Press Releases

2008 Dec 30

“MACHO” RISK-TAKING CULTURE AT THE HEART OF THE FINANCIAL CRISIS, SAY BUSINESS EXECUTIVES

• 89 per cent of business executives believe that a culture which encouraged and rewarded the taking of excessive risk contributed to the financial crisis
• 83 per cent believe that the failure to understand the risk that many financial institutions were running was fuelled by the “macho” culture of many City firms
• 77 per cent believe the gender balance in the working environment has a significant effect on its culture
• 77 per cent believe the gender balance in the working environment has a significant effect on its culture
• Almost half (49 per cent) and a majority of those working in financial services believe that more women in senior positions could have prevented some of the excesses

Macho risk-taking culture?

The ‘macho’ culture and male-dominated working environment in many City firms caused excessive risk to be taken and lies at the heart of the financial crisis, according to research by The Aziz Corporation, the UK’s leading independent executive leadership and development consultancy. In the research examining business views on the causes of the financial meltdown, 89 per cent of executives agree that a culture which ‘encouraged and rewarded the taking of excessive risk’ contributed to the current financial crisis, while 83 per cent believe that the failure to understand the risk that many financial institutions were running was fuelled by the “macho” culture of many City firms.