Nordea On Your Mind: Diversity As a Value Driver
From Nordea Markets. Companies with a more gender-balanced leadership have more stable returns. That’s the result of an analysis by Nordea Markets based on a sample of 100 Nordic blue-chip companies that examined how gender diversity affects the performance, and hence value, of large companies.
The results, reported in the February 2018 issue of Nordea On Your Mind, showed that the companies with the most gender-diverse management had 40 percent lower volatility in ROCE (return on capital employed). The companies in the study with more gender-diverse boards of directors also had significantly lower volatility in returns, although the results were most striking at the group management level.
Addressing Gender-Based Violence and Harassment: Emerging Good Practice for the Private Sector
From the International Finance Corporation (IFC), the European Bank for Reconstruction and Development (EBRD), and CDC Group. This note outlines emerging practices in addressing gender-based violence and harassment (GBVH) in operations and investments. These practices are drawn from recent experience in the private sector, as well as a larger body of work from the non-profit sector. The guidance provides an opportunity to engage with stakeholders to refine practices as those in the private sector collectively gain implementation experience.
In addition to this note, sector-specific briefs provide targeted guidance on addressing GBVH risks in key sectors, including transport, construction and manufacturing.
Private Equity and Value Creation: A Fund Manager's Guide to Gender-Smart Investing
From the International Finance Corporation (IFC) and CDC Group. More clarity and guidance is needed by fund managers to understand how to put gender-smart investing into practice. To fill this knowledge gap, IFC, in partnership with CDC and support from the Government of Canada, developed Private Equity and Value Creation: A Fund Manager’s Guide to Gender-smart Investing. The Guide is a practical step-by-step road map for fund managers on how to strengthen gender diversity within their own firms and incorporate a gender focus into investment operations. It combines learnings from CDC and IFC’s experience with over 160 fund managers and draws on best practices with a series of case studies from stakeholders across the industry.
Addressing Gender-Based Violence in Kenya Through Targeted Investments
From Criterion Institute. Impact investors who want to promote women’s economic empowerment must address gender-based violence as part of their strategies, given how high rates of violence are in Kenya. Impact investors have the power to address both violence and broader economic empowerment by incorporating a gender-based violence lens in screening, structuring, and analyzing investments. The coordination of their efforts will enable finance to reduce gender-based violence in Kenya.
Incorporating a Gender-Based Violence Lens in Development Finance Institutions and Multilateral Development Banks' Infrastructure Investments
From Criterion Institute. Gender-based violence is material to infrastructure investments. Infrastructure projects designed without a gender lens can lead to unintended consequences, including higher rates of violence; at the same time, well-designed projects can decrease violence and help countries meet development objectives. Institutions can design their investment processes to incorporate a gender-based violence analysis and get to better outcomes.
Financing the Reduction of Gender-Based Violence Through a Private Investors' Lens
From Criterion Institute. Private investors have the power and flexibility to move capital to address gender-based violence and/or flow resources towards survivors to shift how financial systems support the reduction of gender-based violence. This Roadmap from Criterion Institute invites private investors to imagine how to shift power dynamics within financial systems to finance the reduce the reduction of gender-based violence.
Common Standard on GBV for Public Companies
From Criterion Institute. This Roadmap outlines creating standards and an investment framework that enables public investors to screen companies for potential operational upside and reputational risk related to gender-based violence.
Putting Finance to Work for Gender Equality and Women's Empowerment
From OECD. The Addis Ababa Action Agenda of the Third International Conference on Financing for Development commits development actors to a new way of thinking about financing for sustainable development, and official flows beyond Overseas Development Aid (ODA) are becoming an increasingly important feature. This OECD paper sets out an overview of the financing landscape for gender equality and women’s empowerment, a way forward in order to ensure more and better financing for gender equality, and some draft principles to guide future efforts.
10 Points Why Gender is Material to Investments in the Recovery
From Criterion Institute. Criterion Institute, in partnership with leading gender lens investors, has identified 10 evidence-based economic patterns and translated them into investment opportunity and risk. Understanding these patterns is critical for investors of all kinds to understand short- and long-term risks, uncover hidden opportunities, and invest to capitalise on both. Understanding these will enable government and impact investors focused on recovery to invest better for the outcomes they seek.
The State of Black Women During COVID-19
From Digital Undivided. In response to the COVID-19 pandemic, Digital Undivided set out to gain a more holistic understanding of the short and long-term implications on Black women entrepreneurs. This report is a snapshot of the experiences of 1,157 Black women who have applied to the fund, thus far.
The State of Black Women Founders: Project Diane 2018
ProjectDiane2018 is a biennial demographic study authored by digitalundivided that provides a snapshot of the state of Black Women Founders, and the startups they lead, in the United States
Race Influences Professional Investors’ Financial Judgments
From PNAS. Two Stanford researchers find evidence of racial bias in the investment decisions of asset allocators, who manage money for governments, universities, charities, foundations, and companies. This bias could contribute to stark racial disparities in institutional investing. In general, asset allocators have trouble gauging the competence of racially diverse teams. At stronger performance levels, asset allocators rate White-led funds more favourably than they do Black-led funds. At weaker performance levels, asset allocators actually prefer Black-led teams to White-led teams. However, asset allocators are unlikely to invest in weaker funds, diverse or otherwise. These results suggest that beyond racial disparities in the pipeline, there are additional systemic racial disparities in how investors evaluate funds and allocate money.
Measuring the Representation of Women and Minorities in the SBIC Program
From the US Small Business Administration. This report addresses key questions comparing the diversity and performance of Small Business Investment Companies (SBICs) with the broader VC and PE community, and asks whether diverse SBICs are more likely to invest in diverse portfolio companies or in low- and moderate-income communities.
Mainstreaming Gender in Green Climate Fund Projects
From Green Climate Fund (GCF). This manual addresses GCF’s potential to mainstream gender into climate finance, building on its mandate to support a paradigm shift to low-emission and climate-resilient development. Developed with UN Women, this toolkit guides GCF partners on how to include women, girls, men, and boys from socially excluded and vulnerable communities in all aspects of climate finance.
Applying a Gender Lens to Climate Risk Finance and Insurance
From InsuResilience Global Partnership. The aim of this paper is to explore the link between gender and disaster risk financing and insurance – with special focus on Climate Risk Insurance (CRI) – and potential challenges and opportunities for women; provide a stock take of existing CRI schemes that incorporate gender; and set out recommendations on how to further mainstream this topic within the Partnership.
Women Create a Sustainable Future
From the Center for Responsible Business. This study addresses whether the presence of women at the top positively affects the environmental and social impact of a firm. It explores a potential relationship between women leaders and sustainable business practices—environmental, social and governance.
Integrating Gender in Cities Projects
From IFC/CommDev. This note highlights how increasing gender inclusivity in urban development projects is a key factor in achieving development and investment outcomes.
Profiting from Parity: Unlocking the Potential of Women's Businesses in Africa
From the World Bank Group’s Africa Gender Innovation Lab and the Finance, Competitiveness and Innovation Global Practice. This report seeks to focus attention on the challenges that Africa’s women entrepreneurs face and identify practical solutions.
Pocket Change: How Women and Girls of Color do More With Less
From Ms Foundation. This report asks critical questions of philanthropy and donors: How is philanthropy supporting or not supporting women and girls of colour? Are philanthropic practices in alignment with the breadth of advocacy and services that women of colour-led organizations actually provide? How can we change our practices to centre women and girls of colour in our giving and hold ourselves accountable?
Gender Smart Financing Investing In and With Women: Opportunities for Europe
From the European Commission. This discussion paper argues that empowering women as founders and investors is crucial to the achievement of the InvestEU goals. InvestEU is the new investment programme to be launched in 2021 under the 2021-2027 multiannual financial framework and financed by the Next Generation EU, aimed at mobilising private and public investment in Europe for more sustainable, inclusive and innovative growth.
Women tend to be associated with long-term, patient capital and more social-impact investment. Women’s wealth is on the rise and represents a huge economic opportunity to accelerate change towards a more diverse and sustainable financial system.