MELLODY HOBSON
Co-CEO and President of Ariel Investments and Chair of Starbucks — the most powerful Black woman in corporate America
Mellody Hobson is the co-CEO of Ariel Investments — the largest minority-owned mutual fund firm in America — and the chair of Starbucks. She is also married to George Lucas, which makes her one half of a couple worth $5 billion+. But Hobson did not marry her way to power. She grew up in one of the poorest neighborhoods in Chicago, joined Ariel as an intern at 18, and became president by 31. She has been a relentless advocate for financial literacy and diversity in corporate boardrooms. Her TED Talk "Color Blind or Color Brave?" has 5 million+ views. She is the most powerful Black woman in corporate America and she got there by being the most prepared person in every room.
Net Worth
$400 million
Nationality
American
Time Horizon
Long-Term
Risk Appetite
5 / 10
CAREER & BACKGROUND
Joined Ariel Investments as an intern at age 18 while attending Princeton. Became president of Ariel at age 31.
Promoted to co-CEO alongside John Rogers Jr. in 2019.
Ariel manages over $17 billion in assets and is the largest minority-owned mutual fund firm in America. Elected chair of the board of Starbucks in 2021 — the first Black woman to chair the board of an S&P 500 company.
Serves on the board of JPMorgan Chase. Previously served on the boards of DreamWorks Animation and Estee Lauder.
Regular contributor to CBS News covering financial literacy. TED Talk "Color Blind or Color Brave?" has been viewed over 5 million times.
Named to Fortune's Most Powerful Women and Forbes' Most Influential lists.
COMPANIES & ROLES
Ariel Investments (co-CEO/President), Starbucks (Chair of the Board), JPMorgan Chase (board member)
INVESTING STYLE & PHILOSOPHY
Hobson and Ariel practice patient, long-term value investing — the firm's motto is "Slow and Steady Wins the Race" (their mascot is a tortoise). The fund focuses on undervalued small and mid-cap stocks and holds them for years.
The approach is contrarian by nature — buying what others are selling. Hobson personally advocates for broad market investing and financial literacy for everyday Americans.
THE PLAYBOOK
Risk Approach
Moderate. Ariel Investments runs concentrated value portfolios which carry stock-specific risk.
But the firm's long holding periods and focus on fundamental value provide a margin of safety. Hobson personally takes calculated career risks — accepting the Starbucks chair role during a period of significant company controversy (unionization, political backlash).
Money Habits
Married to George Lucas (creator of Star Wars) since 2013. They live in Chicago and California.
Known for being one of the most disciplined and prepared executives in corporate America — she is famous for arriving at meetings with more research than anyone else. Active philanthropist through the Hobson/Lucas Family Foundation.
BIGGEST WIN
Building Ariel into the largest minority-owned mutual fund firm in America while simultaneously becoming the most prominent Black voice for financial literacy. The Starbucks chairmanship — first Black woman to chair an S&P 500 board — was a milestone for corporate America.
Her advocacy has influenced millions of Americans to start investing.
BIGGEST MISTAKE
Value investing has underperformed growth investing for extended periods, particularly 2010-2020. Ariel's funds have experienced stretches of underperformance relative to benchmarks during growth-dominated markets.
This is structural to the value investing approach, not a specific mistake.
FINANCIAL PHILOSOPHY
Hobson believes financial literacy is a civil rights issue. She has argued that the single biggest barrier to wealth creation in Black and Latino communities is not income — it is participation in markets.
She advocates for starting to invest early, staying invested through volatility, and using index funds or value funds as the foundation of a portfolio.
FAMILY & PERSONAL LIFE
Married to George Lucas. They have one daughter, Everest.
Hobson grew up as the youngest of six children in a working-class Chicago family. Her mother sometimes struggled to pay rent.
Hobson has spoken extensively about how that experience shaped her financial philosophy.
EDUCATION
Bachelor's degree from Princeton University, where she was student body president. No MBA — she learned investing at Ariel under John Rogers Jr.
BOOKS & RESOURCES
She is also influenced by John Rogers Jr., her mentor and Ariel co
CEO
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QUOTES (6)
I grew up in one of the poorest neighborhoods in Chicago. Now I chair the board of Starbucks. Financial literacy changed my life. It can change yours.
I joined Ariel as an intern at 18. I became president at 31. Nobody handed me anything. I showed up and I worked.
I am the first Black woman to chair an S&P 500 board. I would rather be remembered as the best chair, not the first Black one.
Be color brave not color blind. Pretending you do not see race does not make racism disappear. It makes it invisible.
Ariel's motto is slow and steady wins the race. Our mascot is a tortoise. In a world of hares we are proud to be boring.
The single biggest barrier to wealth in Black communities is not income. It is participation in markets. You have to be in it to win it.
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