View more on these topics

Pimfa: Diversity is vital to attracting talent

Diversity and inclusion are a key issue for the financial services sector. Not only does getting it right positively impact the bottom line, but it affects the perception of our industry, which is vital given our need to attract talent.

McKinsey’s 2018 Delivering Through Diversity report found companies in the top 25 per cent for ethnic diversity were 33 per cent more likely to achieve above-average industry profits, and those in the top 25 per cent for gender diversity were 21 per cent more likely to. Other research backs this up.

Randstad’s 2018 Paying Attention report found the economy would be £24bn larger if those from black, Asian and minority ethnic backgrounds progressed in their careers at the same rate as white counterparts. It also highlights that men still hold more senior roles and earn around 9.4 per cent more than women. In 2016, Virgin Money chief executive Jayne-Anne Gadhia was asked to lead a government review of women in senior management roles. It found that more women were starting out in financial services than men but, as their careers developed, many left the industry, leaving the senior positions in male hands.

Responding to this, the Treasury launched the Women in Finance Charter as “a pledge for gender balance across financial services”.

Signatories agree to promote gender diversity by having at least one executive responsible for gender diversity and inclusion, setting targets for such actions, publishing progress annually against targets, and having the intention that the pay of executives is linked to the delivery of targets.

At our inaugural Wealth of Diversity conference last month, senior industry figures addressed the need for a more inclusive workforce. Economic secretary to the Treasury John Glen emphasised the government’s commitment to these issues and pointed to research that showed improving gender parity within the workplace could add £150bn to UK GDP by 2025.

FCA chief executive Andrew Bailey also underlined the regulator’s focus on culture and that firms’ approach to diversity and inclusion was a key part of that.

Research shows millennials want to work for diverse organisations and this, coupled with evidence that more inclusive management structures contribute positively to company profitability, indicates a clear direction of travel for the future.

But there is undoubtedly more to be done. We are actively working to help shift perceptions by highlighting the facts of the situation, so the industry can move beyond seeing gender parity and wider diversity issues as a tick-box exercise, and instead view them as a valuable resource, a strategic advantage and an economic boon.

I recently heard someone say that “diversity is being invited to the party; inclusion is being invited to dance”.

That is truly taking it beyond the tick-box exercise and maximising the business benefit.

Liz Field is chief executive at Pimfa


Delivering advice and guidance in the workplace

Three advisers share their ideas and experiences of helping employees with their financial decisions The workplace is instrumental in engaging people to save for retirement. How are advisers helping employers provide advice or guidance to their employees? Telephone guidance Financial education provider and advice firm Wealth at Work recently launched a telephone guidance service to […]

Adam Norris

There are few managing directors younger than Adam Norris of Pensions Direct, the pension arm of Hargreaves Lansdown. At 33, he has achieved a higher level in the industry than most do in their entire career. Since joining HL in 1999, Norris and his team have built up one of the most experienced and successful […]


9 in 10 customers cannot define “protection”

The industry must rethink the language around protection to give better support to intermediaries and boost public awareness, according to Legal and General. Research from the firm shows  just nine per cent of consumers associate the term “protection” with life or critical illness cover. A total 40 per cent of those surveyed thought “protection” referred […]

Artemis Global Income: favouring Europe over the US

With a 10 per cent return from his Global Income Fund in the first three months of 2015, Jacob de Tusch-Lec talks to journalist Alexis Xydias about the drivers and why he favours Europe and Asia over the US. Jacob believes European companies remain cheap and is still finding opportunities amid value stocks – in contrast […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm