04 Mar Investment: FTQ targets at least 40% women on the boards of its partner companies
Perspectives Series – Portraits of venture capital investors: #4 Véronique Missout, Investment Director, Fonds de solidarité FTQ.
In 2022, a Canadian government study revealed that only 4% of venture capital funds support women-led businesses. Yet investing in these businesses could add $150 billion to Canada’s GDP by 2026.
To change the situation, we must collectively dismantle the prejudices faced by these entrepreneurs and adopt practices that make venture capital investment theses more inclusive.
Our community of practice, made up of investors and experts, was created to address these issues.
We met with Véronique Missout, directrice de placements privés et Director of Private Equity and Impact Investing at the Fonds de solidarité FTQ, in the life sciences team. Her responsibilities include serving on the boards of directors of several companies and investment funds in which the Fonds de solidarité FTQ has invested.
She is part of the Excellence in Canadian Board Governance program, created by Women in Bio and the Rotman School of Business à Toronto, to train more women to serve on boards of directors in the life sciences sector.
Can you tell us about the Fonds de solidarité FTQ?
The Fonds de solidarité FTQ is a labor fund created in the 1980s, in the midst of an economic crisis.
At the time, many companies were closing, and employees were losing their savings trying to save their businesses. That’s where the idea came from to allow workers to save for their retirement and collectively reinvest that money in Quebec’s economy.
Our goal has always been not only return, but also social impact. We were putting the ‘S’ in ESG into practice long before it became fashionable.
Our due diligence process includes a social assessment carried out by a dedicated team. Even with good financial return prospects, if this assessment does not align with our expectations, we do not invest.
Today, we have more than $20 billion in assets under management, invested in SMEs, innovative companies, aerospace, life sciences, sustainable development, the environment, and more.
How do issues of equity and gender parity fit into this culture?
Our CEO, Janie Béïque, has made gender parity a top priority for the Fonds de solidarité FTQ, with very concrete actions.
We have a goal of at least 40% women on the boards of directors of our partner companies. This is not a rigid quota, but an ambitious target. When a company has not yet reached this goal, we ask the questions: Why? What can we do to change things?
Gender parity is also a priority within our teams. The number of female investment directors has increased from 6 to 12, or from 21% to 30%, and the percentage of female managers has increased from 26% to 33%.
In addition, parity has been achieved among investment professionals. Leadership, mentoring, and professional development programs have been put in place to promote the advancement of female talent.
Another initiative is the AUDHACE committee (with an “h” for human), made up of managers, both men and women, young and old, who share their views, ideas, and recommendations to keep this culture of equity alive.
What I see today is that this culture has been integrated. There is widespread support for it; equity and kindness are part of our values. It has become the norm.
We are also very active in the ecosystem: we participate in Women in VC, Elle Invest, Leadership au féminin, Women in Bio. We support Effet A and FFQ. Because we want to spark and maintain conversation with all stakeholders.
You have a long career in the investment sector. How are gender disparities expressed in the investment sector?
In banking, I have seen women not being considered for promotions because they were pregnant. There was a preconception that they would prioritize family life. This happened to a very competent colleague. She left the bank, went elsewhere, and built an extraordinary team across the country.
I've also heard comments like, “You got your job because you're a woman.” It's hurtful, and it's still common.
In teams that are still very male-dominated, it takes something for women to find their place.
When I started as an investment director at age 27, there were ten directors, only two of whom were women. Today, things are changing: we have gender parity in my team.
But it’s still a demanding environment, with lots of events, networking, happy hours… I was able to balance that with my family life because I had help, but it’s not easy for everyone.
There are also more subtle biases. In a team of men, the only woman is not invited to Thursday night hockey or informal dinners. It seems trivial, but that’s where bonds are formed and promotions are decided.
In my client portfolios when I was in banking, there were also very few women entrepreneurs. If I had one or two, that was already a lot.
And then the biases are not limited to gender. They also include race, origin, age, and the way you speak. I remember this entrepreneur who recently testified at an event: “I realized I was Black the day I bought a company in Shawinigan.”
What do you gain from participating in the investment community of practice focused on gender perspectives?
There are two aspects to my participation, and more broadly to the Fund’s involvement.
On the one hand, it’s part of our commitment to the ecosystem. As I said, we support many initiatives that promote women and equity in investment. It’s part of our values, and we know we have the ability to influence other players. The Fund is a limited partner in a large number of funds in Quebec. Participating gives us a platform to share our experiences and results. It contributes to change.
At the same time, we continue to learn. I am interested in understanding what is being done elsewhere, in other funds. We already have many initiatives at the Fonds de solidarité, but I think it is important to continue to push the boundaries.
The Community of Practice allows us to do just that: see best practices, compare our realities, and inspire each other.
For example, I discovered the 2X framework, which I had never heard of before. I think it’s a good tool: not as a rigid criterion, but as a framework for reflection. It allows us to see where we stand and where we can improve.
I am also curious to see what smaller private funds are doing, as they don’t necessarily have the same resources as we do. As major investors, we are increasingly being asked to be accountable, whether it’s us, BDC, or others. We are asked for data: how many women are in management positions, what are our equity policies, etc. Beyond reporting, what impact does this have on them and on the companies they invest in?
What I like about this community is the open dialogue. We're not competing with each other; we share our practices, our challenges, our doubts. And that's rare in the world of investing.
What advice would you give to a female entrepreneur looking for funding?
I would say: be prepared, clear, and confident. Know your subject, your mission, and your needs. Be able to say what you want and what you are asking for.
Many women doubt themselves. They have imposter syndrome and hesitate to put themselves forward or ask for what they want. I see this in funding presentations: some are brilliant, but lack confidence.
But an investor wants to feel that the person will deliver the goods that they believe in their project.
You have to be bold. If someone isn't bold, you wonder if they will have the resilience necessary to face the entrepreneurial journey. Women often beat around the bush; they don't dare to ask. I say, ``Go ahead, say it. If you need $500,000, say so clearly.``
Highlighting positive examples also helps to build confidence. At the Fund, we have several great stories of women who have started businesses, such as Clarissa Desjardins (Congruence Therapeutics) or investment funds, such as Inès Holzbaur and Élisabeth Douville (AmorChem).
They are inspiring role models. And we need more of them. Because when we see women succeed, it makes others want to try too.
