LGBT +, why companies that give pride of place perform better

LGBT +, why companies that give pride of place perform better

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Here is a study to get some ink. Very serious Swiss loan Produced a report on the performance of listed companies that add pride to LGBT +, lesbian, case, bisexual, trance and others

To this end, the Bank has established an “LGBT-350”, the market capital-weighted basket of about 350 listed companies, selected for the approach of recruiting LGBT + individuals into their company based on the presence of LGBT + senior executives publicly voted on as key LGBT + employers or external sources. A basket of French people like Capcomini, Schneider Electric Sanofi, Accenture or a basket we have never seen with Apple, Amazon and Tesla.

Key results of the report?

The first asset of companies that take an effective approach to recruiting LGBT + individuals is that they attract more talent. 72% of “LGBT + allies” say they are more likely to go to work for an organization that supports equality.

The economic weight of the LGBT + community is also significant. The consumer of this movement is 5 to 10% of the population.

Credit Suisse estimates that the consumer spending on sexual minorities will be $ 5.6 trillion. If LGBT + were an economy, it would be the third largest economy in the world.

Analysts find the best stock price performance of companies including LGBT +.

To eliminate potential sector biases, Credit Suisse performed its LGBT-350 analysis by combining its sector weights with the MSCI AC Global Index. Credit Suisse observes that companies, including LGBT individuals, have surpassed the MSCI AC global index by 378 basis points since 2010 (excluding CS LGPT-350 basket-making stocks).

By examining the financial performance of the companies in the index, the bank found that their revenue growth and cash flow returns were higher than the other components of the MSCI AC Global Index.

LGBT + shares are discounted

However, Credit Suisse has found that the LGBT-350 universe is trading at a 10% discount on the stock price, despite excellent stock returns and key financial metrics. CQFD: Companies in this index offer a good buying opportunity in the stock market.

Furthermore, it highlights the 29 companies in the Credit Choice Index and their historical performance. Capgemini and Schneider Electric have average, quality, momentum, rating and ESG scores on these 29 companies.

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About the Author: Cory Weinberg

"Alcohol evangelist. Devoted twitter guru. Lifelong coffee expert. Music nerd."

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