How Kellogg Foundation is Interrupting Racial Bias in Capital Markets
This is an excerpt from an article on Kellogg Foundation that was published in ImpactAlpha. See below for a link to the full article.
Hidden prejudices show up in health and education outcomes that divide along racial lines. Implicit bias shapes capital markets as well.
Attitudes about race influence everything from where and with whom institutions place their assets, to which entrepreneurs and ideas get funded. Even egalitarian-minded individuals, research shows, can let race-based assumptions and stereotypes penetrate their decision-making.
Some investors are learning to interrupt implicit bias by becoming more aware that it exists and building more diverse teams. One investor, the W.K. Kellogg Foundation, is taking racial equity in investing further by making the business case for racial inclusion.
The Battle Creek, Mich.-based foundation, one of the first to allocate a portion of its endowment for mission-driven investments, is intentionally backing fund managers and entrepreneurs of color, and is seeking investments that systematically reduce bias in the financial system and broader society. Last week the foundation gathered its mission investments portfolio for a summit in Detroit and invited ImpactAlpha to sit in.
Read the full article at the link below.