Goldman Sachs Asset Management will update its proxy voting policies to increase diversity of corporate boards.

The company says say they will expect companies in the S&P 500 and FTSE 100 to have at least one diverse director from an underrepresented ethnic minority group on their board from March 2022.

GSAM also says it will expand its policies to expect public companies globally to have at least two women on the board, unless the board has fewer than 10 members or where local requirements are already higher than this minimum. It will vote against members of the nominating committees that do not meet these expectations, and in the United States it will continue to vote against all members of the boards that do not include any women.

Heather Miner, Chief Operating Officer of Goldman Sachs Asset Management, said: “Our approach to stewardship is grounded in Goldman Sachs’ focus on advancing sustainability and inclusive growth. These latest enhancements to our voting policy will keep Goldman Sachs Asset Management at the forefront of driving greater diversity and inclusion on boards around the world.”

Catherine Winner, head of stewardship for Goldman Sachs Asset Management, said: “Our proxy voting policies allow us to create a stronger framework for the companies in which we invest on behalf of our clients. We see active proxy voting and engagement on diversity and other issues as a critical part of our role as stewards of our clients’ capital.”