J.P. Morgan Wealth Management Unveils Plan to Boost Diverse Advisor Hiring

Rhea-AI Summary

J.P. Morgan Wealth Management announced a new initiative aimed at increasing services for Black and Latinx clients and enhancing diverse advisor hiring by 2025. As part of a larger $30 billion commitment to racial equity, the firm plans to hire 300 additional Black and Latinx advisors. Collaborating with Historically Black Colleges and Universities (HBCUs), the firm will offer resources and scholarships while developing a diverse advisor support network. Additionally, a new Inclusive Investing team will focus on tailored products for underrepresented groups to address wealth disparities in the financial sector.

Positive

• Commitment to hire 300 Black and Latinx advisors by 2025.
• Partnership with HBCUs to provide resources and training for students.
• Creation of 185 full-time positions for the advisor program.
• Advisor Development Program currently supports 270 candidates, predominantly women and minorities.
• Establishment of Inclusive Investing team to develop tailored products for diverse clients.

Negative

• None.

J.P. Morgan Wealth Management unveiled plans today to serve more Black and Latinx clients and increase diverse advisor hiring by 2025. Building on the firm’s $30 billion commitment to advance racial equality, the strategy will include partnerships with Historically Black Colleges and Universities (HBCUs), initiatives to promote internal mobility, resources to allow diverse employees to grow their career over time and a goal of hiring 300 additional Black and Latinx advisors by 2025.

“We want to drive a step change in the representation of financial advisors at J.P. Morgan,” said Kristin Lemkau, CEO of J.P. Morgan U.S. Wealth Management. “We have made progress in recent years, and hiring 300 Black and Latinx advisors will accelerate that progress materially. Becoming a financial advisor is a great career – they help clients build their wealth, they have strong financial upside and it offers great career flexibility. We hope more people will choose to become advisors and choose to work here.”

Over the next five years, J.P. Morgan Wealth Management will partner with various HBCUs to offer students resources and information about careers in wealth management, and to provide scholarships, training and licenses. The initiative will create 185 full time positions specifically for this program by 2025.

The Advisor Development Program is a 24-36 month training that is providing about 270 candidates with the investments knowledge, mentorship and coaching needed to become a successful financial advisor. Nearly 80% of the participants are women or minorities.

Creating Opportunity Together

J.P. Morgan Wealth Management’s diverse hiring plan puts great emphasis on supporting Black and Latinx careers over time. “It is not enough bringing a diverse workforce through the door, you need to have a whole support team that makes them feel like they belong and can build a career,” said Christopher Thompson, head of Diverse Advisor Experience at J.P. Morgan Wealth Management. “A lack of networking and mentorship opportunities reduces the chances of making real progress regarding diverse talent.”

The initiative includes multiple internal support and development resources for Black and Latinx advisors, including established forums that match emerging diverse talent and senior executives from all backgrounds to advance projects related to promoting and mentoring.

Inclusive Investing Team

J.P. Morgan U.S. Wealth Management also created an Inclusive Investing team to lead the strategy, design and delivery of products to better serve women, Black and Latinx investors and other under-represented groups. This team will spearhead new research and lead the development of experiences, tools and investment products designed with the needs and preferences of diverse clients in mind.

“There is a huge segment of the population that is not participating in investing. The entire industry has not been able to earn the trust, understand the needs and provide the right solutions for women and people of color,” said Jeanne Sun, general manager of Inclusive Investing. “The data is staggering and we need not only to set goals but also measurable objectives to tackle this issue and help close the wealth gap.”

Lack of trust in financial institutions, lack of access to solutions and investments education, and systemic issues all lead to lower ownership of wealth-building products. Only 34% of Black families have retirement accounts vs 60% of white families, and the median retirement balance is $46,100 versus of $151,000 for white families, according to the Federal Reserve.

To inquire about a career with J.P. Morgan, visit https://careers.jpmorgan.com/global/en/home

About J.P. Morgan Wealth Management

J.P. Morgan Wealth Management is the U.S. wealth management business of JPMorgan Chase & Co. (NYSE:JPM), a leading global financial services firm with assets of $3.2 trillion and operations worldwide. J.P. Morgan Wealth Management has ~4,000 advisors and ~$580 billion of assets under supervision. Customers can choose how and where they want to invest. They can do it digitally, remotely, or in person by meeting with an advisor in one of our 3,500 Chase branches throughout the U.S., or scheduling a meeting with a J.P. Morgan Advisor in one of our 21 offices. For more information, go to www.jpmorganwealthmanagement.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210326005244/en/

FAQ

What is J.P. Morgan's plan to increase diversity in its advisors by 2025?

J.P. Morgan plans to hire 300 additional Black and Latinx advisors by 2025 as part of its diversity initiative.

How is J.P. Morgan Wealth Management supporting HBCUs?

The firm will partner with HBCUs to provide training, resources, and scholarships for students interested in wealth management careers.

What percentage of participants in the Advisor Development Program are women or minorities?

Nearly 80% of participants in the Advisor Development Program are women or minorities.

What is the goal of J.P. Morgan's Inclusive Investing team?

The Inclusive Investing team aims to create investment products that cater to the needs of underrepresented groups.

What is the financial commitment J.P. Morgan has made toward racial equity?

J.P. Morgan has made a $30 billion commitment to advance racial equity.