Sweden’s first trans people CEO: Diversity is an investment opportunity
It was a consolation for Carl Farberger to button up his baby blue shirt and put on his gray jacket in the morning.
It brought with it a sense of belonging: it made Farberger impossible to distinguish from the other middle-aged men in the business world. But it was also a mask, carefully polished for 50 years.
Until a Thursday in September 2018, when the staff at the Swedish insurance company Ica Försäkring received an unusual email: ‘Tomorrow, the colleague you know as Carl Farberger will come to the office as Caroline Farberger and continue living as a woman.’
Thus, Farberger became the first CEO in Sweden to undergo gender reassignment surgery. But the journey itself began long before that.
“I have felt that there was something feminine within me since I was seven years old. But I was too scared to explore it. Afraid of what it would mean, afraid of being excluded from society. Afraid to put my life on hold. game.’
And so Farberger kept it to himself. But in the middle of her life, with a wife, three children and a high-flying career, she began to question why she did not live authentically.
She describes the subsequent process of self-acceptance as a psychological purgatory. However, the external process was easier.
“I was very nervous when I informed my boss – you should not be, but I was – but she gave me a wonderful reception. During the five months before my transfer, my organization supported me in the most amazing way and gave me a communication team to give me the best possible conditions.
‘Ica has always had a very inclusive culture, and that helped make my transition as successful and successful as it was. I have a lot to thank Ica for. ‘
To lead through inclusion
When he lived as a straight, white, middle-aged man, Farberger had noticed that men generally had higher wages than women and constituted a majority in most management groups. But she had been quick to conclude that the conditions in business were fair and that the differences in outcomes were probably the result of free, individual choices.
Overall, she perceived herself as quite knowledgeable about these things. She soon realized that she was not.
“After my transition, many women – former colleagues as well as newer acquaintances – told me about their experiences. Not the polished version I was used to hearing as a man, but the real version.
‘Stories about not being seen, heard or respected in board groups, about feeling that you have to look a certain way to move forward. It feels like you are not part of the gang, generally in the business industry, she says.
“It made me realize how much potential we have lost because we have not worked actively with issues such as inclusion at the top management level. That there are still too many social structures that make it easier to continue your career if you are like, look and act as those who already have power. ‘
The experience of being part of a marginalized group led Farberger to adapt his leadership style to each colleague’s unique situation and needs.
She began to make sure that meetings began after 1 p.m. 9 and ended before kl. 16, so that parents could leave and pick up their children. She began to gather the agenda and discussion material in a folder so that everyone, especially those who need more time, can read through everything before meetings. She started asking all participants for their opinion before revealing her own.
But it also changed things outside the meeting room. In April 2019, Ica Försäkring introduced home care protection as part of its home insurance as the second insurance company in Sweden to do so. “Today, most home insurance policies provide stronger protection if you are beaten on the street than if you are beaten in your own home,” Farberger writes in an opinion piece for the newspaper Svenska Dagbladet.
And when Farberger ends her six-year period at Ica Försäkring to join the venture capital company Wellstreet as a partner and working chairman later in March, she will bring her active integration strategies with her.
“We must exploit the full entrepreneurial potential in Sweden”
Farberger has more than 30 years of experience in banking and finance, but she initially studied for a master’s degree in electrical engineering.
That’s why she’s particularly happy to find business ventures at the forefront of technology: “Those who can seriously change the way we live,” she says, highlighting insurance technology and fintech as areas of particular interest.
“I am extremely passionate about how we in the financial industry can help provide more capital to entrepreneurs with exceptional ideas. Sweden has the highest number of unicorns per capita in Europe, but we face international technology competition. That is why we must continue to develop our technology industry and support our companies. ‘
But, Farberger adds, the historically male-dominated venture capital industry carries with it a legacy of inequality. This, she says, means that venture capitalists must pay extra attention to which entrepreneurs they finance.
Last year, female-led startups received only 1% of the venture capital financing in Sweden, according to a survey from the newspaper Dagens Industri. Male unicorns, Farberger noted, are also the ones who dominate the headlines: “It’s a shame, because I know we have a lot of hard-working, skilled women in the business world.”
A similar survey by the news site Breakit concluded that Stockholm-based companies received 70% of the financing from the 10 largest venture capital companies in Sweden for five years. Of the 123 funded startups, two were headquartered in rural Sweden. Only one was based in a disadvantaged suburban area.
Farberger believes that the issue boils down to something of a similarity bias.
– All of us in the venture capital industry are to some extent privileged because of the schools we went to and the networks we belong to. It is important that we do not overuse the networks we already have but actually try to capture entrepreneurs from all parts of society. Even the areas we are not used to hanging out with. ‘
For that reason, Farberger has stepped up as one of 12 high-profile venture capitalists to take part in Shift, a spin-off of Swedish Dragon’s Den by Breakit and the non-profit organization Bling, which aims to counter entrepreneurial segregation.
A digital startup in entrepreneurship is offered to startups founded by women or people from disadvantaged areas, and 40 companies receive individual coaching from Wellstreet and other companies before ten finalists are allowed to pitch to the panel of venture capitalists. Last year, five startups received almost SEK 13 million.
Farberger is quick to point out that it is not about investing in diversity for that matter. This is because it is a good business idea to broaden your reach to the entire market: “We must build an inflow that utilizes the full entrepreneurship potential in Sweden.”
In the same way, she says, her industry can only reach its full potential when it exploits the diversity of thought, background and perspective of all its members.
“That’s why it’s extra important to encourage staff at all levels, including juniors, to develop their full potential. We need more women in high-profile, visible positions and to pay more attention to our existing female venture capitalists, as a way to attract more women. to join the industry. ‘
Her last piece of advice to straight, white middle-aged men?
‘E-du-cate your-self’, she says, emphasizing each syllable, then smiles and continues: ‘about subconscious prejudices. Because as human beings we all have prejudices. The least we can do is educate ourselves to become aware of them. It is only when we have conscious prejudices that we can work with them and compensate for them.
Photo: Andreas von Gegerfelt