New database shows big corporations bankrolling social justice initiatives

WASHINGTON (TND) — A new database created by the Claremont Institute highlights the biggest financial backers of social justice, racial equity and diversity initiatives.

JP Morgan Chase & Co., Bank of America, Goldman Sachs, Exelon and Fifth Third Bancorp are the top five biggest spenders listed on the new database, which tracks spending to the "BLM Movement & Related Causes."

JP Morgan is at the top of the list, with financial support for social justice initiatives totaling over $30 billion, according to the database.

"The finance sector has an important role to play in helping to address some of the most pressing environmental and social challenges of our time," a 2021 Environmental, Social and Governance (ESG) report from JP Morgan reads. "We believe the scale and reach of our business and our approach to Environmental, Social and Governance matters helps drive this progress and contributes to a more sustainable and inclusive economy."

Roughly a year after the murder of George Floyd in the summer of 2020, the nation's 50 biggest companies had committed $49.5 billion to address racial inequality, according to The Washington Post. Ninety-percent of those commitments were allocated as loans or investments the companies could stand to profit from, and JP Morgan and Bank of America accounted for nearly all of them, the Post added.

In 2021, Bank of America, which came in second on the Claremont Institute's database, committed $1.25 million over five years to "further accelerate work already underway to address racial equality and opportunity."

That same year, Bank of America tripled its efforts to increase homeownership among "low- and moderate-income or multicultural families and communities," which already made up half of Bank of America's home loans. According to the Washington Post, neither the race of the borrower nor the neighborhood they were from was taken into account, but the bank expected the program to benefit Black borrowers the most.

Goldman Sachs came in at number three on the Claremont Institute's database, which reports the investment firm spent a total of $10.11 billion on the "BLM Movement & Related Causes."

Following the murder of George Floyd, Goldman Sachs established "the Goldman Sachs Fund for Racial Equity," which included $10 million "to support the vital work of leading organizations addressing racial injustice, structural inequity and economic disparity."

Among the company's litany of other initiatives focused on race and diversity is its "Black Women Impact Grants," which is a $10 million grant program for "Black women-led charitable nonprofits." Goldman Sachs also spends $1 billion annually on its "Sustainability and Impact Investing initiatives," which seeks to invest in urban communities that are predominantly Black.

The last two companies to round out the top five biggest spenders on the Claremont Institute's database were Exelon, a major public utility company headquartered in Chicago, and Fifth Third Bancorp, another finance firm.

Exelon has committed more than $164 million in financial support to organizations focusing on diversity, equity and inclusion efforts. The public utility company also has a $36 million fund that supports minority-owned businesses.

Fifth Third Bancorp has also made multi-billion-dollar efforts on race, equity and inclusion, which the financial corporation indicated in a 2021 ESG report "has always been a key priority for Fifth Third Bank." However, the company contends none of its philanthropic activities went directly to Black Lives Matter or affiliated organizations.

Additionally, an honorable mention from the Claremont Institute's database includes the recently collapsed Silicon Valley Bank, which the database reports gave $73.45 million to the "BLM Movement & Related Causes."

See the rest of the companies listed on the Claremont Institute's "BLM Funding Database" here.