VersaFi (formerly WCM)’s research on representation targets for women and racialized persons confirms that support for targets, written policies and term limits has increased materially since the implementation of the OSC’s Comply or Explain. A survey of 500 capital markets professionals reveals the majority of respondents are strongly in favour of targets for executive and board roles and amending legislation to support rapid diversification of corporate boards.
Key Findings
92% of respondents are in favour of publicly listed companies adopting targets at both the board and executive level.
92% favour a written diversity policy for director nomination.
82% of respondents are in favour of a 10-year term limit.
Women on Boards: Global Trends in Gender Diversity on Corporate Boards
Research conducted for this report state that companies with women in strong leadership positions generate a return on equity of 10.1% per year vs. 7.4% without. The MSCI uses this business case to make the argument that quotas are necessary to reach the goal of 30% female representation in a timely manner.