A slew of wealth management and asset management firms are pausing political donations in the wake of the deadly attack on the U.S. Capitol by pro-Trump supporters seeking to overturn the results of the election.
The policy changes could cut off some politicians from significant campaign funds and show how firms are responding to last week’s unrest, during which rioters injured dozens of police officers and killed one in an attempt to force their way into the building and stop certification of Joe Biden’s election victory.
Edward Jones said its political action committee, or PAC, would pause campaign contributions to all elected officials for the time being.
“The Edward Jones PAC has a long history of bipartisan advocacy & we want to ensure that any elected officials we support share the values and views of the firm,”
Edward Jones, which fields more than 19,000 brokers, is based in St. Louis. The company’s PAC gave $130,400 to Republican and Democrat candidates in 2020,
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Other firms are taking similar actions to that of Edward Jones. Bank of America, which owns Merrill Lynch, says it will review campaign donations in light of recent events.
“For upcoming elections, we will take into account the appalling events of Jan. 6 before making any PAC decisions regarding those members. We also will halt all PAC funding decisions for the immediate future while the new Congress and incoming Administration establish their priorities and help the country unite and move forward from the lows we all experienced on Jan. 6,” the bank said.
A majority of wealth managers worry about non-business concerns such as the national debt, immigration, civil unrest and media bias, according to a new survey.
The Bank of America PAC gave approximately $622,000 to congressional candidates in 2020, according to the Center for Responsive Politics. It did not donate to Sen. Hawley. The PAC’s biggest contributions went to Rep. Devin Nunes, a California Republican and close supporter of President Trump who received $17,000,
Charles Schwab said it would pause contributions from its PAC for 2021. The firm’s PAC had given more than $460,000 to federal candidates last year, and the biggest recipient was Senator David Perdue, a Georgia Republican who lost reelection earlier this month,
Neither Bank of America’s PAC nor Schwab’s gave to Senator Hawley last year, according to the center.
Wells Fargo says it “is committed to working together with our nation’s leaders to preserve our democracy and, as such, is reviewing its go-forward Political Action Committee strategy in light of the terrible and tragic events of last week,” according to a spokeswoman.
The bank has two PACs and gave more than $700,000 to federal candidates in 2020, according to the Center for Responsive Politics. The top recipient from either PAC was Rep. Ben McAdams, a Democrat from Utah and a
Other firms and industry organizations — such as the Insured Retirement Institute, the Financial Services Institute and Investment Company Institute — are also pausing contributions while they review their policies, according to spokespeople.
Ameriprise, which has more than 10,000 financial advisors, also said it would pump the brakes on political donations.
“Given the significance of recent turmoil for our nation, Ameriprise PAC has temporarily paused all political contributions. Ameriprise PAC is a bi-partisan, Congressional-focused PAC that does not use corporate funds to make political contributions and relies on voluntary contributions from employees and shareholders," a spokeswoman said.
--With additional reporting from Toby Salinger.
