Why infra firms should focus on retaining female talent

Affiliate title Infrastructure Investor’s LP Perspectives 2023 Study found that 13 percent of investors have declined to commit to a fund because of a lack of diversity and inclusion at the GP level. While this is a minority, any reason for LP hesitation should be a cause for concern, especially when capital raising has slowed – fundraising for unlisted, closed-end infrastructure dropped 94 percent year-on-year to $3.6 billion in Q1 2023, per Infrastructure Investor data.

Compared with other asset classes, however, infrastructure appears to be ahead of the curve on DE&I, particularly as pertains to gender diversity at senior levels. Sasha Jensen, founder and chief executive at Jensen Partners, an executive search firm for the alternatives industry, says women hold “multitudinous positions of power” in the asset class, which in turn facilitates greater diversity across the teams, functions and strategies they lead.

In a survey of infrastructure professionals conducted by One Search, an infrastructure and energy transition-focused executive search firm, more than three-quarters of respondents recorded that women held senior leadership positions at their respective firms. Despite this, only 45 percent of respondents think infrastructure investing is an attractive industry for women.

Tidimalo Padi, ESG and diversity lead at One Search, says the doubt around infrastructure’s appeal is indicative of the challenges it faces in retaining female talent.

Return-to-work programmes and mentoring are two ways firms can aid the retention and promotion of women, says Padi. “Mentoring does not have to be formalised, but there is a need for sponsors. Having the support of not just your manager, but other people who are decision-makers, can help you navigate organisations and hopefully help get you to where you aspire to be.”

Firms can also get ahead of this issue by having a forward-looking resourcing plan across their business, which includes succession planning, says Padi. This helps anticipate the future needs of the business, while providing opportunities to nurture talent and demonstrate clearer career development pathways. “It gives somebody who has the potential to grow into a role, the time to get where they need to be,” Padi adds.