Public Concern About Immigration and Customer Complaints Against Minority Financial Advisors

We examine the relation between public concern about immigration and customer complaints against minority financial advisors in the United States. We find that minority advisors are more likely to receive complaints in periods of high public concern about immigration than in other periods, relative to their white colleagues from the same firm, at the same office location, and at the same point in time. This result holds for both complaints with merit and dismissed complaints and is more pronounced in counties where residents likely hold stronger anti-immigration views. We also find that minority advisors are more likely to face regulatory actions or leave their firms after customer allegations in periods of high public concern about immigration than in other periods. Overall, our study provides descriptive evidence of a positive relation between public concern about immigration and customer dissatisfaction with minority advisors. This paper was accepted by Suraj Srinivasan, accounting. Funding: K. K. F. Law acknowledges financial support from a Nanyang Technological University’s Start-Up Grant. L. Zuo acknowledges financial support from the Cornell SC Johnson College of Business and fromUniversity of Toronto RogerMartin Award for Emerging Leaders. Supplemental Material: Code is available at https://doi.org/10.1287/mnsc.2021.4283 .

• 저널Management Science · 68(11) · 8464–8482
• 토픽COVID-19 Pandemic Impacts · Economics and Econometrics
• DOI10.1287/mnsc.2021.4283
• 저자Kelvin Law, Luo Zuo