Diverse Talent, Expansion Efforts Continue In Asset Management Industry
The Milken Institute launched its Historically Black Colleges and Universities Strategic Initiative and Fellowship Program on Feb. 17.
By now, most know that less than 2% of the U.S.-based investment management industry’s $82 trillion in assets is handled by diverse managers. Maybe less know that historically Black college and university endowments make up an even smaller percentage of higher education endowments nationally.
Succession can be a difficult road for many investment management firms and when that succession includes replacing the firm’s co-founder – who is also your father – that responsibility can be overwhelming.
During the peak of the global COVID-19 pandemic, it felt as though events like in-person conferences would never return to normal.
Emerging managers in Canada are increasingly seeking support from the C$400 million Quebec Emerging Manager Program, a fund-of-funds program that granted mandates to five firms within the province this past year.
Many nonprofits have set ambitious goals for allocating more of their portfolios to diverse-owned asset managers in recent years, with many publicizing the efforts and progress as they go along.
The past year may prove to be an inflection point for transparency in the investment management space, though changes remain incremental.
Regulators such as the Securities and Exchange Commission have stalled on diversity-related recommendations due to the amount on their plate and lack of prioritizing such efforts, though industry experts believe adding pressure will lead to additional change.