Graduation Year
2023
Date of Submission
4-2023
Document Type
Open Access Senior Thesis
Degree Name
Bachelor of Arts
Department
Economics-Accounting
Reader 1
Professor George Batta
Terms of Use & License Information
Abstract
This paper investigates the role of gender diversity and gender-based interactions on the following private equity deal characteristics: deal size, whether the investor is the lead investor in the round, and the number of employees (a proxy for the stage of the portfolio company). Inspired by past literature examining the impact of gender diversity on firm performance and risk-taking, this paper seeks to isolate where and when in the industry gender diversity has an impact. This paper utilizes the North America Private Equity Pitchbook dataset and the Gender-API name genderizor to classify lead partners and CEOs as male or female. The positive coefficient on the Female#Female term and the negative coefficient on the Female#Male term (both significant at the 95% level) for the deal size regression suggest that women invest more heavily in other women while men are more hesitant to invest heavily in female CEOs. However, the vast majority of my results were not significant at the 95% level, suggesting that the impact of gender mostly takes place elsewhere in the private equity industry. Limitations in my dataset also provide an alternative explanation as to why many of the regression coefficients were not significant.
Recommended Citation
Anderson, Trevor, "Gender Diversity in Private Equity: The Making of a Deal" (2023). CMC Senior Theses. 3264.
https://scholarship.claremont.edu/cmc_theses/3264
