_327_GlobalCustodianAward_ALLSEG_PUB_GL_TWT_____">recognized</a> by Global Custodian publication as Global Custodian of the Year and was also awarded Deal of the Year for its work with Aviva Investors. “When considering the nominees across our Editors’ Choice Awards this year, BNY Mellon stood out in multiple categories, underscoring what we already knew was a stellar year for the organization,” Global Custodian managing editor Jonathan Watkins said.Citi&nbsp;was&nbsp;<a href="https://www.citigroup.com/global/news/press-release/2023/citi-ranked-number-one-u-s-affordable-housing-lender-for-2022#_blank">recognized</a>&nbsp;as the Top U.S. Affordable Housing Lender for the 13th&nbsp;straight year in Affordable Housing Finance Magazine’s annual ranking. Citi Community Capital provided approximately $6 billion to finance more than 35,000 affordable housing units in 2022 throughout the United States, and over $7.4 billion to finance multifamily affordable housing, education, and other community development projects in 2022.Goldman Sachs <a href="https://www.goldmansachs.com/media-relations/press-releases/2023/ombw-announcement-03-apr-2023.html">announced</a> that its One Million Black Women initiative has deployed $2.1 billion in investment capital over the past two years. The program has supported a total of 137 organizations and projects to date, providing over $23 million in philanthropic capital, with the goal of positively impacting the lives of one million Black women across the United States by 2030.JPMorgan Chase, in partnership with the Center for Nonprofit Advancement, <a href="https://www.jpmorganchase.com/news-stories/nonprofit-investment">invested</a> $350,000 in eight D.C.-based nonprofit organizations led by Black women. The organizations will receive technical assistance, health and wellness support, and leadership and business coaching and training. “This will help me with my general operating budget, hire staff and keep the venue up," Congress Heights Arts and Culture Center executive director Keyonna Jones said.Morgan Stanley <a href="https://www.morganstanley.com/press-releases/successful-year-of-the-equity-collective-">announced</a> a successful first year of “The Equity Collective,” a 27-member group of wealth and asset management businesses who joined together to educate, empower and develop diverse leaders in the finance industry. To date, more than 3,900 students have been impacted through the group’s partnership with organizations such as hellohive, Team IMPACT and Boys &amp; Girls Clubs of America.State Street was recently <a href="https://www.fair360.com/top-50-list/2023/">included</a> in Diversity Inc’s 2023 Top 50 Companies for Diversity list for the second consecutive year. The list recognizes companies that perform well in six areas of workplace fairness, including talent programs, philanthropy, workplace practices, human capital metrics, supplier diversity and human capital metrics.Wells Fargo and the T.D. Jakes Group <a href="https://newsroom.wf.com/English/news-releases/news-release-details/2023/Wells-Fargo-and-T.D.-Jakes-Group-Announce-Ten-Year-Strategic-Partnership-to-Build-Inclusive-Communities/default.aspx">announced a strategic partnership</a> to drive economic vitality and inclusivity in communities across America. Over the next 10 years, the partnership between these organizations could result in up to $1 billion in capital and financing from Wells Fargo, as well as grants from the Wells Fargo Foundation, with the goal of revitalizing neighborhoods, fostering economic opportunity and creating long-term change in communities most in need.

large_Screen Shot 2023-05-16 at 11.39.43 AM.png

medium_Screen Shot 2023-05-16 at 11.39.43 AM.png

small_Screen Shot 2023-05-16 at 11.39.43 AM.png

thumbnail_Screen Shot 2023-05-16 at 11.39.43 AM.png

Screen Shot 2023-05-16 at 11.39.43 AM.png

The Forum File, 2023 Edition #3

Dear reader,Welcome to the latest edition of The Forum File. In this edition, we are highlighting our firms’ work to support people in historically 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>Kevin McCarthy, Senior Executive Vice President and General Counsel at BNY Mellon&nbsp;<h3>BNY Mellon recently won the 2023 City Bar Justice Award from The New York City Bar Association. How do you promote employee engagement in pro bono efforts?</h3>We strongly encourage Legal Department employees to devote time each year to community focused work like pro bono volunteerism, and it is embedded into our employees’ goal-setting and performance-management process. To support this, BNY Mellon has a robust employee giving and volunteer program with a variety of benefits like company matching for employees’ donations to the charities of their choice and three days of paid volunteer time. All told, we’ve provided about $5 million in consulting services to non-profits and individuals in need over the last five years. With our pro bono program, we work on a diverse range of projects, many of them focused on racial justice initiatives.&nbsp;<h3>How does BNY Mellon measure the program’s success?</h3>Our pro bono program aligns to our firm’s overall philanthropic strategy -- to use our skills and power to provide impactful legal services to underserved communities across our global network. Our program is inclusive to everyone – attorneys and our employees in other functions – to maximize its impact. To measure the success of the program annually we monitor our employee participation metrics, analyze feedback from the organizations and people we support and reflect on the impact of our body of pro bono work. There is always room to widen our reach, strengthen our impact and be more inclusive.<h3>What kind of impact does the program have?</h3>I have the pleasure of serving on the board of the BNY Mellon Foundation and I’ve seen first-hand the impact of the company’s $20 million, multiyear commitment to education and workforce development organizations on both individuals and communities. Funding scholarships for first-generation students at impressive institutions like the City University of New York and Historically Black Colleges and Universities can have a life-changing impact on young people and their families. Driven by our unwavering commitment to upholding human rights, BNY Mellon and its employees have responded to humanitarian crises in places like Afghanistan, Ukraine, and Turkey to meet the needs of vulnerable populations and protect refugees.<h3>Can you expand on BNY Mellon’s Covid-19 relief and recovery efforts?</h3>At the start of the COVID-19 outbreak, we helped to bolster the global health infrastructure by collaborating with organizations like the CDC Foundation, International Medical Corps, the New York Blood Center, Ad Council and Save the Children as well as organizations providing critical equipment and resources to those on the frontlines and most impacted by the virus. In 2020, the company facilitated nearly $6 million in funding to COVID relief and recovery worldwide and double-matched employee donations to the cause.&nbsp;<h2>Value Add</h2>How BNY Mellon leverages its role in global financial markets to make a positive impact on society.&nbsp;<figure class="image"><img src="https://fsforum.com/a/media/bny-value-add-image.png"></figure>&nbsp;BNY Mellon’s scale and significance place it in a privileged position, but also grant the firm the responsibility of helping the financial system work better for everyone. From Treasury Services to Clearance and Collateral Management to Pershing, BNY Mellon can export its positions and global capabilities to communities around the world through strategic alliances with other financial firms.BNY Mellon’s commitment to improving diversity and inclusion extends to the markets in which the firm operates. A highlight of some of its <a href="https://www.bnymellon.com/us/en/about-us/our-clients.html">recent collaborations with diverse businesses:</a><ul><li>Howard University: BNY Mellon worked to establish BOLD Shares, to help support students of Howard University and boost retention rates. This investing initiative has recently grown to over $4.3 billion in assets after just over a year, as of April 14, 2023.</li><li>Optus: &nbsp;BNY Mellon works with South Carolina-based Optus Bank, a federally designated Minority Depository Institution, to expand its capacity, market reach and community reinvestment opportunities with BNY Mellon products, services and infrastructure.</li><li>Loop Capital:&nbsp; By leveraging BNY Mellon resources, minority owned Loop Capital gained a single access point to the full breadth of BNY Mellon’s business, and a full suite of services including expertise in bonds, equities, international trading, investment banking, public finance and clearing services.</li></ul>The firm is making proactive and deliberate efforts throughout 2023 to include more communities in successful commercial outcomes.&nbsp;<h2>Capital Gains</h2>What we’re doing in Washington&nbsp;<div class="raw-html-embed"><iframe width="560" height="315" src="https://www.youtube.com/embed/f_rozDEEpe4" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen=""></iframe></div>The Forum released its latest Policy Cents <a href="https://fsforum.com/news/understanding-the-role-of-big-banks-in-american-competitiveness">video</a> featuring Chief Economist Sean Campbell on large banks and the important role they play in supporting American competitiveness abroad. Watch the latest video and the rest of our series <a href="https://fsforum.com/news/category/policy-cents/1/9">here</a>.Following the Federal Reserve’s release of its annual bank stress test scenarios, the Forum issued a <a href="https://fsforum.com/news/financial-services-forum-statement-on-2023-stress-test-scenarios">statement</a> highlighting the strength and resiliency of the nation’s largest banks.The Forum <a href="https://fsforum.com/a/media/what-they%E2%80%99re-saying--policymakers-on-capital-levels-and-the-largest-banks.pdf">highlighted</a> how policymakers voiced that the nation’s largest banks are resilient and well capitalized.&nbsp;<h2>Our Two Cents</h2>Research from the Forum&nbsp;The BankNotes Blog Spotlighted:<ul><li>An <a href="https://fsforum.com/news/large-bank-resiliency-during-an-economic-crisis-the-covid-stress-test">analysis</a> of the impact of counterfactually high COVID-related losses to Forum banks, without the government’s fiscal support, demonstrating that without the massive fiscal support and in the face of counterfactually high hypothetical losses, Forum member capital levels would have remained robust, allowing them to support the economy during the pandemic.</li><li>The ways in which <a href="https://fsforum.com/news/large-banks-broad-economic-reach-and-highly-efficient">large banks provide significant benefits to the economy</a> and how their size and scope help them to efficiently achieve the primary function of the banking sector – connecting savers and borrowers.</li></ul>&nbsp;<h2>Checking the Balance</h2>Members in the newsBank of America&nbsp;<a href="https://newsroom.bankofamerica.com/content/newsroom/press-releases/2023/02/bofa-community-development-banking-provides-record--7-85-billion.html">announced</a>&nbsp;its Community Development Banking (CDB) business provided $7.85 billion in loans, tax credit equity investments, and other real estate development solutions in 2022 to help build strong, sustainable communities through affordable housing and economic development across the country. This marked its sixth consecutive record year of financing. CDB also invested $200 million in Historic Tax Credits and New Markets Tax Credits to help restore historically significant buildings and create more than 1,300 affordable housing units.BNY Mellon&nbsp;has been&nbsp;<a href="https://www.bnymellon.com/us/en/about-us/newsroom/company-news/bny-mellon-receives-award-from-american-red-cross-in-honor-of-nearly-four-decades-of-philanthropy.html">honored</a>&nbsp;with the American Red Cross Corporate Leadership Award for the firm’s dedication to giving back and making an impact in communities through philanthropy. The American Red Cross and BNY Mellon have worked together for nearly four decades to support people and communities rebuilding&nbsp;in times of crisis.&nbsp;The&nbsp;Citi&nbsp;Foundation&nbsp;<a href="https://www.citigroup.com/global/news/press-release/2023/citi-foundation-announces-inaugural-global-innovation-challenge-to-empower-nonprofits-improving-food-security-around-the-world">announced</a>&nbsp;its first-ever&nbsp;<a href="https://www.citigroup.com/global/foundation/programs/global-innovation-challenge">Global Innovation Challenge</a>&nbsp;to help scale the impact of nonprofits around the world that are developing innovative solutions to improve food security. This inaugural challenge will provide a collective $25 million to 50 organizations to support the piloting or expansion of ideas and projects that are designed to address this issue and strengthen the physical and financial health of low-income families and communities.Goldman Sachs’&nbsp;10,000 Women initiative&nbsp;<a href="https://www.axios.com/2023/03/08/goldman-ifc-women-entrepreneurs-opportunity-facility">announced</a>&nbsp;that its partnership with the&nbsp;<a href="https://www.ifc.org/">International Finance Corporation</a>, The&nbsp;<a href="https://www.ifc.org/wps/wcm/connect/topics_ext_content/ifc_external_corporate_site/bf/focus-areas/bf-sme/bf-weof">Women Entrepreneurs Opportunity Facility</a>, has reached over 164,000 women entrepreneurs, surpassing the target of 100,000 set at launch nine years ago, and has provided over $4.5 billion in loans to women-owned businesses. The first-of-its-kind global facility is dedicated to promoting access to finance for women-owned small and mid-size enterprises through financial institutions.JPMorgan Chase&nbsp;<a href="https://www.jpmorganchase.com/news-stories/jpmorganchase-deploys-2-million-to-advance-tech-equity-in-miami">announced</a>&nbsp;the deployment of the first $2 million across four organizations to advance racial equity in the Miami tech sector. BrainStation, a program of Miami Foundation, CodePath, Rebrand Cities, and YWCA of South Florida working with gener8tor, will each receive $500,000 to empower underrepresented Miamians to enter and thrive in the tech industry through technology workforce training, career services and support for small businesses. In 2022, JPMorgan Chase announced it was committing $10 million toward the $100 million Tech Equity Miami initiative.Morgan Stanley&nbsp;<a href="https://www.morganstanley.com/press-releases/second-cohort-of-innovation-award-winners">announced</a>&nbsp;the second cohort of winners of its&nbsp;<a href="https://www.morganstanley.com/about-us/giving-back/childrens-mental-health-awards">Alliance for Children’s Mental Health Innovation Awards</a>, an initiative that aims to identify and fund transformative mental healthcare solutions for children and young adults across the U.S. Each of the winning organizations will receive a $100,000 grant to help scale its solutions, as well as support through training on nonprofit management topics from experts in the field, awareness-raising and additional fundraising opportunities.State Street&nbsp;<a href="https://clicktime.symantec.com/15tStbc2ijHvVfh7tQCW6?h=7gBNZQa4Tf5tt2GVYO4raluT6GP9PGi3UHIl_ntcEro=&amp;u=https://www.caconferenceforwomen.org/">sponsored</a>&nbsp;the 3rd&nbsp;annual California Conference for Women. The mission of the conferences is to promote, communicate and amplify the influence of women in the workplace and beyond. Influential experts led practical workshops on the issues, including leadership, career advancement, workplace equity and inclusion, health, work/life balance and more.Wells Fargo&nbsp;<a href="https://newsroom.wf.com/English/news-releases/news-release-details/2023/Wells-Fargo-Announces-50-Million-Grant-to-NAACP/default.aspx">announced</a>&nbsp;a $50 million grant to the NAACP, the nation’s largest civil rights and social justice organization. The grant will assist NAACP local units and branches and will support their work to grow strategic partnerships with key businesses in communities across the country. In addition, at the national level, the grant will support the NAACP’s work on policy solutions used to address the&nbsp;needs of the communities it serves. The grant is the single largest donation the civil rights organization has received to date.

large_20160356d9d4f6885d1.webp

medium_20160356d9d4f6885d1.webp

small_20160356d9d4f6885d1.webp

thumbnail_20160356d9d4f6885d1.webp

20160356d9d4f6885d1.webp

The Forum File, 2023 Edition #2

External Link

Fact Sheet

Video

Letters

thumbnail_State_Street_250x67.png

State_Street_250x67.png

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.

small_ron_ohanley.jpg

thumbnail_ron_ohanley.jpg

ron_ohanley.jpg

Ronald O'Hanley

State Street Corporation Chairman And Chief Executive Officer, Forum Chair

thumbnail_citi_logo_final.png

citi_logo_final.png

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 &amp; 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 &amp; Company. She started her career at Goldman Sachs in the Mergers &amp; 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.

large_Screen Shot 2023-01-12 at 1.47.13 PM.png

medium_Screen Shot 2023-01-12 at 1.47.13 PM.png

small_Screen Shot 2023-01-12 at 1.47.13 PM.png

thumbnail_Screen Shot 2023-01-12 at 1.47.13 PM.png

Screen Shot 2023-01-12 at 1.47.13 PM.png

Jane Fraser

Citigroup Chief Executive Officer, Forum Vice Chair

thumbnail_bofa_logo_final.png

bofa_logo_final.png

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.

small_brian_moynihan.jpg

thumbnail_brian_moynihan.jpg

brian_moynihan.jpg

Brian Moynihan

Bank Of America Chairman Of The Board And Chief Executive Officer

thumbnail_bnym_logo_final.png

bnym_logo_final.png

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.

large_Robin Vince 2.png

medium_Robin Vince 2.png

small_Robin Vince 2.png

thumbnail_Robin Vince 2.png

Robin Vince 2.png

Robin Vince

BNY Mellon Chief Executive Officer

member-logo-goldman-sachs.svg

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.

small_solomon_david.jpg

thumbnail_solomon_david.jpg

solomon_david.jpg

David Solomon

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

thumbnail_JPMC_logo-final.png

JPMC_logo-final.png

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.

small_jamie_dimon.jpg

thumbnail_jamie_dimon.jpg

jamie_dimon.jpg

Jamie Dimon

JPMorgan Chase & Co. Chairman And Chief Executive Officer

thumbnail_MS_logo_final.png

MS_logo_final.png

Morgan Stanley

Edward (Ted) Pick is the Chief Executive Officer of Morgan Stanley.Before becoming CEO in 2024, Mr. Pick served as Morgan Stanley's Co-President, Co-Head of Firm Strategy and Head of the Institutional Securities Group, overseeing Investment Banking, Equities, Fixed Income, Global Capital Markets and Research.&nbsp;In previous roles, Mr. Pick was Global Head of Sales and Trading, engineering a turnaround of the firm’s Fixed Income Division. As Head of Institutional Equities, he led that business to a leading global position. He also served as Head of Equity Capital Markets, helping the firm actively raise capital during the financial crisis.&nbsp;Mr. Pick joined Morgan Stanley in 1990 and was promoted to Managing Director in 2002. He is a member of the firm’s Board of Directors (2024), Operating Committee (2012), Management Committee (2008) and Morgan Stanley-MUFG Steering Committee (2013).Mr. Pick graduated Phi Beta Kappa from Middlebury College (1990) and received an MBA from Harvard Business School (1994). He is a Trustee at the Metropolitan Museum of Art (2018), and serves on the MET’s Nominating &amp; Governance Committees. Mr. Pick is Chair of the Advisory Board for the Morgan Stanley Alliance for Children’s Mental Health and a board member of the Institute of International Finance.

thumbnail_Ted Pick_Morgan Stanley.jpeg

Ted Pick_Morgan Stanley.jpeg

Ted Pick

Morgan Stanley Chief Executive Officer

thumbnail_wf_logo_final.png

wf_logo_final.png

Wells Fargo & Company

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

News

The Forum File

Sign Up for Updates