In Brief

abrdn to push for DEI in portfolio companies

The firm will vote against companies lacking ethnic diversity

abrdn is planning to vote against boards that don’t have at least some racial or ethnic diversity, the company stated Monday.

In a statement, the company said it “formalized our intention to require boards of our investee companies in the S&P 1500 and Russell 3000 to have at least one racially or ethnically diverse member, otherwise we will vote against or withhold from the re-election of the nomination committee chair.

“In addition, we will continue to take voting action on all-male boards with a higher expectation of 25% female representation on large cap company boards. We will look to increase this expectation to 30% in 2023.”

The company, formerly known as Standard Life Aberdeen, noted companies with diverse workforces and cultures can attract top job candidates and thus lead to stronger productivity and financial performance.