Women are drastically under-represented in fund management

Findings from Morningstar's annual report on women fund managers in the asset management industry.
By Morningstar |  06-03-22 | 
 

Success for women has been a struggle throughout history. However, the challenges have not stopped women from making incredible achievements in every single field – business, entrepreneurship, politics, science, technology, sport and finance.

While women have a long way to go, and newer paths to navigate, they are consistently breaking the quintessential glass ceiling and rising up as strong leaders.

Morningstar Investment Adviser India brings out an annual report on women fund managers in the asset management industry. This is an attempt to acknowledge the presence and highlight the achievements of women in this space and share a perspective on gender diversity in the industry.

Here are some insights from the latest report.

The total number of fund managers witnessed a healthy increase, up from 376 managers seen last year to 399 currently.

However, the count of women fund managers rose from 30 to just 32. These 32 could be primary or secondary fund managers, or have oversight as heads of equity or debt, and are spread across 19 fund houses.

With a meagre 8% representation, women still remain drastically under-represented among the ranks of mutual fund managers.

The amounts mentioned are in Rs/cr. Data is an on January 31, 2022. Source: Morningstar Direct. Click on images to enlarge.

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Scrutinizing the data further throws up some interesting bright spots especially related to fund performance. The report revealed that of the total open-ended assets managed by women fund managers, 69% of the AuM outperformed the peer group average on a 1-year basis, 96% of the AuM outperformed on a 3-year basis and 69% of the AUM outperformed on a 5-year basis - a feat truly worth commending.

A look at findings of the report over the past years. 

2021: A total of 30 women fund managers, either as primary/secondary managers or heads of equity/fixed income. They constitute 8% of the industry and cumulatively manage assets worth Rs 4.11 lakh crore.

2020:  A total of 28 women fund managers, either as primary/secondary managers or heads of equity/fixed income. They constitute 8% of the industry and cumulatively manage assets worth Rs 3.59 lakh crore.

2019: A total of 29 women fund managers, either as primary/secondary managers or heads of equity/fixed income. They constitute 8% of the industry and cumulatively manage assets worth Rs 3.41 lakh crore.

2018: A total of 24 women manager managers, either as primary/secondary managers or heads of equity/fixed income. They constitute 8% of the industry and cumulatively manage assets worth Rs 30,650 crore.

2017: A total of 18 women fund managers, either as primary/secondary managers or heads of equity/fixed income. They constitute 7% of the industry and cumulatively manage assets worth Rs 2,320 billion.

2016: In Brazil, India, Germany, and the U.S., the local rate of women-managed funds is below the global standard.

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