JP Morgan Chase commits $75 million to close racial wealth gap

JP Morgan Chase has confirmed a $75 million commitment that will span five years to help close the racial wealth divide in Greater Washington.

The firm’s philanthropic capital commitment will provide $20 million to Wards 7 and 8 in Washington DC, Baltimore and Maryland. The remaining $35 million will be divided up across the region, including to places such as Richmond, Virginia.

This latest commitment brings JP Morgan Chase’s total investments focused on black, Hispanic, Latino and other underserved communities in the region to $125 million by 2025.

According to the firm, the racial wealth gap divide was eight times greater than the national average prior to the pandemic, with white households in DC having 81 times the wealth of black households.

“Business must do its part to help solve challenges facing the customers and communities it serves,” said Peter Scher, vice chairman at JPMorgan Chase & Co. “Addressing inequities requires concerted and sustained efforts by public and private sector partners that seek to build wealth for communities of color.

“This new commitment, along with what we’ve learned from growing our business and community support here, will hopefully be a model for others to follow and help create meaningful, lasting, and equitable change in the region.”

By combining business, data, policy and philanthropic resources, the firm aims to improve housing affordability and stability, as well as homeownership opportunities for Black, Latino and Hispanic households in the Greater-Washington area.

“We are focused, in Washington, DC, on how we give more residents a fair shot and make our city’s prosperity more inclusive. Part of that work means bringing together public, private, and philanthropic partners to make strategic investments in the people and communities that need them most. And that’s what we’re doing here,” said Washington, D.C. Mayor Muriel Bowser.

“This investment from JPMorgan Chase, an investment in Black and Latina women, in early education, and in affordable housing, will give more families in D.C. the fair shot they deserve.”