158 years ago, Black people in America won their personal freedom, but economic freedom remains elusive for them and the Indigenous population. Jim Casselberry, a veteran portfolio manager, is attempting to bridge the gap using his four decades of investing experience. He aims to get capital in the right people’s hands and help them use their talent, opportunity, and skills. Casselberry is one of the co-founders of Known, a finance and asset management firm. The organization works with family offices, founders, and large asset owners that value competitive returns as well as long-term racial, social, and climate impact.
The Wealth Disparity and the Need for Wider Reforms
Juneteenth, a national holiday for two years, marks the day that Major General Gordon Granger proclaimed freedom for slaves in Texas. However, it does not signal the end of racial inequality in the United States. The wealth disparity between white and Black people is 6 to 1, which is better than the 23 to 1 in 1870 after emancipation. However, it is still a massive divide, with Black people holding only 4% of the wealth despite constituting 13% of the population. The richest 400 Americans have wealth equal to that of the entire Black populace. Known aims to bridge this chasm and help the Black, Indigenous, Hispanic and Asian-American population grow, access capital, and create opportunities.
Casselberry believes that programs like affirmative action have helped make progress, but wider reforms are necessary. Given the polarized and dysfunctional government, reparations at any meaningful scale are unlikely. Philanthropy has attempted many approaches, but they are not on a scale that can impact the problem. Therefore, the solution lies in the capital markets, where the real money is found and managed. However, more than 98% of funds under management are controlled by old majority white firms.
The Goal of Known: Access to Capital and Better Outcomes
Known aims to be the solution for asset holders who want to invest for better outcomes. It is formed to be the resource capital access for the Black, Indigenous and People of Color community to access, grow, and create opportunities. Casselberry believes that Known can bring a change, and efforts by organizations like this can help reduce the wealth disparity. Casselberry wants people to feel known and to understand that they have the abilities to make a difference. Programs and opportunities for the Black, Indigenous, and People of Color community do not work because they haven’t been given the chance to work. The name “Known” reflects the organization’s goal of making people feel seen and valued.
According to Treasury Department data, the wealth disparity between white and Black families has remained largely unchanged over the past 20 years. Casselberry is hoping that organizations like Known can change that. Casselberry believes that Known’s mission will help bridge the gap and make a real difference. He wants to make sure the Black, Indigenous, and People of Color community has access to capital, grows, and creates opportunities. Casselberry is using his experience to help make Known a reality and help create a better future for people of color and Indigenous population.
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