Nikolaj Tangen, chief executive of Norway’s sovereign wealth fund, the world’s largest such fund, said on Wednesday he was concerned by growing signs of opposition to diversity at the top of organizations in the United States.
Asked about the recent controversy at the prestigious Harvard University, where its first black president resigned amid a racism scandal and allegations of plagiarism, Tangen said corporate America could be the next target for those who oppose efforts to promote diversity.
“There [în Statele Unite] something could happen, it could follow the evolution we’ve seen in climate backlash,” he said. “This would be a negative development of events,” the Norwegian director emphasized.
His new comments come after he expressed concern last year that US investors could become less concerned about the risks that climate change poses to businesses.
He also stated that having a diverse board facilitates better discussions and therefore better decisions.
“There’s a good reason why you want diversity on boards, and if there’s a backlash against that development, that’s going to be a negative development,” Tangen said.
Norway’s sovereign wealth fund manages more than $1.5 trillion in assets
Harvard University President Claudine Gay resigned in early January after just 6 months at the helm of the institution following a storm of controversy she sparked by refusing to strongly condemn anti-Semitic demonstrations on campus.
Some of her critics, including billionaire Bill Ekman, charged that one of the reasons she was elected president of Harvard University had more to do with her efforts to promote diversity than her competence.
Norway’s sovereign wealth fund manages $1.6 trillion in assets worldwide, equivalent to $281,000 per Norwegian citizen.
Starting in 2021, the fund requires companies in which it considers investing to have at least 30% women directors and, in the case of advanced economies, at least two women on their boards of directors.
The exception is Japanese companies, which must have only one woman on the board.
Source: Hot News
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