SEC READIES DIVERSITY GUIDANCE FOR ASSET MANAGERS
The U.S. Securities and Exchange Commission (SEC) has been examining whether to require asset managers to bolster disclosure of workforce and management diversity. In 2021, SEC Chair, Gary Gensler, asked SEC staff “to consider ways that we can enhance such transparency”. At that time, Gensler said fund managers may be required to disclose their diversity and inclusion practices when selecting other advisers. Banks and fund managers have been under pressure for years from investors and lawmakers to diversity their staff and leadership. It looks like now is the time, as the SEC is expected to release guidance imminently to promote diversity among asset managers.
The IIAC will report on any formal guidance as it becomes available from the SEC.