A recent Bank of America report found 47% of American workers claim to feel financially secure. However, the study also revealed concerning disparities across race and gender. Operation HOPE CEO John Hope Bryant joins Wealth! to shed light on how women and people of color can achieve greater financial freedom.

In a society where race and gender have historically played a significant role in financial and wage inequity, Bryant notes that a shift is underway. He observes that people are increasingly "wanting to understand how stuff works" regarding financial health and preparedness. However, he contends that the root of the problem lies in the fact that people have "confused making money with building wealth."

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This post was written by Angel Smith

Video Transcript

There were some pretty alarming statistics that really talk about the disparity between gender and ethnic groups feeling different here in their own financial preparedness.

What's the first step that many groups can start to take and where financial literacy gaps can also start to be narrowed as well.

Well, as, you know, I wrote a book that's now a best seller now called Financial Literacy For All.

And I think in, in a, in the biggest group buying that book are African American and people of color, which is quite inspiring uh in economics and business book.

You know, and I think people won't understand how stuff works now because they understand they would live in a free enterprise democracy.

I I found it interesting, the report from the young lady from Bank of America uh because she did unpack it and she unpacked it because she's a woman.

And in 1972 a woman could not get a credit card.

Now, she works for Bank of America.

But in 1972 she wouldn't have uh in 1972 she couldn't get a bank account or a credit card or get a loan without her husband cosigning it now because women were involved in the economy.

25% of the economy are women, almost $7 trillion a year are women.

So if we were backwards on what we call de and I today or inclusion, women would not be involved in the economy.

We have not brought people of color in the economy.

We've not taught them the memo.

This my was my, my third book, How Free Enterprise and capitalism works.

And as a result of that people, they're not dumb and they don't, they're not stupid.

It's what they don't know that they don't know that's killing them.

But they think they know they've confused making money with building wealth, you make money during the day.

That's why we call it making a living.

But we build wealth in our sleep that stocks bonds.

Only 18% of African Americans.

Last time I checked, invest in the stock market.

41% of us own a home.

The number one way you build wealth in America is home ownership compared to 75% of our mainstream counterparts.

So there, so, so the the data is, is on the on the surface of it quite encouraging because financial fluency is increasing.

But we have the first generation of people over 65 in our lifetime.

Those are white, well, fluent baby boomers, really looking for retirement.

Uh The people coming into the economy, 40% of, of America today are black and brown and in 10 years, this country will be a majority of minorities.

But are they prepared for the economy?

So I, and as you look underneath this data, II, I need to read the report to tell you what it says, which is that you have this huge gaps, you have these huge lapses between those who are very comfortable.

The tale of two cities.

Really the tale of two worlds and people who are like, what's that?

Right?

And, and, and we gotta get people who are, what's that into?

Where am I going pretty quickly?

Otherwise, in 20 years, we'll be speaking Mandarin, meaning that we won't be lead the leader of the free world uh economically and there's never been a leader of the free world that wasn't the economic leader at the same time, think France thinks Germany thinks UK.

So we got a lot of work to do to do in 10 years to bridge the gap in this report.

Uh and it's no longer academic or, or anecdotal demographics are destiny.

And, uh you know, hopefully we can address a couple other issues that are sidebar to this in this interview, but this is critical data and which is why we're in Delta Airlines, by the way, doing all the financial coaching for their employees.

And we've spoken with Ed Bastian in the past, he's actually highlighted that as as well.

He's a great guy by the way.

So when I first went to Delta.

They like, we don't have a problem.

We're cool.

We have fidelity.

And I said no, no, they're helping your pilots and your six figure income earners invest money.

That's not what I'm talking about.

The pandemic hit.

They had a, a billion dollars of withdrawals, emergency withdrawals on 401k.

I get a call from the head of hr saying, when can you start?

We're, we, we're, we're stunned by this.

This was a ramp workers and the flight attendants and the people who are living from paycheck to paycheck.

And now those people aren't contributing money to their, their savings account.

They're more financially uh secure.

The, by the way, the airline is booming in profits.

We can do well and do good at the same time.