- July 7, 2021
- Posted by: Stratford Team
- Category: Business
July 6 (Reuters) – Mutual fund boards would be required to disclose information on the gender and racial diversity of their directors under a rule change recommended to the top U.S. securities regulator.
The suggestion from an advisory subcommittee of the U.S. Securities and Exchange Commission, which would need further approval, goes further than subcommittee members had outlined in the spring and mirrors a growing focus from other quarters on the financial industry’s lack of diversity.
At present, there is “virtually no representation of women and minorities” on the boards that set policies across the $29.3 trillion U.S. mutual fund industry, Gilbert Garcia, chair of the subcommittee and managing partner of a Houston investment firm, said in an interview late on Monday.
Garcia said the subcommittee does not have a specific set of disclosures in mind, but said in general more data should lead to more diversity. “The theory is that by shining transparency…
