April 2021 Issue: Our Profession's Newest Strategy for Helping to Close the Racial Wealth Gap-Our Profession's Newest Strategy for Helping to Close the Racial Wealth Gap by Brian Thompson

Our Profession's Newest Strategy for Helping to Close the Racial Wealth Gap by Brian Thompson

Pdf Summary

The U.S. has a significant racial wealth gap, and financial planners have the potential to help address this issue. However, there is a lack of diversity among financial planners, with only 3.8% of CFP professionals being Black or Latinx, despite those populations making up a much larger percentage of the country. In response to this, four NAPFA advisors have launched the BLatinX Internship Program (BLX) to provide opportunities for aspiring Black and Latinx financial planners. The program aims to place 100 interns at fee-only financial planning firms, with the firms committing to paying each intern at least $15 per hour for a minimum of 15 hours per week for eight weeks. The internships are open to both students and career changers who identify as Black or Latinx and are eligible to work in the U.S. Firms are encouraged to provide interns with exposure to all aspects of the business and to create a welcoming and inclusive environment. The organizers believe that the program will not only benefit the interns but also the firms themselves, as exposure to new and diverse talent can improve a firm's effectiveness and profitability. They are also confident that there is ample talent available, and the issue is not a lack of a talent pipeline, but rather a need to look in the right places. Financial planners and firms can participate by hosting an intern or by spreading awareness about the program. The BLX program aims to change the racial wealth gap numbers and ensure the integrity, diversity, and inclusion of financial planning for the future.

Keywords

racial wealth gap

financial planners

diversity

CFP professionals

Black

Latinx

BLatinX Internship Program

internships

inclusive environment

talent pipeline