Photo By: Mark Lennihan/ASSOCIATED PRESS
Written By Dave Michaels
Regulators should find ways to make the asset-management industry more inclusive of minority- and women-owned firms, a diverse group of investors told the Securities and Exchange Commission on Thursday.
Asset managers have lagged behind other industries in hiring a more diverse workforce and providing opportunities for minority-owned firms to manage client money, panelists told the SEC at a public meeting of an industry advisory committee. Firms owned by minorities and women manage just 1.1% of the $71 trillion in assets under management, according to research by the Knight Foundation published in 2017.
Investors recommended pushing for more disclosure of diversity policies and practices and investigating signs of discrimination and bias that affect opportunities for minority-owned firms.
A range of U.S. corporations have become more outspoken about racism and bias since the killing of George Floyd inspired nationwide protests and focused Americans’ attention on the problem. Wall Street companies from BlackRock Inc. to Goldman Sachs Group Inc. have said they would promote greater racial equality inside and outside of their organizations.