2021 CSBS Community Bank Case Study Competition Journal

2021 COMMUNITY BANK CASE STUDY COMPETITION

3 RD PLACE

Southeastern Louisiana University

Liberty: Financial Freedom for All

Students: Lonica Wallace Sage Mulkey Greyson Labasse Guy Lecompte Hannah Henderson Faculty Advisor: Dr. Danielle Lewis, Joyce Junghans Professor of Finance

Liberty for All Liberty invests where their heart lives to pursue economic freedom for all. From the beginning, service, integrity, and a sincere interest in community drives Liberty (“There’s Freedom Here”). The development of underserved, majority minority communities with low-to-moderate income is the concern. In 1972, Liberty established the first multi-racially owned bank in New Orleans, LA, with the support of both black and white shareholders. Because it was particularly difficult for minorities to obtain financing, Liberty’s intent was to offer fair lending to all people. Liberty has been led by CEO Alden J. McDonald; then and now. He is the longest tenured African-American financial executive in the United States. Under his leadership, Liberty’s assets have grown from a mere $2 million in 1972 to $766 million in 2020. Liberty is a Minority Depository Institution (MDI), where not only 51% or more of its voting stock is held by minorities, but that the institution also serves predominantly minority communities. Liberty is also a designated Community Development Financial Institution (CDFI),

39