You are here: Home - Investing - Experienced Investor - News -

‘Wary women’ shun investment brands and products

Written by:
There remains a huge disparity between men and women when it comes to stock market investment, with women tending to stick to cash for their savings because investments are ‘too risky’.

Only 21% of women have investments compared to 34% of men, according to a report from Boring Money. The gender investment gap starts early, with 45% of women under 25 having no savings or investments compared to 40% of men of the same age.

Boring Money identified three major barriers for women to invest: confidence, willingness to engage and time. Women said they are more likely to stick to cash because investments are ‘too risky’ (22% of women savers vs 17% of men savers).

When choosing a financial provider, women said they are more likely to seek recommendations from friends and family than men, who are more inclined to do their own research. Nearly twice as many men said they are happy to pick their own investments, while women are more likely to want to seek the help of a financial adviser.

Women favour retail and comparison site brands compared to men who typically favour traditional financial brands. Their top ten favoured brands include Nationwide, MoneySavingExpert, Barclays, HSBC, MoneySuperMarket, John Lewis, Standard Life, Aviva, Tesco and Hargeaves Lansdown. Nationwide also scores highly among men, but their list also includes Aberdeen Asset Management.

Boring Money said the potential for new brands is clear – almost a fifth (18%) of people would consider investing through a non-financial services brand, such as a retailer. Women in particular favour retail brands and comparison sites which suggests they value and trust the clear signposting and guidance offered by these brands when it comes to making decisions and selections.

Holly Mackay, CEO at Boring Money, said, “Our failure to engage women as long-term investors simply exacerbates a key problem we face – women are typically paid less, earn less and are also less likely to engage with the investment products which could deliver better returns for long-term savings. We need to tell people that investing can be for them, regardless of their gender, age or net monthly wage, or attempts to deliver equality in later life will fall short. This is a bigger issue than simply looking at the pay gap.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Interest rates could rise to 0.75% in the next 12 months

The Base Rate could be raised twice over the next year from its lowly 0.25% standing, according to a leading...