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Diversity has been linked to innovation, financial performance, loyalty and retention, according to a growing body of research.

A 2018 McKinsey study found that ethnic and cultural diversity at the executive and board level correlated with stronger profitability. A 2016 MSCI study, analyzing US companies over a five-year period, found that having at least three women on the board represented a “tipping point” of influence that was reflected in financial performance.

Companies may choose to publicly report on diversity data across a range of demographic categories including age, gender, race, ethnicity, sexual orientation or identity (LGBTQ status), disability, or some combination thereof. Companies may also disclose diversity data by different employee groups, function, seniority, or employment status.

As of February 2021, 76% of the 2,337 constituents of the MSCI USA Investable Market Index (IMI) disclosed workforce breakdown by gender, and 26% disclosed by race or ethnicity.

We encourage greater levels of company disclosure as a starting point on the path to greater board and workforce diversity, equity and inclusion, and ultimately, long-term value creation.

Disclosure by Gender and Race/Ethnicity

 

Disclosure of Employee Breakdown by Gender and Race/Ethnicity

This chart includes the 2,327 constituents of the MSCI USA IMI as of February 2021. Source: MSCI ESG Research LLC.

 

Racial and Ethnic Diversity

Over the past year we have seen the issue of racial justice come into sharp focus in the United States and around the world. As a result, we have seen growing interest from institutional investors in data on companies’ racial and ethnic diversity practices.

MSCI ESG Research offers metrics on Racial and Ethnic Diversity for US companies in these three categories:

  1. Board and Workforce Quantitative Data
  2. Diversity Policies, and
  3. Qualitative Metrics

For questions about this data, or interest in gaining access to the data, please get in touch.

Contact Us

 

Explore our Racial Diversity Insights


Race & Ethnicity Disclosure: A Rocky Start for US Companies

Race & Ethnicity Disclosure: A Rocky Start for US Companies

Companies with sustained board diversity had stronger three-year reductions in carbon-emissions intensity than their sector peers.

Gender Diversity

 

Gender Diversity

We have reported annually on the state of women’s representation on corporate boards since 2009. Our research shows that it may take until 2029 for women to comprise 30% of corporate boards, and until 2045 to reach 50%.

Explore our Gender Diversity Insights


Women on Boards: 2020 Progress Report

Women on Boards: 2020 Progress Report

MSCI ESG Research has reported annually on the state of women’s representation on corporate boards since 2009.

The Rise of Women on Boards

The Rise of Women on Boards

When will we reach 30% directors of publicly traded companies around the world?

Women on Boards: The Hidden Environmental Connection?

Women on Boards: The Hidden Environmental Connection?

Our most recent study of gender diversity on boards found that progress in this area is slowing.

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