The 1963 March on Washington is remembered for a famous speech, but its full name was the March on Washington for Jobs and Freedom. Economic participation was part of the civil rights movement from the start. Equal rights on paper mean little if families are shut out of the ways wealth is built: homes, businesses, savings and investments.
A history of exclusion
The wealth gap in America did not appear by accident. Its roots include deliberate policy choices:
- The Freedman's Savings Bank. Created in 1865 to serve formerly enslaved people, it collapsed in 1874 after mismanagement, and many depositors lost their savings.
- Redlining. In the 1930s, federal agencies produced neighborhood maps that marked Black and immigrant areas as high risk, and federal mortgage insurance practices favored segregated white neighborhoods. Families in redlined areas were denied loans that helped others buy homes and build equity.
- The GI Bill. The 1944 law offered veterans home loans and education benefits. Historians have documented that, because it was administered locally, many Black veterans were denied or steered away from those benefits.
Later laws, including the Fair Housing Act and the Equal Credit Opportunity Act, made such discrimination illegal. But wealth is passed down. A family that could not buy a home in 1950 had less to pass on in 1980, and less again in 2010.
What the numbers show today
The Federal Reserve's 2022 Survey of Consumer Finances found a median net worth of about $285,000 for White non-Hispanic families, about $61,600 for Hispanic families, and about $44,900 for Black families. The same survey found that Black families' median wealth grew substantially between 2019 and 2022, yet it remained the lowest of the groups. Gaps like these are consistent with the long-term effects of the history above, though economists debate how much each factor contributes.
Where financial education comes in
Wealth is built through assets, and owning assets depends on knowing how they work. Surveys of financial capability in the United States, such as the FINRA Foundation's National Financial Capability Study, consistently find differences in financial knowledge and in access to mainstream financial products among communities. People without a trusted source of information are more exposed to high-cost loans, to products they do not fully understand, and to missed opportunities, such as retirement plans and investing early.
Why we teach it
That is the reason Bamwe Trade School exists. We believe clear, honest financial education should not be reserved for people who already have wealthy relatives or the right connections. We teach how markets work, how to manage risk, and how to avoid costly mistakes, in plain language and starting from zero. We also work with schools, nonprofits and faith communities to bring programs to people where they already are.
What you can do
- Learn. Start with Track 00, which is free to preview.
- Share. Pass what you learn to someone in your family or community.
- Mentor or partner. Contact us if you can volunteer or want a program for your organization.
- Support the mission. A donation helps us reach more students.
Sources
- Federal Reserve Board, Survey of Consumer Finances, 2022, and the FEDS Note "Greater Wealth, Greater Uncertainty: Changes in Racial Inequality in the Survey of Consumer Finances" (October 2023).
- FINRA Investor Education Foundation, National Financial Capability Study.
- Historical background: the Freedman's Savings Bank, Home Owners' Loan Corporation mapping and federal mortgage underwriting in the 1930s, and the Servicemen's Readjustment Act of 1944.
Track 00: Introduction to Financial Markets
How markets work, who trades what, and the vocabulary every trader needs before risking a dollar.
Start the free previewThis article is for education only and is not financial, investment, tax or legal advice. Trading involves substantial risk of loss.