Name a traditional characteristic of leadership in the wealth management business — white, male, straight — and Lule Demmissie is the opposite. Of all the ways she is a minority, the daughter of Ethiopian political refugees who heads the brokerage and wealth management arms of Ally Financial says being Black has been “by far” her most difficult identity in terms of professional advancement. “Talent is not a pipeline issue in our industry, it’s a networking issue, and the business has been networked to not network diversity,” she said. Demmissie, who joined Charlotte, North Carolina-based Ally in April 2019 after nine years at TD Ameritrade in a senior product role, is trying to expand inclusion throughout her company and among its customers. One way to accomplish the latter is through product design.
To attract savers who are leery of investments, a characteristic of many minority group members, Ally’s robo-adviser offers a managed account that charges no management fee and allows clients to keep 30% of their money in interest-earning cash. A perfect allocation? No, “but it’s better to come under the umbrella and be 70% invested, growing more comfortable and confident, than be 100% not invested,” said the practical Demmissie, who believes inclusion has become an imperative in today’s world. “It’s at the heart of being human, it’s not just a side dish.”
— Evan Cooper