Legal & General Investment Management (LGIM) has launched a fund that will invest in UK-listed companies that have larger numbers of women in senior roles.
The L&G Future World Gender in Leadership UK Index Fund tracks an LGIM-designed index of around 350 of the UK’s biggest companies that have achieved higher levels of gender diversity.
LGIM will score and rank companies according to the number of women on boards, in executive positions, in management positions, and in the wider company workforce.
Companies are expected to reach a minimum of 30% representation of women in these four measures. The scores are based on LGIM’s proprietary research.
LGIM said it would consider incorporating companies’ gender pay gap data as a potential fifth measure.
The fund will be available to individual investors through LGIM’s personal investing platform and also to financial advisers.
Clare Payn, head of corporate governance North America at LGIM, said: “Tapping into the most diverse talent pool is vital in a competitive and changing market for companies to remain relevant.”
She added: “Boards made up of just men, from the same socioeconomic backgrounds, cannot be the best forum for challenging debates.”
©2018 funds europe
