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Article

27 Sep 2011

Author:
Dan McCrum, Financial Times

Calpers and Calstrs launch diversity drive [USA]

Calpers and Calstrs, the two largest public sector pension funds in the US, are seeking candidates for America’s boardrooms to improve the diversity and quality of corporate directors. The two pension plans have funded the creation of an electronic storage bank of potential applicants, called the Diverse Director DataSource, or 3D, to widen the population of boardrooms beyond the typical ranks of corporate insiders. The move is the flipside to efforts by California Public Employees’ Retirement System and the California State Teachers’ Retirement System to press for majority voting at US corporations in the cause of better shareholder representation. “We need to work on both the demand and the supply side in improving board quality,” said Anne Simpson, head of corporate governance for Calpers. “The big question from companies that we have is: if you have talent, please bring it forward,” she added. The answer the activist investors have responded with is 3D...Aspiring board members can submit their resumes at www.gmi3D.com, and the database will then be opened to businesses and recruiters once sufficient applicants are signed up. “Companies face global challenges and need diverse talent on their boards to ensure they have the skills and experience to succeed,” said Ira Millstein, a US corporate governance pioneer. [refers to Apple]