State Street Announces $100 Million Program for Minority Depository Institutions and Community Development Financial Institutions
February 29 2024 - 7:30AM
Business Wire
State Street Corporation (NYSE: STT) today announced a $100
million program to provide low-cost, stable deposit funding to
minority depository institutions (MDIs)1 and Community Development
Financial Institutions (CDFIs)2, to support the firms’ collective
missions of addressing inequities in our communities by working
toward a more just and equitable future.
As a part of this program, the firm is initially partnering with
two mission-driven MDIs - Optus Bank and Mechanics & Farmers
Bank (M&F Bank). Both MDIs and CDFIs support low-to-moderate
income communities through lending, affordable housing and
workforce development.
“Our partnerships with MDIs and CDFIs are part of our firm’s
broader business strategy to expand the financial market ecosystem
and help unlock economic potential by encouraging long term growth
and job creation – which ultimately promotes more equitable and
prosperous outcomes for our key stakeholders and the communities we
serve,” said Ron O’Hanley, chairman and chief executive officer of
State Street. “MDIs and CDFIs play a critical role in fueling
economic growth within underserved and underbanked communities and
it is an honor to be partnering with Optus Bank and M&F Bank
and helping advance racial and wealth equity through our business
practices.”
“We greatly appreciate State Street’s partnership and the shared
commitment to closing the wealth gap by increasing access to
financial support for underserved communities,” said Dominik
Mjartan, President and CEO of Optus Bank.
This program, builds upon State Street’s actions to advance
racial equity. In 2020, State Street announced its 10 Actions to
Address Racism and Inequality, a 10-point action plan with the
ultimate goal of helping to end systemic racism in our communities.
Additionally the firm became the first Global Systemically
Important Financial Institution (GSIFI) to achieve the Management
Leadership for Tomorrow (MLT) Black Equity at Work Bronze
Certification, a designation for employers who have demonstrated a
commitment to a systematic, results-oriented approach to Black
equity in the workplace.
“This significant deposit partnership with State Street will
allow us to continue to support small businesses and consumers to
reduce the overall wealth gap in North Carolina,” said M&F Bank
President and CEO James H. Sills, III. “We appreciate the
confidence State Street has placed in our ability to understand our
customer base and offer financial services that build wealth in our
communities.”
Click here to learn more about the ways in which State Street
has continued to advance this mission.
About State Street Corporation
State Street Corporation (NYSE: STT) is one of the world's
leading providers of financial services to institutional investors
including investment servicing, investment management and
investment research and trading. With $41.8 trillion in assets
under custody and/or administration and $4.1 trillion* in assets
under management as of December 31, 2023, State Street operates
globally in more than 100 geographic markets and employs
approximately 46,000 worldwide. For more information, visit State
Street's website at www.statestreet.com.
*Assets under management as of December 31, 2023, includes
approximately $64 billion of assets with respect to SPDR® products
for which State Street Global Advisors Funds Distributors, LLC
(SSGA FD) acts solely as the marketing agent. SSGA FD and State
Street Global Advisors are affiliated.
About Optus Bank
Established in 1921 by visionary and courageous African
Americans, Optus Bank is on a mission to empower our customers and
communities to build lasting wealth and live better financial
lives. Optus Bank is federally designated Minority Depository
Institution and a U.S. Treasury certified Community Development
Financial Institution with $530 million in assets and thousands of
customers across the U.S. served by mission driven bankers and
digital banking solutions.
About M&F Bank
Founded in 1907 in North Carolina, M&F Bank is the
second-oldest minority-owned bank in the United States. The bank is
located in the five largest markets in North Carolina. With $428.8
million in total assets, M&F Bank is the eighth-largest African
American owned financial institution in the United States and the
only MDI in North Carolina to receive the CDFI designation and SBA
7(a) preferred lender status. The bank has established partnerships
with three national banks to allow its customers to access 44,000
ATMs nationwide for free. The bank’s mission is to promote personal
and community development by providing capital to small- and
medium-sized businesses in its local communities.
© 2024 State Street Corporation 6442847.1.1.GBL.RTL
1 FDIC: Minority Depository Institutions Program 2
cdfi_infographic_v08a.pdf (cdfifund.gov)
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version on businesswire.com: https://www.businesswire.com/news/home/20240229534378/en/
Ed Patterson +1 (404) 213-3106 epatterson@statestreet.com
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