This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Get More Women on Boards: Opinion

NEW YORK ( TheStreet) -- Presumptive Republican nominee Mitt Romney's choice of Rep. Paul Ryan of Wisconsin as his running mate means it's highly unlikely a women will be on a U.S. presidential campaign ticket from either major political party in 2012. That's too bad.

I'm not one who would vote for somebody, or hire them, based on gender alone but when more women occupy positions of power it's a sign of progress. In case you haven't noticed, our leaders in government and business -- generally speaking -- haven't been doing a very good job, and those arenas are largely dominated by men.

Remember when Wall Street, an industry that is overwhelmingly male, was bailed out of financial ruin by the U.S. government? Coincidence? I think not.

Data from a recent study by the Credit Suisse Research Institute backs me up. It showed that shares of companies with a market cap of more than $10 billion and with women board members outperformed those of comparable companies with all-male boards by 26% worldwide over a six-year period that included the global financial crisis.

That's a wide margin. What accounts for it?

The authors of the report told Bloomberg News that companies with women on their boards tend to be more risk-averse and have less debt on their books. Moreover, corporate boards that include women exercise more diligent oversight. They have better attendance records and they invest more efforts into auditing -- a key role of a corporate board that is too often neglected.

I could bore you with the complexities of the data and the rigor of the analysis that supports these findings, but is that really necessary? I don't know what planet you live on, but here on Earth this all seems like common sense to me. It's abundantly clear that we need more women in the halls of power.

In fact, I'd wager that if men stepped aside tomorrow and women took over all the positions of public power in the world, it would be a dramatically better place to live in short order. I recognize that's not going to happen anytime soon, but as an investor I certainly look for female leadership -- not only in the boardroom but also in the executive suites of the public companies in which I am a stockholder.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $95.03 0.21%
FB $116.73 0.00%
GOOG $691.02 0.00%
TSLA $247.54 -0.07%
YHOO $36.59 0.00%


Chart of I:DJI
DOW 17,830.76 -210.79 -1.17%
S&P 500 2,075.81 -19.34 -0.92%
NASDAQ 4,805.2910 -57.85 -1.19%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs