Glossary

A leadership model that was introduced by Ronald Heifetz and Marty Linsky. Heifetz defines it as the act of mobilizing a group of individuals to handle tough challenges and emerge triumphant in the end. Source: CFI

An angel investor is an individual who provides capital for a business or businesses start-up, usually in exchange for convertible debt or ownership equity. Angel investors usually give support to start-ups at the initial moments and when most investors are not prepared to back them.

Prejudice in favor of or against one thing, person, or group compared with another, usually in a way considered to be unfair.
Cause to feel or show inclination or prejudice for or against someone or something.

Acronym for Black-owned businesses.

The (false) belief that a person in the United States who works hard, assumes personal responsibility, and maintains a strong moral center can accomplish anything.

While race is a fluid man-made definition, the contours of caste are rigid and fixed. What is considered "white" has changed over time, but what is considered the dominant caste has not. Throughout the book, Wilkerson intentionally tries to use term relating to caste such as "dominant caste" or "lower caste" instead of just referring to race in order to encourage readers to consider issues from a new, structurally-based light. Source: Bibliofile summary of Wilkerson

8 Pillars of Caste
Pillar #1: Divine Will. Caste systems attempt to justify their subordination of segments of their population through divine will (such as with describing African Americans as descendants of the cursed son of Noah, Canaan) or the laws of nature.
Pillar #2: Heritability. Caste is assigned at birth and passed down to descendants.
Pillar #3: Endogamy. Caste attempts to restrict marriage to those within the same caste.
Pillar #4: Purity Versus Pollution In the caste system, there is “a fundamental belief in the purity of the dominant caste and the fear of pollution” from lower castes.
Pillar #5: Occupational Hierarchy. Caste systems rest upon a bottom tier which performs menial tasks whose labor supports the other castes.
Pillar #6: Dehumanization and Stigma. Dehumanization distances the lower caste and allows their treatment to be “outside of the norms of humanity”.
Pillar #7: Terror and Cruelty. Terror and cruelty are used to enforce caste and control the subservient caste, and being complicit or joining in are rewarded.
Pillar #8: Inherent Superiority Versus Inherent Inferiority. In each caste system, messages about the inherent superiority of the dominant caste and the inferiority of the lower castes are continually reinforced.

Short for "collective"

Community development financial institutions (CDFIs) are private financial institutions that are 100% dedicated to delivering responsible, affordable lending to help low-income, low-wealth, and other disadvantaged people and communities join the economic mainstream. By financing community businesses—including small businesses, microenterprises, nonprofit organizations, commercial real estate, and affordable housing—CDFIs spark job growth and retention in hard-to-serve markets across the nation. CDFIs are profitable but not profit-maximizing. They put community first, not the shareholder. For more than 30 years, they have had a proven track record of making an impact in those areas of America that need it most. Source

CDLFs provide financing and development services to businesses, organizations, and individuals in low-income communities. There are four main types of loan funds: microenterprise, small business, housing, and community service organizations. Each is defined by the client served, though many loan funds serve more than one type of client in a single institution. CDLFs tend to be nonprofit and governed by boards of directors with community representation. Source

Community owned assets or organizations are those that are owned and controlled through some representative mechanisms that allow a community to influence their operation or use and to enjoy the benefits arising. Source

An estimate of the ability of a person or organization to fulfill their financial commitments, based on previous dealings.

A number assigned to a person that indicates to lenders their capacity to repay a loan.

A nonprofit-making money cooperative whose members can borrow from pooled deposits at low interest rates.

The ability of a customer to obtain goods or services before payment, based on the trust that payment will be made in the future. A nonprofit-making money cooperative whose members can borrow from pooled deposits at low interest rates.

These are websites such as GoFundMe, Indiegogo, Mightycause, Patreon, etc. where people can share a financial need they have and anyone can donate money through the platform to support them. For example, if I need help paying for an expensive hospital bill, I could make a GoFundMe to ask for help and tell my story, and anyone who comes across the page can donate to support me.

Something, typically money, that is owed or due.

Enablement allows a problem to perpetuate over time, rather than address the root cause of the situation. Empowerment activates solutions to change structural issues.

The activity of setting up a business or businesses, taking on financial risks in the hope of profit (Oxford Languages dictionary).

“Bullard defines environmental racism as ‘any policy, practice or directive that differentially affects or disadvantages (where intended or unintended) individuals, groups or communities based on race.’” Source

Environmental, social, and governance (ESG) criteria are a group of standards used by socially conscious investors to screen investments

ENVIRONMENTAL:
DEFORESTATION: Promoting sustainable stewardship of the world’s forests (e.g. plants and animals, fossil fuel industry, risk management, exploitative products)
ANIMAL WELFARE: Promoting universal standards for treatment of animals (e.g. plants and animals, waste, water, greenhouse gas emissions, product quality and safety)
CLIMATE CHANGE: Promoting a low-carbon economy (e.g. greenhouse gas emissions, fossil fuel reserves, fossil fuel industry, plants and animals, risk management, waste)
CLEAN WATER: Promoting safe and plentiful access to clean water (e.g. water, waste, risk management, plants and animals, fossil fuel industry, war, product quality and safety)
SUSTAINABLE AGRICULTURE: Building a resilient food system (e.g. waste, greenhouse gas emissions, water, plants and animals, fossil fuel industry, media and advertising, risk management, exploitative products, human rights and community, war)
POLLUTION: Promoting cleaner air, land, and water (e.g. waste, greenhouse gas emissions, fossil fuel industry, water, plants and animals, risk management, exploitative products, product quality and safety, war)
SOCIAL:
HUMAN RIGHTS: Promoting inalienable rights to freedom, justice, and peace (e.g. war, human rights and community, water, waste, exploitative products, fossil fuel industry, plants and animals, greenhouse gas emissions, product quality and safety, workplace diversity, remuneration, risk management)
WOMEN'S RIGHTS: Promoting justice and equity for women and their children (e.g. workplace diversity, human rights and community, product quality and safety, war, exploitative products, water, ethics and fraud, waste, greenhouse gas emissions)
DEMOCRACY: Promoting strong democratic institutions (e.g. human rights and community, war, media and advertising, product quality and safety, remuneration, market manipulation, risk management, greenhouse gas emissions)
RACIAL JUSTICE: Promoting a racially equitable society (e.g. workplace diversity, human rights and community, war, exploitative products, product quality and safety, ethics and fraud, water, remuneration, waste, greenhouse gas emissions)
POVERTY: Promoting socio-economic equity and justice (e.g. human rights and community, war, exploitative products, product quality and safety, water, greenhouse gas emissions, media and advertising, remuneration, workplace diversity, market manipulation, waste, ethics and fraud)
LGBTQ JUSTICE: Supporting people of all gender identities and sexual orientations (e.g. workplace diversity, human rights and community, product quality and safety, ethics and fraud)
HEALTH & WELLNESS: Fostering healthy communities (e.g. exploitative products, waste, water, human rights and community, war, greenhouse gas emissions, product quality and safety, media and advertising, risk management)
EDUCATION: Creating the conditions for safe and healthy education at all ages (e.g. media and advertising, waste, fossil fuel reserves, human rights and community, war, fossil fuel industry)
IMMIGRATION JUSTICE: Protecting human rights for immigrants (e.g. war, human rights and community, workplace diversity, greenhouse gas emissions, fossil fuel industry, exploitative products, product quality and safety, ethics and fraud)
GOVERNANCE:
CORPORATE DIVERSITY & INCLUSION: Harnessing the power of diverse communities to build strong businesses (e.g. workplace diversity, human rights and community, product quality and safety, exploitative products, ethics and fraud)
WORKER TREATMENT: Promoting fair working conditions for all (e.g. human rights and community, ethics and fraud, remuneration, risk management, workplace diversity)
FINANCIAL SYSTEM STABILITY: Building a resilient financial system (e.g. market manipulation, remuneration, ethics and fraud, risk management, exploitative products, product quality and safety, board quality, shareholder rights, greenhouse gas emissions, fossil fuel industry)
CORPORATE ETHICS: Building fair businesses (e.g. ethics and fraud, shareholder rights, board quality, risk management, market manipulation, product quality and safety, media and advertising, remuneration)
Social Justice Investment Criteria
Pools & Priorities of wealth
Pools of wealth include but are not limited to: Total net worth, real estate holdings, impact investments, alternative/private investments (private equity/venture capital), trusts for children, retirement savings, public markets investment portfolio.
Some priorities for your wealth might include passing wealth down to future generations, having enough cash flow to live comfortably, being generous philanthropists, spending it all during your lifetime etc.
Use our list of possible partners below to compile a complete list of the partners you employ.
Partner ecosystem for wealth management
How you manage your wealth is a complex web of relationships and power dynamics.

A powerful collection of racist policies that lead to inequity between race-genders and are substantiated by racist ideas about race-genders. (Kendi)
Gender Antiracism is a powerful collection of antiracist policies that lead to equity between racegenders and are substantiated by anti-racist ideas and race-genders. (Kendi)

Housing policy refers to the actions of government, including legislation and program delivery, which have a direct or indirect impact on housing supply and availability, housing standards and urban planning. Through legislation, the allocation of resources, tax policies and housing policy can also impact house prices and affordability, as well as the availability of an adequate supply of rental housing. Policies around housing can result in an investment in social housing, support for alternative types of rental housing (such as co-ops) or tax policies to encourage the private sector to build and operate more rental housing. (Quote source)

Implicit and social barriers play a significant role in shaping individuals' experiences and opportunities within society. Implicit barriers refer to subtle, often unconscious biases that influence decision-making processes, hindering marginalized groups from accessing equal opportunities. These barriers manifest in various forms, including gender stereotypes, racial prejudices, and socio-economic disparities. Social barriers, on the other hand, encompass systemic obstacles rooted in societal structures and norms, perpetuating inequality. Understanding and addressing these barriers are crucial steps towards fostering inclusivity and dismantling discrimination. By recognizing and challenging implicit and social barriers, societies can strive towards creating environments that embrace diversity and provide equitable chances for all.

Reluctance to Discuss Race and Diversity – There are deep-rooted social norms of avoiding discussions about race, ethnicity, equity, and inclusion.

Double Standards Based on Race – There are different funding, hiring, and other standards applied to Black and Latino/a/x leaders versus their white counterparts.

Sponsorship-Driven Advancement – Promotion and professional development opportunities in the social sector are influenced by the advocacy of sponsors.

Organizations Influenced by Dominant Cultures – The cultures of philanthropic and nonprofit organizations are often driven by the norms and practices of the dominant race/ethnicity.

Influence is a powerful force that shapes interactions and decision-making. The art of influencing style delves into the strategies individuals employ to persuade, inspire, and guide others towards a desired outcome. Whether through charismatic communication, strategic negotiation, or empathetic leadership, influencing styles vary widely. This dynamic interplay involves understanding the nuances of human behavior, adapting to diverse audiences, and leveraging one's strengths to make a lasting impact. Exploring the intricacies of influencing styles unveils the diverse approaches people employ to sway opinions, build alliances, and foster positive change. It is a skill set that extends beyond charisma, encompassing the thoughtful navigation of social dynamics for effective leadership.

Rationalizing: Do you use logic, facts, and reasoning to present your ideas? Do you leverage your facts, logic, expertise, and experience to persuade others?

Asserting: Do you rely on your personal confidence, rules, law, and authority to influence others? Do you insist that your ideas are heard and considered, even when others disagree? Do you challenge the ideas of others when they don’t agree with yours? Do you debate with or pressure others to get them to see your point of view?

Negotiating: Do you look for compromises and make concessions in order to reach an outcome that satisfies your greater interest? Do you make tradeoffs and exchanges in order to meet your larger interests? If necessary, will you delay the discussion until a more opportune time?

Inspiring: Do you encourage others toward your position by communicating a sense of shared mission and exciting possibility? Do you use inspirational appeals, stories, and metaphors to encourage a shared sense of purpose?

Bridging: Do you attempt to influence outcomes by uniting or connecting with others? Do you rely on reciprocity, engaging superior support, consultation, building coalitions, and using personal relationships to get people to agree with your position?- Source

Interest convergence is a theory coined by the late Derrick Bell, law professor and spiritual godfather to the field of study known as critical race theory. Interest convergence stipulates that black people achieve civil rights victories only when white and black interests converge. —NPR
...That the rights of Black people only advance when they converge with the interests of white people. —Alexis Hoag

The proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage of the loan outstanding.

The interconnected nature of social categorizations such as race, class, and gender as they apply to a given individual or group, regarded as creating overlapping and interdependent systems of discrimination or disadvantage.

A statement, action, or incident regarded as an instance of indirect, subtle, or unintentional discrimination against members of a marginalized group such as a racial or ethnic minority
Source: Oxford Languages dictionary

Viewing or treating a person or group of people as intrinsically different from and alien to oneself.

You can leverage personal property purchases to support efforts to reduce the racial wealth gap. For example, Janine Firpo helped a real estate development team of all women purchase land to build dozens of units of workforce housing.

Positive racial identity is defined as a positive attitude and belief about one’s racial group. Positive racial and ethnic identity has been linked to higher resilience, self-efficacy, self-esteem (and school grades). —Angela Hill
In order to confront your inherent racism as a white person, you have to acknowledge your whiteness; a “colorblind” approach reinforces the problem of racism. Your whiteness impacts your life and those of your ancestors. However, feeling guilty and making other white people feel guilty for your whiteness is ineffective; and you should also not feel good about being white just because you’re white. It’s about understanding what it means to be white in the context of a heavily racialized society that has historically and still today distributed resources unfavorably for people of color: understanding what it means to live in a society that teaches people of color internalized oppression and teaches white people internalized superiority, and dealing with that sense of internalized superiority so I can show up and be and live in healthy multiracial community with people of color, in which we work against racism and other oppressions knowing that all oppressions are connected.. —Ali Michael

Private debt, or private credit, is the investment of capital to acquire the debt of private companies (as opposed to acquiring equity). The term private debt is when debt from private companies is acquired by another source. Source

These are two types of funds you can invest in.

Venture capital is a form of private equity financing that is provided by venture capital firms or funds to startups, early-stage, and emerging companies that have been deemed to have high growth potential or which have demonstrated high growth. Source
Private equity is an alternative investment class and consists of capital that is not listed on a public exchange. Private equity is composed of funds and investors that directly invest in private companies, or that engage in buyouts of public companies, resulting in the delisting of public equity. Institutional and retail investors provide the capital for private equity, and the capital can be utilized to fund new technology, make acquisitions, expand working capital, and to bolster and solidify a balance sheet. A private equity fund has Limited Partners (LP), who typically own 99 percent of shares in a fund and have limited liability, and General Partners (GP), who own 1 percent of shares and have full liability. The latter are also responsible for executing and operating the investment. Source

A psychological phenomenon that causes us to feel indifferent to the suffering of large numbers of people

A private-purpose bond is a municipal bond that uses most of its funding to benefit private, non-public activities or private parties. A public purpose bond must fund a project that benefits the public at large and not private individuals. (from Investopedia)

To refuse (a loan or insurance) to someone because they live in an area deemed to be a poor financial risk. Source: Oxford Languages dictionary.

A real estate investment trust is a company that owns, and in most cases operates, income-producing real estate. REITs own many types of commercial real estate, including office and apartment buildings, warehouses, hospitals, shopping centers, hotels and commercial forests. Some REITs engage in financing real estate. Source

Reparations for slavery is the application of the concept of reparations to victims of slavery and/or their descendants, specifically in America.

Gains made for all when people come together across race.

“...Transformative solidarity can stretch me – and the cause – further. Here’s what that could look like: I persuade two friends to go to the march with me. I engage in a personal educational process to learn about the historical and ongoing effects of white supremacy. I organize a session in the race/faith community I belong to about how we too perpetuate anti-Black racism and why we must stop. I build relationships with Black Lives Matter leaders in my city to extend my support. I show up time and again for the events they hold with new people in tow who take similar actions. Meanwhile, the Black Lives Matter chapter has been continuing its work to deepen its base and to hold workshops and forums that center affected communities. With the support of a diverse range of stakeholders, the chapter successfully moves a policy platform forward over time. Transformative solidarity can take us much further and faster to our intended goals than transactional practices.” -Deepa Iyer, “Beyond Hashtags and Slogans: When Solidarity Becomes Transformative”

In 2015, all the countries in the United Nations adopted the 2030 Agenda for Sustainable Development. It sets out 17 Goals, which include 169 targets. These wide-ranging and ambitious Goals interconnect. Goal 3 is to ensure healthy lives and promote well-being for all at all ages. But it is also cross-cutting, so that progress in its implementation contributes to progress towards other Goals, and action on other Goals in turn contributes to attaining Goal 3. Most of the Goals also have some direct health targets. All of them have indicators by which progress can be measured. - Source

Discomfort and defensiveness on the part of a white person when confronted by information about racial inequality and injustice.

The belief that white people constitute a superior race and should therefore dominate society, typically to the exclusion or detriment of other racial and ethnic groups.

The amount of money brought in, e.g., interest from an investment or revenue from a tax return.

“[Heather McGhee] argues that Americans have been fed a “zero-sum story” that says progress for people of color will take away what white Americans already have. “The logical extension of the zero-sum story is that a future without racism is something white people should fear, because there will be nothing good for them in it,” she writes. McGhee uses the book to explain that racism actually costs all Americans, by allowing wealthy conservatives to take away resources from all of us.” —Time

GLOSSARY

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