Most financial types like me, present diversity as diversification in terms of asset classes (stocks vs. bonds), countries (Canada vs. the rest of the world), industries/sectors (energy vs. banking) and/or different types of investment managers.
However, I suggest we look at diversity in an additional way.
The enclosed study was published in 2012 by Credit Suisse. Please read it to gain your own perspective. However, in summary, of the all of the major corporations globally from 2005 forward, those with women on their boards were profitable (including through 2008) while those corporations without women on their boards, were not. And corporations with more than one woman on their boards (optimal is three or more) made a higher rate of return for their shareholders than the other corporations.
Now, it is impossible to attribute all the success to the women on the boards. What I believe is that the corporations with more female diversity, were, and are, open to diverse thoughts and opinions. Therefore these corporations are better prepared for what come their way in terms of opportunities as well as obstacles.
Thus as an investor, which companies are your investment managers investing in? Do they consider diversity? Do they even know about it within the companies they are invested in? How are the investment managers structured in terms of diversity within their own firms? What does diversity mean to you? What does it mean to the people you invest with?
Diversity to me, means all types of men and women from all cultures across the world. The world is not standing still and with the advent of technology, change is happening at an even faster pace. Diversity, I believe, is an ingredient to keep up and perhaps stay ahead of the curve.