Morgan Stanley is willing to bank on women, as reflected in their latest investment portfolio which is being introduced this April.
Through the Parity Portfolio, investors will be able to funnel money into companies with significant female representations on boards and in senior leadership. It's called gender lens investing, and it's new to the big banks.
The Matterhorn Group at Morgan Stanley was motivated by the growing amount of research proving that companies with women in high-powered leadership positions have much stronger returns than those lacking gender diversity in similar positions.
"Our investment objective is to seek to provide total return through a combination of capital appreciation and current income and to seek to provide a social return through activism for gender parity in corporate America," read the portfolio's description.
The financials, governance and policies of the companies included will have also been researched and analyzed. Now, we'll have to wait and see if the profits are as good as the research suggests.