Carolina Siniscalchi , a former student of the  Professional Master's in Management for Competitiveness at the São Paulo School of Business Administration (FGV EAESP),  conducted an unprecedented study on the correlation between inclusive practices aimed at the  LGBTQIA+ community  and the  financial performance  of companies listed on B3 – the Brazilian stock exchange.  

The research used a sophisticated econometric approach, applying the Arellano-Bond model, which allows controlling dynamic effects and endogeneity in panels with longitudinal data. The financial indicators analyzed were Return on Assets (ROA), Return on Invested Capital (ROIC) and Tobin's Q — the latter measures the market valuation of companies in relation to the book value of their assets.  

The results indicate a positive, albeit still timid, correlation between financial performance and the adoption of inclusive policies for LGBTQIA+ people. According to the author, the topic is still in its infancy in Brazil and faces challenges to consolidate itself on the agenda of  stakeholders  and investors. However, the appreciation observed in the market suggests a promising path.  

“My intention with this research is to contribute to a broader discussion about diversity in organizations. The inclusion of the LGBTQIA+ community still requires efforts to raise awareness, but it is possible to see progress, especially in companies with more structured governance,” says Carolina.  

The author also highlights that the benefits of diversity go beyond the issue of gender identity or sexual orientation.  “Inclusive policies strengthen the corporate environment as a whole, promoting a plurality of ideas, innovation and greater alignment with ESG principles,”  she adds.  

The research represents an important academic contribution to studies on diversity and corporate finance in Brazil, opening space for new investigations involving different population groups, such as black, indigenous and disabled people.  

Watch the video here for more details.

To learn more about the  Management for Competitiveness course  at  FGV EAESP ,  visit the website .  

 

See other content from the  Transforming Ideas  series below:

•  Judicial Recovery: Study proposes regulating the work of watchdogs for greater security in the market

•  Study investigates why Brazilians invest little in variable income 

•  LGBTQIA+ inclusion and financial performance: study reveals positive impact on Brazilian companies