As we strengthen diversity internally, we are also doing more to improve the diversity – in its broadest sense – of our external engagement with market participants. A key part of my team’s role is to act as the Bank’s ‘eyes and ears’ in the financial markets: gathering the best possible intelligence on market developments to support the decisions of our Monetary and Financial Policy Committees. As those markets evolve, so too we must adapt and change those we engage with to keep our finger on the pulse. Different and broader types of firm, using different technology. Different people within firms, as those who matter for decision making change. And a different and more open style to that engagement, more open to challenge and different perspectives on what makes markets tick. Just as embracing diversity is no longer a choice for success in your business, so it is no longer a choice for us in ours. Unless we ensure we are speaking to a broad, diverse set of market participants who are truly reflective of the diversity in the market, and feeding that input into our policy decisions, we will not be doing our job. 18  https://www.bankofengland.co.uk/speech/2019/mark-carney-women-in-banking-and-finance-22nd-annual-awards 9  All speeches are available online at www.bankofengland.co.uk/publications/Pages/speeches/default.aspx  9  To deliver on that goal, we are working with a wide range of financial market stakeholders and external networking organisations.
Modern communication tools allow much more flexible working, in time and space: unheard of in traditional trading environments, but eminently feasible in a world of e-platforms and algorithmic trading, even in a market that trades 24/7. And that opens the industry to a much wider talent pool, with different skills and thought processes, improving productivity and retention. Companies that fail to offer flexible working arrangements underperform their peers. 11 And that is relevant to both men and women: 89% of those responding to a 2017 survey of British businesses12 said flexible working was a key enabler for productivity. The second key change is the profound broadening in FX market participation. In part that reflects a sharp reduction in the costs of entry to, and use of, the FX market, driven by those same technological trends I’ve just outlined. Retail banks, asset managers and corporates can now access the market directly. And there is a much wider range of service providers, stretching well beyond the traditional investment banks: indeed, some of the biggest, or fastest-growing, firms in the market were unheard of 5-10 years ago. The rapid development of previously emerging economies, and progressive capital account liberalisation, has also substantially increased the geographical reach of the foreign exchange market, bringing different customer needs and perspectives.