The Street had two recent articles about the poor diversity records of Wall Street’s most powerful firms. Many thanks to Bradley Keoun and Anders Keitz for their superb reporting on this.
Goldman Sachs Group Inc. (GS) is an old boys’ club — in the boardroom.
The Wall Street firm, which publicizes its efforts to promote women entrepreneurs around the world and hire more female professionals, has just two women on its 11-member board of directors. The percentage of female directors, at 18%, ranks the firm 358th in the Standard & Poor’s 500 Index of large U.S. companies, according to an analysis by BoardEx, a relationship-mapping service of TheStreet Inc. The ratio also pales in comparison with that of some other big U.S. financial firms, including Wells Fargo & Co. (WFC) at 42%, Bank of America Corp. (BAC) at 33% and Citigroup Inc. (C) at 31%.
For a firm that prides itself on cutting-edge investing savvy, Goldman’s record on boardroom gender diversity looks increasingly behind the times – potentially hurting its own shareholders, since a growing body of research has shown that boards with more women are better at decision-making and bring higher financial returns.
J.P. Morgan Chase:
JPMorgan Chase & Co. (JPM) Chairman and CEO Jamie Dimon talks a lot about promoting women’s careers.
He frequently touts the fact that half of the 10 executives on his seniormost leadership team are women, and 50% of the largest U.S. bank’s total employees are female. JPMorgan offers more than 20 support groups for female staffers, provides generous parental leave benefits and sponsors programs to encourage more women to choose technology-related careers.
But it stops at the very top: On JPMorgan’s board of directors, women are fewer than a few.
Only two female candidates appear on the ballot for election to the 12-member board of directors at the company’s annual shareholder meeting Tuesday. That works out to a 17% ratio, ranking in the bottom fourth of the Standard & Poor’s 500 Index of large U.S. companies.