Author: Nicola Peak
Chartered Financial Planner & Chartered Wealth Manager
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Published: March 2024
According to Finder.com, stocks and shares are the most popular investment type with 5.3 million women in the UK investing in this type and this statistic is on the rise. This is something we can appreciate as we are seeing more prospective female clients wanting to speak with female financial planners.
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 or early 40s
- Not making the most of annual ISA allowances
- Not contributing to pensions regularly from an early age
- Not having an investment strategy
We can resonate with this at MM Wealth as some of our female clients have also mentioned similar regrets, however one thing we assure all our clients is that it is never too late to start financially planning for the future.
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. According to Finder.com, in 2023, women who invested out-performed men by 0.4% per year. Speaking to a Chartered Financial Planner will help support you in creating financial wealth and empower you to achieve your goals.
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 (Environmental, 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.
Contact us
Speak to Nicola on 01223 233331 or email nicola@mmwealth.co.uk for advice on how to achieve your financial freedom.
Disclaimer
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.
The Financial Conduct Authority does not regulate estate planning and tax planning.
The information contained within this blog is based on our understanding of legislation, whether proposed or in force, and market practice at the time of writing. Levels, bases and reliefs from taxation may be subject to change.
