Bank of America is putting its money where its mouth is. In an effort to expand its commitment to racial justice initiative, the organization, whose mission is to “help make financial lives better through the power of every connection” announced it increased its goal for equity investment in minority focused funds from $200 million to $350 million. The fund itself is part of its broader $1.25 billion racial equality and economic opportunity effort.
In less than a year, the company has committed more than $250 million to 90 investment funds across the U.S. These funds provide capital to Black, Hispanic-Latino, Asian, Native American, and other under-represented minority and women entrepreneurs to help them establish and grow their businesses. With more funding distributed, this will help advance advocacy and equality for communities of color.
Closed investments include Avenue Growth Partners – District of Columbia; Cleveland Avenue – Chicago, Ill.; Cleo Capital – San Francisco, Calif.; e2JDJ – New Orleans, La.; Elevate Capital – Portland, Ore.; Greenwood, Inc. – Atlanta, Ga.; Jumpstart Nova – Nashville, Tenn.; L’Attitude Ventures – San Diego, Calif.; MaC Ventures – Los Angeles, Calif.; Noemis Ventures – New York, N.Y.; Ulu Ventures – Palo Alto, Calif.; Visible Hands – Boston, Mass.; and Zane Ventures – Atlanta, Ga.
The bank completed a total of 17 direct equity investments in minority depository institutions (MDIs) and community development financial institution (CDFI) banks as part of its $50 million commitment made last year. This is also part of the $1.25 billion initiative.
Since June 2020, Bank of America has already deployed $350 million across equity investments and philanthropic grants Additional Bank of America announcements focused on racial equality, diversity and inclusion and economic opportunity include: Bank of America providing $60 million fund for BIPOC affordable housing developers — a first-of-its-kind fund that will support Enterprise’s Equitable Path Forward initiative and over $22 million in grants to national and local nonprofits supporting people and communities of color.