A new study by Boston Consulting Group (BCG) reveals that over 25% of CEOs see their chief financial officer as the greatest internal threat to their job security. This insight comes at a time when executives are also dealing with increased oversight from boards and experiencing notably high stress levels. Together, these factors suggest a broader trend: CEOs often face their most intense pressures from those within their immediate circle, while longer-term risks, such as leadership turnover, tend to receive less focus.

The findings are drawn from BCG’s first CEO Insomnia Index, a global analysis combining survey responses from around 500 CEOs—leading companies with revenues between $100 million and over $5 billion—with data on CEO turnover across the S&P 1200.

More than 70% of CEOs report stress levels that fall within a clinically high range, with an average score of 66.7 out of 100. Additionally, 57% say that short-term priorities dominate their schedules, often at the expense of addressing long-term opportunities and risks.

According to Judith Wallenstein, a managing director and senior partner at BCG who leads the firm’s CEO Advisory practice, balancing immediate performance targets with long-term growth has always been challenging. However, she notes that today’s CEOs must do so with less time and under closer scrutiny from increasingly informed boards—pressure that ultimately cascades down to them.

Rising Internal Pressures
Core business expectations continue to be the primary drivers of stress. Achieving growth targets and controlling costs remain top concerns, with 60% of CEOs anticipating difficult operating conditions in the near future.

At the same time, stakeholder pressure is intensifying:

These trends highlight the increasing complexity of the CEO role, where even strong internal relationships can become sources of tension.

Overlooked Long-Term Risks
While CEOs remain highly focused on immediate performance, the research suggests a gap between perceived threats and actual risks to their tenure.

Some factors strongly linked to CEO turnover are currently viewed as less pressing:

Jessica Apotheker, BCG’s global chief marketing officer and head of BCG X’s tech build and design division, notes that AI can pull CEOs away from day-to-day pressures by allowing them to learn, innovate, and shape their company’s future direction.

Only 38% of CEOs report concern about employee dissatisfaction, suggesting that workforce sentiment may be undervalued as a potential risk factor.

The Human Side of Leadership
Beyond operational challenges, many CEOs also experience emotional strain. The role is often described as isolating, as leaders are expected to absorb pressure from boards, employees, and other stakeholders.

While 72% of CEOs are confident that their decisions will positively shape their long-term legacy, nearly one in three remain uncertain.

Overall, the findings point to a broader leadership challenge: CEOs must navigate the tension between delivering immediate results and addressing less visible—but equally important—long-term risks and organizational well-being.

Media Contact:
Eric Gregoire
+1 617 850 3783
gregoire.eric@bcg.com

A recent analysis by Bloomberg Intelligence (BI) reveals that companies in the US, Europe, and Asia-Pacific (excluding Japan) with higher representation of women on their boards have seen annual returns that surpass their less gender-diverse counterparts by 2-5% since 2018. The BI Women Capital study indicates that the return gap between firms with the most and least female board members stands at 11% in the US, 13% in Europe, and a significant 35% in Asia-Pacific.
 
Adeline Diab, BI's Director of Research and Chief ESG Strategist, stated, “The presence of women on boards enhances value and strengthens fundamental analysis, which can guide investors toward better decision-making while showcasing improved ESG credentials. Companies with diverse boards tend to experience increased profits, higher valuations, and reduced volatility in established markets like the US and Europe. However, in emerging markets, while gender diversity leads to less volatility, it hasn't yet translated into improved returns, suggesting that the importance of female board members is not fully acknowledged.”
 
BI's findings highlight a significant increase in women's representation on boards, rising to 26% in 2023 from under 9% in 2010. This advancement, particularly in developed markets, has been fueled by regulatory initiatives and shareholder activism, except in Japan, where female representation remains minimal.
 
While gender quotas have sparked diversity initiatives, there has been controversy in many developed markets. France leads with a 45% female board ratio, while the UK has achieved 42% representation without mandatory targets. Investor activism has also played a crucial role in advancing gender diversity in countries like Australia and the US, even amidst recent challenges to diversity, equity, and inclusion (DEI) efforts.
 
Despite these strides, emerging markets lag behind global benchmarks for gender diversity, particularly in Latin America, where more than 10% of firms lack female directors. Additionally, certain sectors demonstrate significant disparities, with the financial and healthcare industries approaching 30% female board representation, while technology and capital-intensive sectors such as industrials, materials, and energy trail at around 20%.
 
Women remain underrepresented in executive leadership roles, comprising only 6% of CEOs globally and just 3% in emerging markets. The highest representation is found in the US and Europe, where 8% of CEOs are women. However, the CFO role has seen notable progress, achieving 14% global representation, with particularly strong numbers in Singapore and Australia (30%) and the US and Europe (20%).
 
Diab also noted, “Some developed APAC countries have made significant progress in increasing the number of women in executive positions, particularly in CFO roles. The rise of female leaders in the region, such as Julia Gillard in Australia, Jacinda Ardern in New Zealand, and Carrie Lam in Hong Kong, may have contributed to this shift.”
 
Looking ahead, BI forecasts that while gender parity may be reached in developed Western markets by the next decade, Australia and New Zealand could achieve it by 2028, setting a faster pace than their Western counterparts. BI emphasizes that regulations and quotas will remain essential drivers of gender diversity on boards, such as the EU's goal for at least 40% of non-executive directors or 33% of all directors to be women by 2026. Additionally, Hong Kong mandates that listed companies add at least one female board member by the end of the year to comply with new gender regulations. The upcoming US presidential election and the possibility of the first female US president could also act as significant catalysts for change.
 
For more information or to obtain a copy of BI's Women Capital study, please contact BloombergIntelligence@citigatedewerogerson.com or ahay38@bloomberg.net.
 
Methodology: Regional data sourced from various indices, including Europe Developed (STOXX 600), Europe Emerging (Bloomberg Europe Emerging Markets Large & Mid Cap), Americas Developed (S&P 500, Bloomberg Canada Large & Mid Cap), Americas Emerging (Bloomberg LATAM Large & Mid Cap), APAC Developed (Nikkei 225, Bloomberg APAC Developed Markets ex Japan Large & Mid Cap), and APAC Emerging (Bloomberg China Large Cap, Bloomberg Asia Emerging Markets ex China Large & Mid Cap).
 
Contact
Oktavia Catsaros 
Bloomberg Intelligence 
ocatsaros@bloomberg.net