Infrastructure
| Sector | Infrastructure |
| Sub-sector | Diversity, Equity, and Inclusion |
| Location | Global |
Despite a rapidly changing work landscape, the business case for DEI not only remains robust but has become more compelling. This is supported by the growing correlation between a company's performance and its emphasis on DEI. Workplaces that prioritise and embed DEI principles are proven to foster heightened innovation, enhanced employee satisfaction, more effective decision-making, and superior financial outcomes.2
One of the minimum standards is the development and board approval of DEI strategies that are customised for each portfolio company's unique context. MAM facilitates this through workshops, consultancy sessions, and by sharing industry best practices.
MAM has established a regular reporting system for DEI progress, providing the necessary tools for in-scope portfolio companies to communicate their progress. Furthermore, it aids in the collection and analysis of DEI data, emphasising the importance of transparency and measuring progress on factors such as gender pay equity and representation.
A key aspect of MAM's strategy includes improving board diversity. MAM leverages its network to propose board candidates that identify as underrepresented, working with the in-scope portfolio companies to optimise the board's effectiveness through a composition of diverse perspectives and talents.
Outcome
The implementation of a DEI strategy across in-scope Real Assets portfolio companies4 supported an uplift in the percentage of companies adopting a board-approved DEI strategy by 8 percentage points from 65 per cent to 73 per cent.
Gender diversity on boards and at the C-suite level of portfolio companies have both experienced an increase of 3 percentage points, from 19 per cent to 22 per cent, helping to enhance representation of women in key decision-making roles. These incremental improvements are indicative of a broader, positive trend towards creating more equitable and inclusive work environments across MAM's portfolio companies. We look forward to sharing our progress as we continue to support DEI initiatives across our portfolio.
Head of MAM DEI hired
people employed by portfolio companies5
of in-scope Real Assets portfolio companies have board-approved DEI strategy6
An effective Diversity, Equity, and Inclusion (DEI) strategy is not a standalone endeavour; it is a vital thread woven into the very fabric of a business strategy. At the heart of our approach with our more than 170 portfolio companies is an understanding that no two DEI strategies can be identical, just as no two businesses are.”
Johnathan Medina
Head of Diversity, Equity and Inclusion
Macquarie Asset Management
1. Number of employees and contractors associated with MAM infrastructure assets as at 31 March 2024.
2. Boston Consulting Group, ‘It’s Time to Highlight the Business Opportunity of DEI Initiatives’ 5 March 2024; McKinsey & Company, ‘Diversity matters even more: The case for holistic impact, 5 December 2023’; Paul Gompers and Silpa Kovvali, Harvard Business Review, July–August 2018 Issue, The Other Diversity Dividend.
3. This is for MAM Real Assets fund assets excluding Balance Sheet assets, companies that are acquired less than 18 months, Korean assets, assets that are undergoing divestment process and/or have no employees.
4. As at 31 December 2023. This is for MAM Real Assets fund assets excluding Balance Sheet assets, companies that are acquired less than 18 months, Korean assets, assets that are undergoing divestment process and/or have no employees.
5. Number of employees and contractors associated with MAM infrastructure assets as at 31 March 2024.
6. As at 31 December 2023. This is for MAM Real Assets fund assets excluding Balance Sheet assets, companies that are acquired less than 18 months, Korean assets, assets that are undergoing divestment process and/or have no employees.
At Macquarie Asset Management, we view sustainability as part of our fiduciary duty to protect and grow our clients’ assets. This focus also helps us generate positive outcomes for our investee companies and the communities they serve. Our latest Sustainability Report outlines the progress we have made over the past financial year.
