SOLO-NZ Op-Ed (Lindsay Perigo)—NZX Dildoed by MWA

Lindsay Perigo's picture
Submitted by Lindsay Perigo on Thu, 2012-07-05 23:20

SOLO-NZ Op-Ed (Lindsay Perigo)—NZX Dildoed by MWA

Lindsay Perigo
July 6, 2012

There are two types of people in life: those who get on with the business of living, and those who try to get in their way. Politicians—of whom Cicero said they were excreted, not born—and bureaucrats are of course foremost in the latter category, but in this crony-capitalist society we have now it is not uncommon to find those who ought to be in the former category sidling up to those in the latter. Thus the obscene spectacle of NZX, the company that runs New Zealand's stock exchange, announcing a new Diversity Listing Rule, requiring companies listed on the stock exchange "to provide a breakdown of the gender composition of their directors and officers; and, if they have a formal diversity policy, to give an evaluation of their performance with respect to that policy."

NZX intones, in a heel-clicking manner befitting its new-found sycophancy towards gender-nazis, "NZX’s primary concern, as the operator of New Zealand’s capital markets, is that listed issuers provide all relevant information to the market so investors can develop an informed view of the current, and potential future, value of a company’s securities.There is credible research based evidence which suggests that diversity - and gender diversity in particular – at both Board and senior management level contributes to improved performance."

Oh really? So investors won't invest in a company unless they know there are women on the board. Says who? And where exactly is the "credible research-based evidence" suggesting that having an obligatory number of token women, gays, cross-dressers et al on a board improves its performance? If these two propositions be true, won't companies cram their boards with oppressed minorities and trumpet the fact far and wide, of their own eager volition?

NZX says it will be working with the Ministry of Women's Affairs to implement the rule. No doubt. And that, we may be sure, is where the bloody thing came from in the first place: the Ministry of Ugly Man-Haters' Affairs. Right up there among those who like to get in the way of those trying to get on with the business of living.

A measure of how contrary to common sense this is, of how it's an authoritarian indulgence by a taxpayer-funded elite, is supplied by the results of the poll run on the matter by the New Zealand Herald. 67% of the 13,350 respondents ticked, "No, it should be the best person for the job, gender shouldn't matter." The best person for the job. If it be a disabled, piebald transsexual with a foot fetish, so be it. In spite of the strident political correctness with which we are routinely bombarded and bludgeoned, reason and realism still manage to predominate.

Two things should happen forthwith: listed companies should leave the stock exchange and set up their own. And the Ministry of Wimmin's Affairs should be abolished, meaning: fewer creatures getting in the way of those trying to get on with the business of living.

Lindsay Perigo:

SOLO (Sense of Life Objectivists):

Professor's letter:

Lindsay Perigo's picture

Letter to Press, cited by Bro Hubbard, from University of Canterbury Professor of Finance, Glenn Boyle:

Your (Press) July 6 leader repeats the NZX line that its proposed gender-diversity reporting rule is justified by credible research evidence showing that firms with greater female representation have superior financial performance.

The studies wheeled forward to support this claim were undertaken by consultancies, and so qualify neither as credible nor as research.

They also fail to distinguish between correlation and causation an equally plausible interpretation of their 'evidence' is that firms which had performed strongly in the past succumbed to hubris and started appointing women willy-nilly.

In fact, the only credible research on the matter finds that, by forcing their boards to engage in too much costly monitoring, high female director representation actually harms the performance of otherwise well-government boards.

There may well be many good reasons for the NZX rule change [I disagree - per above], but the existence of convincing research evidence certainly isn't one of them.


Mark Hubbard's picture

Have a look at update 2 to my own post: http://lifebehindtheirondrape....

I'm out of time, but feel free to put Professor's letter up into your post if you like.

The same day this was released

Sandi's picture

For immediate release - 05 July 2012
"UN Women calls for more women in the workplace"

"Ann Romney says woman being eyed for husband's ticket"
05 July 2012

Awfuller and awfuller, Sam....

Craig Ceely's picture

...those awful white folk. I quote Mises:

"It must be emphasized that the destiny of modern civilization as developed by the white peoples in the last two hundred years is inseparably linked with the fate of economic science."

Evil bastards, eh?

The war against those awful

Sam Pierson's picture

The war against those awful white males continues. These people invent conflict where there is none; that is their only business. Team NZX are pathetic.

Grrrrim post Linz.

Ahh, an

Shane Pleasance's picture

Ellsworth Toohey of our times.

'Shareholders Association

PhilipD's picture

'Shareholders Association director Gayatri Jaduram said it was disappointed the new rule did not reflect diversity in a "wider sense".

"Ethnicity, for example, may be a relevant diversity consideration, as would be board tenure, range of business experience, gender and educational and occupational diversity," the association said.

Jaduram said the association was also disappointed the NZX did not make it mandatory for listed companies to have a formal diversity policy.'


Oh good Christ...

Craig Ceely's picture

Obviously the only reasonable course here is that the Honourable James Hacker, MP, and Sir Humphrey Appleby should immediately establish a Parliamentary Inquiry!

Great post Linz

Mark Hubbard's picture

This one is a shocker and shows how far down the slippery slope we've gone. And did you note the bit in the NBR about the Shareholders Association wanting reporting on 'age and culture' also. Never did like that crowd. Anyway, if you're interested, here's my take: NZX: The New Central Planning Agency ... Leave the social engineering and arrogance to that centre of incompetence in Wellington. Put her to bed, Tim ...

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