State Street’s asset management division has abandoned its targets for female and minority representation on corporate boards, according to updated proxy voting guidance published on its website on Friday.
The move aligns with similar policy shifts by other major asset managers facing political scrutiny, a trend that is expected to slow the diversification of boardrooms, which have historically been dominated by white men.
The decision is particularly notable for State Street, which in 2017 unveiled the iconic *Fearless Girl* statue in New York’s financial district as part of a campaign advocating for greater gender diversity in corporate leadership.
Previously, State Street Global Advisors’ proxy voting policy required boards of companies in major indices to have at least 30% female representation or risk votes against nominating committee members. Large S&P 500 firms were also expected to include at least one director from a racial or ethnic minority background.
However, the Boston-based asset manager’s updated guidance for March 2025 no longer includes these targets. Instead, it now states that board nominating committees are “best placed” to determine board composition.
In a statement, a spokesperson for State Street said, “We annually review our proxy voting and engagement policy to ensure alignment with global protocols and local laws and regulations, guided by our core principles of effective board oversight, disclosure, and shareholder protection, with a singular focus on value creation.”
