By Nicola Peak
According to Fidelity Data (2018), 67% of women are now investing their savings in the stock market.
Further research suggests that women are not only arriving on the stock market in greater numbers, but they generally outperform men by an average of anywhere between 0.4% to 1.8% annually (Source: Fidelity International, 2018)
Biggest investing regrets for women investors, cited by women (Source: Female Invest)
- Not starting early enough – many women do not start investing until their late 30s early 40s
- Not making the most of annual ISA allowances
- Not contributing to pensions regularly from an early age
- Not having an investment strategy
Taking responsibility for your investments
We are all living longer, and women are statistically more likely to live 5 to 10 years longer than men.
‘We no longer have the same level of financial security as we used to, so it’s important that we look after our money and start saving towards our financial freedom and independence.’ Anna-Sophie, Co-Founder of Female Invest
Making informed decisions
In our experience, female clients tend to spend more time researching their investment choices, and while they do take on less risk when it comes to investing, that doesn’t mean they are risk averse.
Balancing risk and reward
Women investors are more likely to take on appropriate levels of risk with their investments, diversifying their portfolios and adopting long term, goal-orientated strategies.
They are also less reactive to volatile markets and trends; choosing their asset allocations more carefully and not building more risk into their portfolio than they are comfortable with. (Source: Fidelity’s 2021 Women and Investing Study).
Making an impact with sustainable investments
Making an impact with sustainable investments is growing, and women investors are very much at the forefront of a global shift towards a more conscientious, ethical, social and environmental approach and are more likely to select ESG (Ethical, Social, Governance) and sustainable investments than men.
Studies also show that women are more willing to accept higher risk or lower return from investments in companies that have positive impacts on the world. (Source: Fidelity’s 2021 Women and Investing Study))
Seeking professional guidance
Overconfidence can work against investors, so it’s important to gather as much information as possible, allowing you to make better informed decisions, in line with your financial goals and aspirations.
While there are potential risks to investing, those that seek professional advice and invest their savings wisely are reaping the benefits.
Opinions constitute our judgment as of this date and are subject to change without warning. The value of investments, and the income from them, can go down as well as up, and you may not recover the amount of your original investment.
The information in this article is not intended as an offer or solicitation to buy or sell securities or any other investment, nor does it constitute a personal recommendation.