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JPMorgan Chase Provides an Update on its $30 Billion Racial Equity Commitment


Executive Summary

In October 2020, JPMorgan Chase announced the $30 Billion Racial Equity Commitment to help close the racial wealth gap among Black, Hispanic and Latino communities. The firm is bringing together its business, philanthropy, policy and data expertise to advance racial equity and drive inclusive growth.

The five-year Commitment includes lending, equity and direct funding to help increase sustainable homeownership, expand affordable housing, grow small businesses, support diverse suppliers, improve financial health and access to banking and build a more diverse and inclusive workforce.

The firm is building the infrastructure and foundation to make progress on its Racial Equity Commitment. With more work to do, this fact sheet contains three sections: an update on progress, an overview of the firm’s governance and reporting process and its community and stakeholder engagement approach. 

Moving forward, JPMorgan Chase plans to publish its progress annually in its Environmental, Social and Governance (ESG) report starting in May 2022.

Update on the Racial Equity Commitment

A note on terminology: All updates noted below are focused on Black, Hispanic and Latino households, customers, clients and/or communities and that is not restated for each metric.  The Racial Equity Commitment and “Commitment” are used interchangeably as is JPMorgan Chase and “the firm.” Lastly, the homeownership and small business goals are incremental units and dollars above an annual baseline that is benchmarked to 2019 business results.

JPMorgan Chase has deployed or committed more than $13 billion of its $30 billion goal to help close the racial wealth gap. This is largely driven by affordable rental housing preservation and homeownership refinance, which were existing products and processes where the firm took prompt action to do more.  While there is more work to do, below is an update on the Commitment.

I.  Increase Homeownership

II. Expand Affordable Rental Housing and Support for Vital Community Institutions

III.   Grow Small Businesses

IV.  Spend More with Black, Hispanic and Latino Suppliers

V.  Improve Financial Health and Access to Banking

VI. Invest in Minority Depository Institutions and Community Development Financial Institutions

VII. Accelerate Investment in Employees and Build a More Diverse and Inclusive Workforce

VIII. Provide Philanthropic Capital

IX. Additional Activities and Investments Above and Beyond the $30 Billion Commitment

I. Increase Homeownership 

  • Commitment: The firm expects to originate an incremental 40,000 home purchase loans ($8 billion) and refinance an additional 20,000 mortgages ($4 billion). 
  • Progress:
    • Building the foundation to increase sustainable homeownership: 
      • Established a Community and Affordable Home Lending business.
      • Hired more than 130 Community Home Lending Advisors (CHLAs) that have product and program expertise and partner closely with branches, real estate agents and community leaders to expand the firm’s presence and build trust.
      • Expanded the homebuyer grant program, which includes $5,000 to help more customers cover closing costs and down payments when buying homes in 6,700 minority neighborhoods nationwide.  
    • Enhanced its mortgage products to create better access to credit through pricing improvements and credit expansion.
    • Home loan purchase volume in the first half of 2021 was lower than 2019 production but accelerated in the summer months as the firm’s foundational efforts started to come to fruition.  In September, the firm was on pace with 2019 production volume and remains focused on originating an incremental 40,000 purchase loans.
    • Given the historically low rate environment, the firm quickly helped homeowners save money on their monthly mortgage payments by refinancing 16,000 of the 20,000 incremental loans goal, $4 billion to date.1    
    • The firm continues to support policy reforms and recently released data-driven recommendations to improve affordable rental housing and homeownership Some examples include: encouraging a federally backed down payment assistance program, simplifying loan servicing standards, expanding funding to increase supply of affordable homes for purchase, and advancing reforms to increase mortgage market liquidity to improve access to affordable, sustainable mortgages that better serve underrepresented communities.

II. Expand Affordable Rental Housing and Support for Vital Community Institutions

The firm will help preserve affordable rents, increase funding for the construction and rehabilitation of affordable housing and invest in vital community institutions and services.

Creation and Preservation of Affordable Rental Housing

Commitment: The firm will finance the creation and preservation of 100,000 affordable rental units through $14 billion in new loans, equity investments and other efforts.


  • Created the Affordable Housing Preservation Program, which incentivizes landlords to keep rental units in their buildings at an affordable level. To date, the firm has funded more than $6 billion in loans to help preserve more than 60,000 affordable housing and rental housing units across the U.S. 
  • Approved lending of $1 billion for the new construction and rehabilitation of affordable housing for low- and moderate-income households.
  • Increased Low-Income Housing Tax Credit (LIHTC) investments by $400 million.
  • Created the Community Development Banking Capital Solutions team to offer innovative financing options for affordable housing and vital community facilities by working with a broader range of capital sources.
  • Closed on $46 million of its $500 million commitment to affordable housing preservation funds.

Invest in Vital Community Institutions and Services


  • Provide more than $300 million in additional financing to Community Development Financial Institutions (CDFIs) to support communities that lack access to traditional financing.
  • Target an additional $100 million in New Markets Tax Credit (NMTC) investments with a focus on Black-owned or -led projects primarily serving Black populations.


  • Provided $164 million in additional financing to CDFIs to support community development projects such as affordable housing, grocery stores, daycares, health care facilities and other community service operations.
  • Established a new Racial Equity Initiative, which uses NMTC investments to spur growth and inclusion. Since inception, the firm has funded $116 million in new projects related to the effort.

III. Grow Small Businesses

  • Commitment: Provide an additional $2 billion in small business lending to Black, Hispanic and Latino communities.
  • Progress
    • Building the infrastructure and foundation to help small businesses grow through new programs, products and hiring, including:      
      • Hired more than 20 diverse senior business consultants to provide free one-on-one coaching for business owners in 13 U.S. cities. 
      • Mentored more than 900 small business owners and reached 19,000 entrepreneurs through more than 300 educational events, community workshops and business training sessions.
      • Introduced a digital lending product that allows business owners to apply for loans online and make the application process faster and simpler.
    • Through government relief programs, business owners sought relief and liquidity from the Small Business Administration (SBA), including the Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDLs). While PPP loans are not part of the firm’s Racial Equity Commitment, JPMorgan Chase deployed approximately $40 billion in relief through more than 400,000 PPP loans, which supported over three million jobs. More than 30% of them went to small businesses in majority-minority census tracts.
    • As such, small business lending volume through September year-to-date is below 2019 production.  The firm expects to make progress against the $2 billion small business lending commitment in the years ahead.
    • The firm recently released a small business policy agenda promoting access to capital for underserved entrepreneurs. Progress includes expanded access to the SBA’s COVID-19 relief programs for mission-focused lenders and business owners with a justice system record, as well as a simplified PPP forgiveness process for borrowers with smaller loans. 

IV. Spend more with Black, Hispanic and Latino Suppliers  

  • Commitment: Spend an additional $750 million with Black, Hispanic and Latino suppliers.
  • Progress: Spent an additional $85 million with more than 100 Black, Hispanic and Latino suppliers.

V. Improve Financial Health and Access to Banking

  • Commitment: Help one million consumers open low-cost checking or savings accounts by opening branches in underserved communities and materially increase marketing to reach more customers who are currently underserved, unbanked or underbanked.
  • Progress:
    • Helped customers open more than 200,000 low cost checking accounts with no overdraft fees. Customers also get free access to thousands of ATMs, Chase’s mobile app, free money orders and cashier’s checks, and support from bankers in-person or by phone.
    • Opened nine Community Center branches in low-to-moderate communities, often in urban areas with larger Black, Hispanic and Latino populations.2  Community Centers have more space to host grassroots community events, small business pop-ups, and financial health seminars.  Six of them were renovated by Black, Hispanic or Latino contractors as part of the firm’s supplier diversity strategy. 
    • Opened 34 out of 100 new branches in low-to-moderate income communities, many with larger Black, Hispanic and Latino populations. Approximately 30 percent of Chase branches in new markets are in low-to-moderate income communities.
    • Hired 72 Community Managers in underserved communities who serve as local ambassadors to build and nurture relationships with community leaders, nonprofit partners and small businesses.  Community Managers work closely with Chase Community Home Lending Advisors and small business consultants to help individuals and entrepreneurs set their financial goals and identify the right products and services to support their goals.
    • Hosted more than 600 community events, including homebuyer workshops, career and mentoring sessions, and financial health seminars, that have reached more than 15,000 people.
    • Worked with several government agencies to pilot new utilities that help Americans who have no credit file begin to gain access to credit and affordable loans. This includes participation in the Office of the Controller of the Currency’s Project REACH initiative, among others.

VI. Invest in Minority Depository Institutions and Community Development Financial Institutions

  • Commitment:  Originally committed to invest up to $50 million in the form of capital and deposits to Black, Hispanic and Latino-owned or -led Minority Depository Institutions (MDIs) and Community Development Financial Institutions (CDFIs), which often provide a large percentage of mortgages and small business loans to underserved communities. 
  • Progress:
    • Invested more than $100 million of equity in 14 diverse-owned or -led MDIs and CDFIs that serve more than 87 communities in 18 states and the District of Columbia.
    • Chase will not charge a fee when participating MDI and CDFI customers make a withdrawal at one of Chase’s 16,000 ATMs.
    • Each MDI and CDFI are onboarded as clients, connecting them to the firm’s expertise, network and advisory support – including the firm’s Advancing Black Pathways Fellows and Service Corps volunteers.
    • These investments could generate more than $1 billion in community lending to underserved communities.3

VII. Accelerate Investment in Employees and Build a More Diverse and Inclusive Workforce

  • Commitment: Build a more equitable and representative workforce and hold executives accountable by incorporating priorities and progress into year-end performance evaluations and compensation decisions for members of the Operating Committee and their direct reports.  The firm will also provide financial coaching to its U.S.-based employees. 
  • Progress:
    • Expanded the Executive Accountability Framework to include more managers globally to improve diverse hiring deeper within the firm.
    • Published the firm’s Equal Employment Opportunity Commission (EEOC) reports for 2019 and 2020 on JPMorgan Chase’s public website. The firm has publicly shared EEOC data since 2010 (reporting 2009 data) and began reporting workforce data with demographics for the LGBT+ community, veterans and people with disabilities.
    • Expanded Diversity, Equity and Inclusion to create three new employee programs supporting Hispanic and Latino employees, LGBT+ employees and Asian and Pacific Islander employees.  Learn about the firm’s seven DEI initiatives here.
    • Grew its partnerships with Historically Black Colleges and Universities (HBCUs) from 3 to 17, which is intended to deepen the firm’s recruiting partnerships and expand curriculum development, scholarships and mentorship programs aimed at improving economic opportunity for young people while increasing the pipeline of HBCU students entering the financial services industry.
    • The firm pledged to hire 4,000 Black students by 2024. It has hired more than 3,800 Black students as interns, fellows and entry-level analysts and is on track to surpass the original goal.
    • Expanded The Fellowship Initiative to Houston and Oakland and tripled the number of young people it will serve to more than 1,000 people. 
    • Announced a goal to hire 300 additional Black, Hispanic and Latino advisors by 2025 in J.P. Morgan’s U.S. Wealth Management division. 

VIII. Provide Philanthropic Capital

  • Commitment: Provide $2 billion in philanthropic capital over five years to help drive an inclusive economic recovery and support Black, Hispanic, Latino and other underserved communities.  This builds on the existing $1.75 billion philanthropic commitment made in 2018 and includes an emphasis on supporting Black-, Hispanic- and Latino-led organizations.
  • Progress:
    • Through September, the firm has committed $128 million of its five-year, $2 billion philanthropic target, which includes grants, low cost loans and direct equity. The firm is on pace to allocate its full year target of more than $400 million by the end of the year. 
    • As part of this effort, the firm has made several long-term, multi-year commitments including:
    • Affordable Housing: $400 million over five years in philanthropic capital to improve housing affordability and stability.  
    • Small Business: $350 million over five years in philanthropic capital to grow small businesses and create a more inclusive recovery from the COVID-19 pandemic.  This includes helping the Local Initiatives Support Corporation (LISC) – a CDFI – scale the Entrepreneurs of Color program nationwide, including most recently in Atlanta.[1]
    • Equity Investments: Made equity investments in early-stage companies, including Bitwise Industries and Upswing, that are developing innovative models to create more opportunities in underserved communities. These investments are helping Bitwise Industries build a more inclusive workforce through technology training, software consulting, and tech-focused real estate activities, and helping Upswing improve college student success by using technology to prevent dropouts at community colleges, HBCUs and Hispanic-Serving Institutions (HSIs).

IX. Additional Activities and Investments Above and Beyond the $30 Billion Commitment

The Racial Equity Commitment has been a catalyst for evolving how the firm does business and has inspired other activities and investments that go above and beyond the $30 billion.  Some of those additional efforts include:

  • Created an Empower money market share class for distribution by MDIs and diverse-led CDFIs.  Since then, the Empower share class surpassed $5 billion in assets under management, and the firm is donating 12.5% of revenue to support community development.
  • Committed up to $200 million to be co-invested alongside Ariel Alternatives in Project Black to forge a new class of Black, Hispanic and Latino entrepreneurs, as well as nurture and grow minority-owned businesses in the Fortune 500 supply chain.
  • Launched Project Spark, a new initiative aimed at providing capital to funds managed by diverse, emerging alternative managers, including minority-led and women-led venture capital funds and other private funds. The firm committed an initial $25 million in five or more funds, to be governed by a newly established investment committee comprised of diverse senior executives across J.P. Morgan Asset Management
  • Mobilized over 100 of JPMorgan Chase’s top suppliers, known as “Gold Suppliers,” to increase their collective spend with more diverse-owned companies around the world. To date, nearly 40 percent of JPMorgan Chase’s Gold Suppliers have agreed to increase their aggregate spend with diverse companies globally by more than $6 billion over the next three years. 
  • JPMorgan Chase has elevated DEI standards as part of its supply chain assessment and governance process.  The firm expects all suppliers to have internal DEI programs of their own and increase their spend with their own diverse suppliers. 
  • Invested $3 million in the Appraiser Diversity Initiative to add approximately 700 new diverse trainees into the appraisal industry.

To learn more about how JPMorgan Chase is helping advance racial equity, visit www.jpmorganchase/racialequity.

1. Based on most recent data collected under the Home Mortgage Disclosure Act (HMDA). Note that while HMDA data collected before or during calendar year 2020 is final, 2021 data may be subject to revision, as HMDA permits correction of any good faith errors identified prior to the annual filing on March 1, 2022.
2.Community Centers were opened in the following cities since the October 2020 commitment: Akron, OH; Washington, DC; Boston, MA; Houston, TX; Detroit, MI; Chicago, IL; Dallas, TX, New Orleans, LA; and Crenshaw, CA. Two community centers opened before the commitment: Harlem, NY and Minneapolis, MN. 
3.According to the FDIC, every dollar of equity capital invested can increase MDI lending by eight to ten times. That means JPMorgan Chase’s $100+ million investment could generate access to more than $1 billion in community lending across the nation, helping to create wealth, grow local businesses and improve customer experiences in those communities.
4.Entrepreneurs of Color program cities include Atlanta, Detroit, Bay Area, South Bronx, Chicago, Washington, D.C, and Los Angeles.