Diversity is Good for Business
Treasurer Frerichs believes that our government should mirror the diversity in our state. And furthermore, diversity is good for business. Research demonstrates that diverse-owned companies are often well-situated to ascertain capital inefficiencies in the market, and as such, many are primed to outperform their peers.
The Treasurer's Office is focused on providing more opportunities to Minority, Women, Veteran, and Disabled-owned (MWVD) firms. Not only does this help ensure equal opportunity, but these firms help the Treasurer's Office accomplish its primary objectives to safeguard state assets, ensure liquidity, and maximize investment returns. By providing important services and added value to the Treasurer's Office, these firms provide a direct benefit to the people of Illinois.
Increasing Business with Diverse Broker/Dealers
Since 2015, the Treasurer's Office increased utilization of diverse broker/dealers from 1% to 76%.
The Treasurer’s two internally managed investment programs, the State Investment Portfolio and Illinois Public Treasurers’ Investment Pool (also referred to as “The Illinois Funds”), are made up of direct purchases and brokered investments.
Tapping diverse-owned broker/dealers is one of the quickest and best ways to ensure MWVD participation – and recent numbers emphasize our sustained progress in this area, as illustrated below.
Increasing Business with Diverse Asset Managers
Utilization of diverse asset managers increased from $16 million in January 2015 to $380 million in June 2018.That represents a 23-fold increase.
The Treasurer’s Office has made tremendous strides expanding the use of diverse asset managers. These firms provide added value to the investment programs under the Treasurer's stewardship, helping maximize returns, safeguard assets, and diversify the investment mix.