More women is better. Well, that’s the theory. Studies conducted by the likes of Goldman Sachs, the UN and McKinsey have suggested that greater gender balance in the boardroom improves financial results. That, in turn, has encouraged various countries to consider quotas. Norway went first, requiring listed companies to reserve 40 per cent of board seats for women from 2008. Spain and France have followed, setting targets for 2015 and 2017. Germany and the UK are now considering the idea. Even the European Union might consider mandatory measures if its call for voluntary action does not catch on. So how are women doing when it comes to steering companies through choppy recessionary waters? That’s not so clear.
Take the UK. Thirteen companies in the FTSE 100 and 250 indices have female chief executives. Seven of those have outperformed the FTSE All-Share, on a total return basis, over the past year (to December 22). That happens to be the average.
Spreading the exercise into Europe is more difficult. There are no female bosses at France’s CAC 40 companies and the best-known torchbearer there was Areva’s Anne Lauvergeon. She left in July and her (male) successor quickly announced a very large asset writedown. In Germany, Ines Kolmsee runs steel and iron refiner SKW Metallurgie but that has been a sorry underperformer against the broad CDAX index.