  As the COVID-19 pandemic restrictions slow down, employees start to return to
their offices. Hence, the discussions on optimal workplaces and issues of
diversity and inclusion have peaked. Previous research has shown that employees
and companies benefit from positive workplace changes. This research questions
whether allowing for diversity and inclusion criteria in portfolio construction
is beneficial to investors. By considering the new Diversity & Inclusion (D&I)
score by Refinitiv, I find evidence that investors might suffer lower returns
and pay for investing in responsible (i.e., more diverse and inclusive)
employers in both the US and European market.
