Member Spotlight: Banking & Finance Institutions During COVID-19

June 9, 2020

WRITTEN BY STEPHANIE EGGERS, FELLOW

A BETTER CITY BANKING & FINANCE MEMBERS

BANK OF AMERICA

BOSTON PRIVATE BANK

FEDERAL RESERVE BANK OF BOSTON

FIDELITY

KPMG

MELLON INVESTMENTS

PUTNAM INVESTMENTS

STATE STREET CORPORATION

A Better City members continue to step up during these challenging times to help keep businesses and individuals afloat through the economic shutdown. This week’s spotlight focuses on the work of finance and banking institutions that are actively engaged in work to help clients navigate the economic downturn brought on by COVID-19 as well as provide public relief through online resources and donations to several funds related to COVID-19.

PUTTING COMMUNITY FIRST

Our members recognize that a united effort to put community first is critical in order to get through the harshest conditions brought on by the pandemic to ensure that businesses and individuals have access to the right information to responsibly reopen the economy.

Bank of America donated $100 million to help nonprofits address food insecurity, support vulnerable populations, increase medical response capacity, and increase access to virtual learning. They also donated $250 million in capital for community development financial institutions to fund loans for the federal Payment Protection Program.¹
KPMG is a private-sector founding partner of UNESCO’s COVID-19 global education coalition that aims to support countries in improving distance learning practices and protecting children that are more at risk. They are donating resources and expertise around connectivity and capacity in technology.²
State Street Corporation is sending support to WHO’s COVID-19 Solidarity Response Fund, the CDC Foundation, Give2Asia, and the Boston Resiliency Fund to help those most impacted by the pandemic.³

Many institutions are making resources available for free online to help educate people on reopening safely.

Boston Private Bank⁴, Fidelity⁵, KPMG⁶, Mellon Investments⁷, Putnam Investments⁸, and State Street Corporation all have online resources available to the public on how individuals and businesses can navigate these difficult times, provide information on government relief packages, and offer insights on how to navigate current market conditions for investors.
Federal Reserve Bank of Boston is publishing resources on how they are working to lessen the impact of the pandemic on citizens by cutting short-term rates, buying Treasuries and mortgage-backed securities to stabilize markets, and opened a facility that lends money to banks to buy highly-rated assets from money market funds to address liquidity problems.⁹

Adapting Services to Support Client Needs During COVID-19

While many employees of member financial and banking institutions have adopted working from home to limit the spread of COVID-19, financial institutions have remained open for those that need in-person assistance with proper protocols in place.

Bank of America has enhanced cleaning procedures and placed limits on the number of clients allowed in banks at one time to keep people safe.
Fidelity has enhanced cleaning routines at select investment centers that have remained open but encourage phone-based appointments when possible.¹⁰
Boston Private Bank and Mellon Investments¹¹have kept their offices open with deep cleaning and sanitizing procedures however working from home are encouraged and they are using digital communication to help clients.

Other institutions have adopted digital methods to keep up with client communication.

Putnam Investments has committed to frequent communication with clients through emails, phone calls, webcasts, and online commentary meant to build client confidence in markets.¹²
State Street Corporation has an extensive FAQ page for client questions about their individual corporate response and plans for the continued support of clients through work from home policies.¹³

As the economic downturn brought on by COVID-19 has left millions without jobs, financial institutions have developed policies to limit the economic difficulties experienced by clients during this time.

Bank of America is offering payment deferral options for credit cards, vehicle loans, and/or home loan payments. They are also submitting applications to the Payment Protection Program on behalf of clients once they are complete.¹⁴
Boston Private Bank is offering 3 months of deferment on residential mortgages and is assisting in the Small Business Administration’s Payment Protection Program.¹⁵

Plans for Reopening

Governor Baker has released a phased reopening strategy and now our financial institution members must think about how they plan on returning to the workplace. Their actions will undoubtedly help lower the chances of a second wave coming through Boston.

State Street Corporation has experienced reopening already with its office located in Hangzhou, China. The 3,000-person operation there transitioned to work-from-home in mid-January and 75% of the workforce had returned to the office by mid-April. Although reopening offices will be different based on the location and size of the office, they will rely on appropriate testing, social distancing, health checks, work zones, and PPE at all offices. Their experience has shown that inviting people back to the office rather than requiring it improved employee confidence in returning to the workplace.¹⁶

As Massachusetts progresses through the reopening plan, other institutions will release their plans for reopening offices and expanding in-person services for clients at all banks and finance centers.