Female representation is increasing on financial services boards — 20% in 2016 — and executive committees, which stood at 16% in 2016. However, progress remains slow. At current growth rates, the industry is not expected to reach even 30% female representation on executive committees globally until 2048.
Our analysis of 381 financial services institutions across 32 countries reveals two concerning trends: First, representation of women on executive committees is growing much more slowly than on boards. Second, the growth is concentrated in only a few countries. In many others, female representation is stagnant or even declining on executive committees.
Women in financial services face leadership lag
Despite significant investment in attracting and developing female talent — through recruiting, networking, sponsorship, and training programs — gender balance at the top remains elusive. Many organizations have improved visible processes to support equal opportunity, yet the industry continues to fall short.
Our global survey of financial services employees shows that women enter the industry with ambition levels equal to men and maintain that ambition early in their careers. However, a notable gap emerges mid-career, when women are less willing than men to make personal sacrifices for professional advancement.
At this stage, many women choose to leave. Internal labor market data from our sister company Mercer shows that mid-career exit rates for women in financial services are not only higher than those of men, but also significantly higher than in other industries. Female managers, senior managers, and executives are 20% to 30% more likely to leave their employer than their peers in other industries.
Mid-career crossroads emerge for women in finance
Our statistical data, survey responses, and interviews suggest that many women face a mid-career conflict. At this point, the personal costs of continuing a demanding career — especially with sacrifices in their personal lives — often outweigh the uncertain benefits. Women face a less attractive career trade-off than men. Several factors contribute to this imbalance:
- Limited flexible work options and stigma around using them
- Inadequate support for family responsibilities for both women and men
- Lack of transparent, equitable promotion processes and equal pay
- Persistent cultural barriers, including unconscious bias and traditional assumptions
Achieving gender balance in financial services will require both bold structural changes and deep cultural transformation.
Key steps to drive inclusive culture and gender balance in the workplace
Establish an executive committee talent pipeline strategy to ensure diverse leadership progression. Expand flexible working options across all levels and actively work to eliminate the stigma associated with using them. Encourage both men and women to take parental leave, and invest in robust returnship programs to support career re-entry. Address promotion and pay gaps by identifying and tackling the invisible cultural factors that drive inequality.
Foster an inclusive culture that values diversity across all dimensions and is free from unconscious bias. Prioritize action over theory by embedding inclusive practices into everyday decision-making. Empower men to actively support gender equity and promote enlightened leadership that models accountability, empathy, and inclusion.
Despite years of effort and investment, gender balance in financial services leadership remains out of reach. The data is clear: progress is slow, uneven, and fragile, especially at the executive level. To reverse this trend, organizations must go beyond surface-level initiatives and commit to bold structural reforms and deep cultural change.
