New research led by UCLA Luskin’s Jasmine Hill tracks the record of dozens of venture capital firms in Los Angeles that have pledged to prioritize equitable access to investments across demographic groups.
The findings are a report card on the PledgeLA initiative, launched by the Annenberg Foundation and the Office of the Mayor of Los Angeles to measurably increase diversity, equity and community engagement in the tech sector.
In 2023, Black and Latina women remained the least represented groups across the PledgeLA portfolio, making up only 1% and 2%, respectively, of companies that received funding, the researchers found. Of all capital deployed by the firms, all-white teams received $5.3 billion, or 66%.
The study did identify a promising development: In 2022, women-only teams received $3.8 million less than men-only teams, but that gap shrank considerably, to $700,000, in 2023.
Hill, an assistant professor of public policy, conducted the analysis with UCLA students who are members of her research lab: Jean-Christian Guichard and Isabella Marshall, who are pursuing master of public policy degrees; Kenneth-Alan Callahan; and Kashish Gupta.
The findings were among the criteria used to identify recipients of PledgeLA’s first Catalyst Awards, honoring 11 Angelenos for their efforts to strengthen Los Angeles’ local economy and entrepreneur community. Mayor Karen Bass, PledgeLA principals and more than 300 tech founders, venture capital investors and community leaders gathered at the El Rey Theater in December to recognize the awardees.
The Annenberg Foundation also commissioned Hill to analyze the Venture Access Alliance, a similar initiative launched by the New York City Economic Development Corp.
