Why Diversity Should Matter to Investors

The evidence.

Consulting firm McKinsey & Company has been a leader in researching the subject. Its 2018 report, “Delivering through Diversity,” suggested greater diversity across genders and ethnicity was strongly correlated to higher profitability and value creation. A diverse company can help attract top talent, improve customer propositions, and develop better decision-making methodology.

Examples in action.

Off hand, I can think of a few instances where I see how the diversity story could play out in a company’s success, or how a lack of it could contribute to risky behavior and financial losses.

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