Skimm Money: Black Investors, The 1-3-5 Method, and The Big Stay

How the news affects your finances.

Black Investors

A Gallup poll published last year found that 67% of white adults own stock compared to 49% of people of color. But these numbers may be shifting. According to Federal Reserve data, Black Americans are the fastest-growing group of stock investors. A Schwab survey says this upward trend got a boost during the pandemic when nearly 30% of Black investors under 40 got into the market for the first time. However, those without generational wealth can face hurdles when it comes to investing. Including a financial literacy gap and a lack of trust in financial institutions, which can leave some people vulnerable to scams or overinvesting in risky assets, like crypto, for example.

Your moves:

• Tap into accessible resources. Many investing and banking platforms offer webinars and classes that can help you level up your finances. For example, OneUnited Bank has a tool called WiseOne Insights that uses AI insights to increase your financial literacy. Knowledge = power. 

• Talk with an advisor who gets it. A pro who understands your cultural values can better help you reach your financial goals. Example: A pandemic-era report conducted by the AARP/National Alliance for Caregiving found that Black Americans have “more burdensome caregiving situations” than their white peers. If you’re planning to support your aging parents, seek out an advisor with experience helping clients balance family obligations with financial priorities.

• Invest in your values. Supporting Black-owned businesses as an investor can make your money work for you and your community. Some apps, like Stackwell, are directly built to meet the needs of the Black investor community. You can also directly invest in Black-owned businesses through peer-to-peer lending programs, as well as exploring ETFs that focus on minority empowerment.

The money stories everyone’s talking about.

When will Black Americans have equal access to homeownership? 

In 320 years, according to one study.

Tax season is here…

But it’s not too late to take advantage of this last-minute tax break.

Who could forget about their cash? 

Over 30 million people, apparently. Here’s how to find yours.

The Great Resignation is over…

And “The Big Stay” has started. Get comfy. 

The Wall Street trends to know this week.

Stocks fell today over concerns that the Fed’s in no rush to cut interest rates. ICYMI, Fed Reserve Chair Jerome Powell made a rare appearance on “60 Minutes” last night where he said the Fed’s focus is on balance. If it raises rates too soon, the Fed could miss its goal of bringing inflation down to 2%. But if it waits too long, the economy could suffer. Think: Layoffs and income dips. All eyes will be on the Fed’s next meeting in March to see what happens.  

Split big expenses up into smaller payments.

Whether you’re eyeing a new piece of workout equipment, or itching to sign up for that art class you’ve always wanted to take, making smaller payments over time can ease lump-sum sticker shock while helping you stay within your monthly budget. Having a Chase credit card can help with that, because eligible cardmembers can easily break down $100+ purchases into more budget-friendly payments with My Chase Plan®. So you get the same rewards and greater financial flexibility. Tell your wallet you’re welcome.*

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