Unlocking Racial Equity in UK Public Market Investments
The Racial Equity Scorecard evaluates the racial equity performance of UK companies, enabling investors to act in public markets and companies to respond directly within their own organisations.
It is free to use, and support packages are available.
It is delivered in partnership with The SociaI Investment Consultancy (TSIC) and the EIRIS Foundation.
“Our mission is to mainstream racial equity in the impact investing sector. A missing piece of the equation has been – how do we understand and screen for racial equity, among investments?”
Bonnie Chiu
Co-founder of Pathway Fund, Managing Director of The Social Investment Consultancy
There is a clear ethical imperative and commercial logic to ensuring racial equity not just in investment but within organisations.
Responsible and racially equitable investment delivers long-term value to all stakeholders, minimises negative impact on society, generates higher equity returns and higher market performance, and improves talent acquisition and employee engagement. Diversity and racial equity stimulate creative thinking and perspective, which in turn can drive better-performing investment decisions.
Why should companies and investors use the scorecard?
Confident investment decision-making
- Portfolio assessment: measure and understand the impact of a portfolio or investment
- Optimise product performance: select the best performing companies
Enhanced reporting and disclosure
- Report on racial equity within your organisation/portfolio
- Track progress over time within your organisation/portfolio and against peers
High performance and return
- Improve return on investment by building a diverse and inclusive portfolio
- Attract the best talent to your company
- The McGregor-Smith Review (2017) estimated that greater focus on racial equity could potentially add £24 billion to UK GDP
Racial Equity Scorecard provides a practical tool to evaluate racial equity performance within investment. The scorecard can be used for portfolio analysis, reputational risk management, and to assess directly, companies, asset managers or funds based on their strategies and actions taken to advance racial equity.
The scorecard contains 19 metrics across five themes for companies and can be used either as a standalone tool or to complement other environmental, social and governance (ESG) and diversity, equity and inclusion (DEI) metrics and benchmarks.
There are four additional metrics specifically for asset owners with investment portfolios and asset managers in financial services. However, the scorecard is designed to be used in any sector or industry, with just one theme, Business Model, being sector-specific. Each metric is scored using a points-based system, making it easy to evaluate your business.
Launch Event of Racial Equity Scorecard
Delivering Racial Equity in the UK public markets – 1 Feb 2024
If you missed our launch event on 1 Feb 2024 or want to revisit the discussions with the creators of the Scorecard, please feel free to watch the recording here.
The speakers featured in the event were:
- Dilys Winterkorn, Project Director of Pathway Fund
- Bonnie Chiu, Co-Founder of Pathway Fund and Managing Director of TSIC
- Peter Webster, CEO of EIRIS Foundation
- Lisa Hayles, Director of International Shareholder Advocacy at Trillium Asset Management and Peer Reviewer of the Racial Equity Scorecard
Download the Scorecard now
Get in touch.
For further information and support on how you and your organisation can benefit from the Racial Equity Scorecard, please contact us.