LPs: ‘Aggressive culture’ puts women off GP roles

The “generally more aggressive” working culture at private fund management firms is putting women off a career on the investment side of the industry, according to a survey of investors conducted by Coller Capital.

One-quarter of LPs surveyed said the working culture at private equity firms was the reason there are more senior women at LPs than GPs, the firm’s Winter Barometer 2017 said.

Just over half, 53 percent, said the work-life balance was better at LPs than GPs, resulting in more senior women at the former, while 46 percent said that different recruitment and promotion practices at LPs compared with fund managers was responsible for the disparity.

However, the investor pool was optimistic about women’s prospects in fund management, with 72 percent expecting the ratio of women to men to increase over the next three years.

Just over half expect the same increases at in LP organizations.

The industry panned the suggestion to set mandatory quotas to boost the hiring of women in private equity. Just six percent of respondents supported the idea, with 75 percent favouring aspirational targets instead.

Similarly, only 11 percent of respondents favoured mandatory targets to boost women on investment committees.