Monthly Archives: July 2016

Federal Reserve Chairwoman Janet Yellen’s June 2016 Press Conference (Video)

Excerpt from June Press Conference with Chairwoman Janet Yellen:

“While the general picture of the labor market is largely positive, some people are still struggling. Unemployment rates rose more during the recession for African Americans and Hispanics than for the nation overall, and even though those rates have also come down by more during the economic expansion, unemployment remains higher for these groups. Unfortunately, those gaps have not narrowed noticeably relative to where they were before the recession. Unemployment rates for young African American and Hispanic men without a college degree remain especially high, and one important benefit from further improvement in the labor market would be increased job opportunities for these men and other groups that currently still experience high unemployment.”

Full Press Conference & FOMC Statement:

Not Just Deposits But Shares: Buying A Stake In African America’s Publicly Traded Banks


Editor’s Correction: Broadway Federal Bank located in Los Angeles, California is also publicly traded and information added below (July 19, 2016)

“But not only that, we’ve got to strengthen black institutions. I call upon you to take your money out of the banks downtown and deposit your money in Tri-State Bank. We want a “bank-in” movement in Memphis. Go by the savings and loan association. I’m not asking you something that we don’t do ourselves at SCLC.”- Martin Luther King, Jr.

It has been noted here at HBCU Money that after every tragic death of an African American by a police officer our site spikes. The primary cause for that spike has been a search for African American owned banks and credit unions and it usually last for a few days, then there are marches, pacification, and all returns to normal as does our site’s traffic. After the recent deaths of Alton Sterling and Philando Castile though something changed and the current numbers say it may finally be the groundswell needed for a permanent paradigm shift in African America’s thought process of self-dependence and empowerment. Banks are the foundation of allowing a community, city, state, nation to control its money and circulate their dollars within the aforementioned entities. This has been at the root of African America’s problem with getting dollars to circulate within its community – simply put a lack of dollars within the financial institutions in the community. Deposits turn into loans and those loans turn into mortgages to increase African American home ownership, reduces predatory lending, and helps launch small businesses which translates into jobs and wealth in the community usually of the bank or credit union entity.

The shift has been profound as banks like Unity National Bank and Citizens Trust (featured here) are overwhelmed by the number of new accounts to the point that their staff simply can not process the volume. Lobbies are jam packed with African Americans moving their money. The seed is planted, but it can not stop there. Another leg of this has to be investing in these institutions from an ownership perspective. More demand for their shares will cause the institutions share prices to increase and increase the value of the company. This allows the company to expand, open new offices, hire more people, and eventually buy other banks. As it buys other banks, it can scale up and drive down cost, which it can then pass that savings on to customers. All of this is investment in our institutions leads to a cycle of economic independence and empowerment that begins to grow and feed on itself like a snowball rolling down hill.

Lastly, America has roughly 3,700 publicly traded companies, but there are only four African American owned public companies (0.1% of all American public companies) and three of them are banks. Below are their profiles. If you want to buy shares in these companies, visit our link on Opening A Brokerage Account.



CEO: Ms. Cynthia N. Day, CPA (Above Right)

Ticker Symbol: CZBS

Citizens Bancshares Corporation operates as the holding company for Citizens Trust Bank that provides various commercial banking products and services. The company accepts commercial and consumer deposit accounts, such as non-interest bearing checking accounts, money market checking accounts, negotiable order of withdrawal accounts, individual retirement accounts, time certificates of deposit, sweep accounts, and regular savings accounts. Its loan products include consumer/installment loans, mortgage loans, home equity lines of credit, construction loans, commercial loans, and small business loans. The company operates seven full-service financial centers in metropolitan Atlanta, Georgia; one full-service branch in Columbus, Georgia; one full-service branch in Birmingham, Alabama; and one full-service branch in Eutaw, Alabama. Citizens Bancshares Corporation was founded in 1921 and is based in Atlanta, Georgia.


CEO: Mr. James H. Sills, III (Above Left)

Ticker Symbol: MFBP

M&F Bancorp, Inc. operates as the bank holding company for Mechanics and Farmers Bank that provides consumer and commercial banking products and services in North Carolina. The company offers deposit products, including checking, savings, negotiable order of withdrawal, money market, and individual retirement accounts, as well as certificates of deposit. It also provides loans for real estate, construction, businesses, personal use, home improvement, and automobiles; and equity lines of credit, credit lines, consumer loans, and credit cards. In addition, the company offers safe deposit boxes, Internet and mobile banking services, traveler’s checks, notary services, and automated teller machine services, as well as electronic funds transfer services, such as wire transfers. It operates seven branch offices in Durham, Raleigh, Charlotte, Greensboro, and Winston-Salem, North Carolina. The company was founded in 1907 and is headquartered in Durham, North Carolina.


CEO: Wayne-Kent A. Bradshaw

Ticker Symbol: BYFC

Broadway Financial Corporation operates as the holding company for Broadway Federal Bank, f.s.b. that provides savings and loan business services for low to moderate income communities in Southern California. The company accepts various deposit products, such as passbook savings accounts, checking accounts, NOW accounts, money market accounts, and fixed-term certificates of deposits. It also provides loan products, including multi-family mortgage, commercial real estate, single family mortgage, church, construction, commercial, and consumer loans. It operates three full service branches comprising two in the city of Los Angeles and one in the city of Inglewood, California. The company was founded in 1946 and is headquartered in Los Angeles, California.

Source: Company profiles provided by Yahoo Finance.

The HBCU Money™ Weekly Market Watch

Our Money Matters /\ July 15, 2016

A weekly snapshot of African American owned public companies and HBCU Money™ tracked African stock exchanges.


African American Publicly Traded Companies

Citizens Bancshares Georgia (CZBS) $7.01 (3.85% UP)

M&F Bancorp (MFBP) $3.22 (0.00% UNCH)

Radio One (ROIA) $3.14 (1.95% UP)

African ETFs

Global X MSCI Nigeria (NGE) $5.16 (2.29% DN)

Market Vectors Africa (AFK) $20.65 (0.48% DN)

African Stock Exchanges

Bourse Regionale des Valeurs Mobilieres (BRVM)  290.29 (0.03% DN)

Botswana Stock Exchange (BSE)  9 983.38 (0.06% DN)

Ghana Stock Exchange (GSE)  1 781.08 (10.72% DN)*

Nairobi Stock Exchange (NSE)  138.30 (N/A)

Johannesburg Stock Exchange (JSE) 53 088.46 (0.48% UP)

International Stock Exchanges

New York Stock Exchange (NYSE) 10 777.34 (0.09% DN)

London Stock Exchange (LSE)  3 606.72 (0.12% UP)

Tokyo Stock Exchange (TOPIX)  1 317.10 (0.45% UP)


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Unemployment Rate By HBCU State – May 2016

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ALABAMA –  6.1% (6.1%)

ARKANSAS – 3.8% (3.9%)

CALIFORNIA – 5.2% (5.3%)

DELAWARE – 4.1% (4.2%)


FLORIDA – 4.7% (4.8%)

GEORGIA – 5.3% (5.5%)

ILLINOIS – 6.4% (6.6%)

KENTUCKY – 5.1% (5.3%)

LOUISIANA – 6.3% (6.3%)

MARYLAND – 4.5% (4.6%)

MASSACHUSETTS – 4.2% (4.2%)

MICHIGAN – 4.7% (4.8%)

MISSISSIPPI – 5.8% (6.0%)

MISSOURI –  4.3% (4.3%)

NEW YORK – 4.7% (4.9%)

NORTH CAROLINA – 5.1% (5.4%)

OHIO – 5.1% (5.2%)

OKLAHOMA – 4.7% (4.5%)

PENNSYLVANIA – 5.5% (5.3%)

SOUTH CAROLINA – 5.6% (5.8%)

TENNESSEE – 4.1% (4.3%)

TEXAS – 4.4% (4.4%)

VIRGINIA – 3.8% (3.9%)

*Previous month in parentheses.

African America’s June Jobs Report – 8.6%


Overall Unemployment: 4.9% (4.7%)

African America Unemployment: 8.6% (8.2%)

Latino America Unemployment: 5.8% (5.6%)

European America Unemployment: 4.4% (4.1%)

Asian America Unemployment: 3.5% (4.1%)

Previous month in parentheses.

Analysis: Overall unemployment rose 20 basis points. All groups except Asian America saw a rise in their unemployment rate, who saw a 60 basis point decline in their unemployment rate. African America led the way with the largest increase of 40 basis points, followed by European America’s 30 basis points, and Latino America’s 20 basis points.

African American Male Unemployment: 8.2% (7.6%)

African American Female Unemployment: 7.3% (7.4%)

African American Teenage Unemployment: 31.2% (27.1%)

African American Male Participation: 67.8% (67.1%)

African American Female Participation: 60.9% (61.0%)

African American Teenage Participation: 29.2% (28.7%)

Analysis: African American men had a increase of 60 basis points in their unemployment rate, but also experienced a 70 basis point increase in their participation rate. African American women had a decrease of 10 basis points in their unemployment rate, but a 10 basis point decrease in their participation rate. African American teenagers had an increase of 410 basis points in their unemployment rate, but only experienced a 50 basis point increase in their participation rate.

CONCLUSION: The overall economy added 287 000 jobs in June. African America added only 32 000 jobs in June, making May look like an anomaly when African America gained more jobs than the overall economy. It is hard to be overly excited about June’s numbers after May produced only 38 000 jobs overall. A student who gets a 100 and a 0 on test, still has a F average. However, if July delivers a modestly decent number, it could allow the Federal Reserve to put a rate hike back in play for September, which we are still not sure the economy or market is ready for, but desperately needs to heal itself from a decade of fictional interest rates. The fictional interest rates have killed lending and savings and therefore hampered the creation of small business creation in the country. Those are long-term issues though, but issues nonetheless. In the short term, cultural backlash against African America may have some negative labor impact for the rest of the year given African America’s employment dependency on others.

African America needs to create 721 000 jobs to match the nation’s overall unemployment rate.