Women generally feel more inexperienced with investing and have more anxiety regarding their financial future than men, according to ongoing Millionaire Corner research.
As goes financial literacy among affluent women, so goes investor confidence, according to a recent Wells Fargo survey. Confidence in investing correlates to attitudes an choices that differ significantly from those of women who feel less confident about their investing acumen.
Nearly six-in-ten (59 percent) of self-reported confident women said that the stock market is the best polace to grow savings over time, as opposed to 44 percent of affluent women who are not confident investors. Converely, nearly half (49 percent) of women who are not confident investors said that the stock market is too risky for them, compared with 23 percent of confident women respondents.
With financial knowledge comes confidence, this survey finds. Two-thirds (67 percent) of confident women said they were “taught about investing by someone” versus 39 percent of affluent women are not confident. The survey also found that almost half (47 percent) of confident women are interested in learning more about how to invest in the stock market vs. 35 percent of those who say they are not confident.
Confidence in financial knowledge translates into playing a more active role in the household’s financial situation, the survey found. Seventy-three percent of confident married women said either they alone or acting in conjunction with their spouse make the household investment decisions, compared with 49 percent of those affluent women who describe themselves as not confident in investing.
“I find it so interesting nearly all of these women say confidence in investing is very important,” observed Karen Wimbash, director of Retail Retirement at Wells Fargo, in a statement. “They recognize the power of confidence but at the same time, they are ambivalent about their own confidence and a majority is not interested in learning more. These women are in households with very strong resource levels, so the next step is to be totally aware of how the market can help them and to feel in control of their efforts to invest and grow savings for retirement. “
Even successful women have “bag lady” nightmares of a bereft existence in retirement. Much of this comes from a tendency among women to self-report a greater lack of financial knowledge than their male counterparts, several studies show.
Women generally feel more inexperienced with investing and have more anxiety regarding their financial future than men, according to ongoing Millionaire Corner research. Ask men vs. women who makes the best financial decisions regarding their investment strategies, and the answers stay true to type. Eighty-two percent of men state they make the better financial decisions vs. 62 percent of women. But women are better team players. They give more credit to a collaborative effort than men when considering decisions regarding investment strategies. Eighty-three percent reports their financial decisions are made jointly compared with 39 percent of men.
Donald Liebenson writes news and features for Millionaire Corner. He has been published in the Chicago Tribune, The Chicago Sun-Times, The Los Angeles Times, Fiscal Times, Entertainment Weekly, Huffington Post, and other outlets. He has also served as a marketing writer for Chicago-based Questar Entertainment and distributor Baker & Taylor.
A graduate of the University of Southern California, he is married with a college-age son. He also writes extensively about entertainment.