[Congressional Record Volume 168, Number 69 (Wednesday, April 27, 2022)]
[Senate]
[Page S2193]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. KAINE (for himself, Mr. Booker, Mrs. Murray, Mr. Menendez, 
        and Mr. Warner):
  S. 4097. A bill to improve access for diverse-owned asset management 
firms, and for other purposes; to the Committee on Health, Education, 
Labor, and Pensions.
  Mr. KAINE. Mr. President, today I am introducing the Too Narrow to 
Succeed Act with my colleagues Senators Booker, Murray, and Menendez. 
Enacting this bill would increase opportunities for women- and 
minority-owned asset management firms to direct investments and 
strengthen our Nation's retirement security.
  Women- and minority-owned firms are significantly underrepresented in 
asset management, managing just over 1 percent of the sector's assets 
under management. This severe underrepresentation also extends to 
employment within the industry. This is not due to a lack of diverse 
talent; women- and minority-owned asset management firms have 
consistently performed just as well as or better than other firms in 
terms of returns on investment. In fact, women- and minority-owned 
firms are overrepresented among top-performing firms.
  Having a diverse portfolio is a key part of having healthy finances 
because diversifying investments mitigates risk and improves long-term 
returns. Far too often, however, those making investment decisions at 
our Nation's financial firms are not diverse. If asset managers have 
too narrow a perspective, the/place the financial success of their 
clients at risk. This commonsense legislation supports asset managers' 
fiduciary responsibility to deliver returns to investors, and it will 
help ensure a safe financial future for workers and their families.
  I hope my colleagues will support this bill.

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