Value Creation in Private Equity via diversity

Natividad Sierra, with a 20-year career in the private equity sector in Spain and currently a member of the Managing Committee of Level 20 in Spain, has collaborated in the article published by CapCorp magazine

Diversity and inclusion is a hot topic in all sectors.  Several researches showed that diverse teams generate higher returns and enhance creativity and innovation.  Level 20, a European non-profit organization, aims to encourage women to develop their professional careers and reach managerial positions in the private equity sector.  Since it was established in Spain in 2018, Level 20 has implemented different activities, as explained by the Managing Committee, led by Maite Ballester.

Diversity is increasingly valued and demanded by institutional investors in private equity, as it reinforces any company’s brand and reputation in the eyes of its stakeholders. Natividad Sierra, Head of Investor relations at Corpfin Capital, explains that “companies with diversity policies attract the best talent, male and female, nurturing the virtuous circle: to greater diversity, greater diverse talent and greater value creation. Although generating the best possible returns is the main objective, diversity determines the team culture and its ability to offer differentiated perspectives on how to solve problems and make decisions in portfolio companies”.