The banking industry is one of the most wealthiest industries in America today. Understanding investment opportunities and company growth is key to its financial success. Unfortunately many average Americans are not well versed enough to take advantage of opportunities. According to the Pew Research Center “The net worth of the wealthiest 7% of Americans increased by about 28%, while the net worth of the other 93% declined by 4%” While 55% of white Americans have investments, 33% of blacks and 20% of Hispanics qualify for that category.
As the black and Latino communities continue to grow, the loss of economic investment may be a burgeoning opportunity or sore spot for America. Of course, increasing diversity at banking institutions is one way to help stay competitive with so many potential customers. Hiring and educating people from within certain communities can be a benefit for banking organizations in the long term.
Although these suggestions are obvious and ever increasing, getting executives on board is the tricky part. Although many understand the social benefit of diversity, not many are sold on its financial benefit as of yet. As consumers become more and more diverse, I truly believe a change will come in the benefit of those prepared for the new consumer base.