Slowly but steadily, investors are letting corporate boards know that “male, pale and stale” doesn't cut it anymore.
The small but growing number of shareholder votes on diversity proposals is on pace to match or exceed the record set last year, according to data compiled by ISS Analytics, which tracks proxies. Apple and Tyson Foods investors already rejected such proposals, and another eight are in the queue.
The $309.7 billion California Public Employees' Retirement System has made diversity proposals a priority in its proxy voting, aiming to break companies “out of the group think of male, pale and stale,” said investment director Anne Simpson. “As evidence grows on this and fund managers focus on building diversity even in their own organizations, I think we're going to see support on this moving up.”
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