Do financial institutions understand woman?

Are women geared up to the potentials in the world of investments? Are financial institutions understanding women and their needs?

A survey conducted by the UK Sustainable Investment and Finance Association (UKSIF), prior to their campaign called Good Money Week, launched on 29 September, reveals it all.

Good Money Week encourages sustainable and ethical investing and is focusing on female economic empowerment and the investment gap for this year’s initiative.

The campaign, ‘Who Fund The World?’ comes as research conducted by Good Money Week found that 58% of women do not think financial institutions understand the financial needs of women.

The research found that women are more likely than men to care about the ethical impact of their investments on society, meaning their potential impact on planet and society could be huge.

However, it also found that women are less likely to invest compared to men, with half (50%) of men possessing a non-state pension versus 41% of women, and nearly a quarter of men (23%) having investments in stocks and shares versus just 15% of women.

Additionally, women are more likely to feel somewhat shut out by financial institutions according to the survey data. This may be the clincher to conclude that financial institutions understanding women may still be a wish list.

As well as the 58% of women who said they don’t think financial institutions understanding them and their needs is a reality. When they read their marketing materials, over a third of UK adults (35%) believe the financial industry tends to target men with information as opposed to just 3% who think they target women.

‘Who Fund The World?’ aims to encourage and empower women to act upon this concern, and take control of where their money is invested.

Charlene Cranny, campaign director for Good Money Week, said: “In recent years, we have seen more and more women respond to gender-based inequality with passion and unity. However, one area that has been rarely discussed is the huge disparity between men and women’s investments.

“Not only should women be investing in themselves and their future, our research shows that they are more likely to invest ethically, so the impact they could have on the planet and society could be huge.

“Women are coming into more money than ever and are expected to hold 60% of the wealth in the US in the next ten years with similar figures cited for the UK.

“There is a big job to be done on ensuring the industry is inclusive and talks to them. We hope to wake women investors up to their huge potential in the world of investments.”