Global software firm ServiceNow Inc. is putting $100 million behind efforts to support homeownership, entrepreneurship and neighborhood revitalization efforts in Black communities in 10 U.S. metropolitan areas, including San Diego.
The investment fund is set to be managed by RBC Global Asset Management’s impact investing team, the Santa Clara, California-based announced Jan. 26.
The fund comes more than six months after that start of a wave of similar corporate efforts from Silicon Valley’s tech giants, in both financial backing and other commitments.
“ServiceNow’s purpose is to make the world of work, work better for people, and we also have a tremendous opportunity to make the world work better, too,” said Gina Mastantuono, chief financial officer at ServiceNow. “2020 amplified the racial and socioeconomic inequalities disproportionately impacting Black communities across the country. With the ServiceNow Racial Equity Fund, we will expand opportunities to reduce the wealth gap for potentially thousands of U.S.-based individuals, families, entrepreneurs, and business owners.”
The ServiceNow Racial Equity Fund will buy smaller community loans to increase local banks’ lending capacity, the company said.
The fund initially will focus investments in Boston, Chicago, Dallas, Houston, New York, Orlando, San Diego, San Francisco, Seattle and Washington, D.C., all metropolitan areas where ServiceNow has a presence.
Founded in 2003, ServiceNow was founded in San Diego and moved its headquarters to Santa Clara in 2012.
San Diego remains its third-largest office location. A $3.5 billion global software firm (NYSE: NOW), it has more than 13,000 employees.