Welcome to Naissance Capital, a socially-responsible Swiss hedge fund that invests in companies which have a high representation of women in the boardroom.
Well sure it helps promote women as business leaders, but it’s also because having more women in a company leads to better investment performance!
For example, women help prevent the ‘The Julius Caesar Problem’ whereby an ‘Alpha Male CEO’ ‘bends the rules, cheats if necessary’ and ‘eventually causes the company’s destruction.’ They even claim that gender diversity ‘can guard against six sigma events, ie. AIG, Lehman.’
Despite the noble cause, this fund seems to be leaning a bit on women as a marketing gimmick. Sure it can help to promote women as executives, but at the same time they’re using our good-intentions towards gender rights as a marketing tactic to stand out from the competition. They also charge a 1.5% management fee, and 10-20% performance fee, so it’s not like they are doing this work out of the good of their hearts.
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