New Study Documents the Dramatic Rise and Fall of DEI in Public Filings

Jul 17, 2026

One day we’re highlighting the benefits of Diversity Equity and Inclusion (DEI) and the next day we are helping companies strip their public communications of language and acronyms such as DEI and ESG.

A new study of nearly two million securities disclosures for over 15,000 publicly traded companies by professors Nolan McCarty of Princeton School of Public and International Affairs and Reilly Steel of Columbia Law School details and documents the dramatic rise in DEI language in public filings beginning in the late teens and spiking in 2021. Then, as we know, the data show a precipitous collapse during the second Trump administration. While we knew it happened, the data and charts are nonetheless fascinating look at societal trends in the corporate world and the political economy.

Among the factors the study points to:

The ideological composition of corporate leadership
Ownership by the Big Three asset managers associated with corporate DEI commitments
Presidential directives and federal government contractors
#MeToo movement, Black Lives Matter and other societal factors

Among the factors, the authors believe pressure from some large asset managers played an important role. “Beginning in the late 2010s, the ‘Big Three’ asset managers … became increasingly vocal about corporate diversity. State Street launched its ‘Fearless Girl’ campaign for gender diversity in 2017, famously commissioning a bronze statue of a defiant girl confronting the Charging Bull statue in New York’s Financial District. From 2018 through 2022, BlackRock CEO Larry Fink’s annual letters to portfolio firm CEOs explicitly invoked DEI-related language and concepts.”

Then of course, it all reversed.

Overall, “these results are consistent with institutional investor pressure driving the DEI explosion and then ceasing to matter – or even driving down DEI commitments – after the conservative backlash against these investors and the decreased appetite for ESG more broadly. The findings also align with evidence from finance that the Big Three’s campaigns for boardroom gender diversity shifted real diversity outcomes.”

The study notes, “The retreat was broad, suggesting the importance of larger political, legal and social forces. Our results underscore the importance of corporate governance for the study of political economy.”

Have a great weekend,
GPP Team

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FROM OUR DESK TO YOURS

Nestled down in Nolita, on the corner of Mott and Broome Streets, the GPP team tried a new restaurant called Oriana, a swank new spot that thrives on embracing the “light the grill” spirit of summer via wood-fired cooking across its menu. Oriana is a grand rendition from the team of Andy Quinn and Cedric Nicaise, two Eleven Madison Park alumnae who opened the beloved Noortwyck in the West Village. The spacious restaurant boasts a 60-seat mahogany dining room, 20-seat bar area, and a private dining space doubling as a hi-fi listening lounge downstairs amongst a 1,700 bottle wine cellar labyrinth.

Flames touch almost every dish on Oriana’s menu. The grilled bread with yogurt chive butter, hanger steak, and a variety of grilled veggies were splendid but the star of the show was a whole barbecue duck. The team ages the duck crown for 14 days, slices and serves it, then uses the rest of the bird to craft a duck-neck and foie gras sausage which sets up a multi-course tasting from one dish. Fire and smoke flavors permeate everything beautifully. A great new addition to downtown Manhattan.

Meanwhile, up on 16^th Street, we had the pleasure of sampling the Levantine delicacies at Café Zaffri in Union Square along with some friends of the firm. Chic beyond belief, Café Zaffri is an impressive choice for a birthday or any other celebration. Favorites included the toasted sesame eggplant and Fattoush salad, in addition to the whole dorade. No NYC birthday celebration is complete without a celebrity spotting, and we sat next to the first Spider-Man himself, Tobey Maguire. No word on whether he tried the lamb wellington, which we will indulge on next time we visit. Cheers!