Women CFOs linked to 10% shareholder return rise, report finds
A new report from OneStream has identified a correlation between gender representation in chief financial officer (CFO) roles and improved financial performance, with specific insights relevant to the UK and international markets.
The study, which surveyed 1,146 finance leaders, professionals, and business executives globally, found that companies led by women CFOs achieved approximately 4.5% annualised total shareholder return, with underperforming firms recording an average 10% improvement in total shareholder return following the appointment of a woman CFO.
Career trajectory
The research, which included analysis of more than 100 publicly listed companies and LinkedIn data from 346 CFOs, revealed that women take over three years longer than men on average to reach the CFO seat. In the Global Fortune 500, women typically require 18 years to reach the role, while in the FTSE 100, it is around 20 years. This extended trajectory is partly attributed to women changing jobs and organisations more frequently and pursuing a non-linear career path - 35% of women CFOs have backgrounds in operating roles or cross-functional experience outside core finance functions.
This breadth of experience, the report suggests, provides women CFOs with a wider enterprise perspective and deeper operational insight. As a result, women leaders are positioned to balance financial strategy with people development, risk management, and cross-team collaboration - capabilities highlighted as essential for modern CFOs.
Impact on financial performance
The report, titled "The Glass Chair," indicates that companies led by women CFOs not only outperform industry benchmarks by an average of 0.2% per year in the UK, US, and Europe, but also tend to deliver higher returns when women are appointed to underperforming firms. According to the study, the appointment of a woman CFO in such cases is associated with a 10% average improvement in shareholder return.
"The data is clear: advancing women into CFO roles isn't just about equity – it's about business performance," said Pam McIntyre, Senior Vice President, Corporate Controller, OneStream. "Women CFOs outperform industry benchmarks, especially when appointed to underperforming organizations, in part because they bring a broad range of operational experience and digital progress. At a time where CFOs are being asked to do more and navigate increasing complexity, women leaders are showing that endurance in the face of challenges drives stronger business outcomes and a more resilient, modern finance function."
Skills for the future CFO
Women in finance leadership are adapting to digital transformation, with 83% of women CFOs stating that automation and artificial intelligence (AI) are enabling individuals with different expertise to move into the CFO role. In addition, 75% of women finance leaders rated digital literacy and strategic leadership skills as paramount for future CFOs.
The analysis found that women CFOs are likely to demonstrate leadership attributes focused on strategic financial planning, governance, transparency, and risk management. The report describes these personas as the "Strategic Architect" and the "Financial Guardian," highlighting the roles' focus on long-term planning, team development, and ensuring organisational transparency.
While there is an eagerness to embrace new technology, the study found that only 24% of women CFOs currently rely substantially on AI tools, despite 73% expressing interest in building AI capability. The slower adoption of AI was partly explained by women finance leaders' emphasis on accuracy, transparency, and context - elements perceived to be lacking in generic AI products currently available in the market.
Structural barriers remain
The report identified several challenges delaying the progression of women to senior finance roles. These include organisational restructuring during economic downturns, complex internal politics, restricted access to mentorship, managing the balance between professional and personal commitments, and skills shortages within finance teams.
According to the analysis, these obstacles not only slow individual career advancement but also postpone the business gains associated with diverse finance leadership. The report suggests that companies taking steps to dismantle such barriers could benefit from enhanced financial returns and a broader spectrum of leadership skills.
As part of the Finance 2035 Initiative, OneStream's research builds on previous studies, providing a focused examination of women in senior finance roles. The findings reflect both the persistent challenges in achieving gender equity at the top levels of business and the measurable benefits - across performance and skills - that result from increased representation of women in key decision-making positions.
