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

Women are getting richer faster than men

0
Written by: Cherry Raynard
08/03/2019
Although the wealth of women is expected to grow at a faster pace than men’s, confusion continues to reign over common savings products, new research from Ford Money has shown.

Women are expected to see their wealth grow 7% faster than men’s until 2020, according to the research.

However, the study also showed that 36% of women avoid using ISAs because they don’t feel they understand them well enough.

Fewer women (53%) believe ISAs are an important part of their savings portfolio compared with men (62%). This difference in attitude is contributing towards the gender gap on savings.

What’s more, the problem is getting worse rather than better – as recent changes have muddied the waters on ISAs. Around 55% of women surveyed said ISAs have become increasingly confusing over time. The publication of these findings coincided with International Women’s Day.

Suzanne Lewsley, chief deposits officer at Ford Money, believes the banking industry needs to take action to address this lack of understanding: “Are most customer experiences designed to meet their needs? Many haven’t put sufficient thought into what the customer wants. We have done a lot of work on designing the user experience to ensure that customers understand what we do.

“This research shows people are confused – and money can be challenging and frightening. To help meet long-term savings needs, it has to be easy to understand.”

On a positive note, she believes the landscape is changing. Previously seen as the preserve of men, financial services have become more diverse and inclusive.

“It is all about trust when it comes to people’s money. We’re at the beginning of a transformation about the way we talk to people,” Lewsley said.

She believes ISAs must remain a staple in the savings market and it is worrying that a large proportion of women don’t understand them: “They remain an extremely effective means for everyone to maximise wealth.”

Related Posts

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.

ISAs: your back-to-basics guide for 2018/19

Here’s everything you need to know to make the most of your unused ISA allowance ahead of the 5 April deadli...

A guide to Sharia savings accounts

A number of Sharia savings products have upped their game in recent months, beating more familiar competitors ...

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

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.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

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...

Money Tips of the Week

  • Discover how your pension can be used to make a range of investments with attractive tax advantages. By… https://t.co/LMSAsBt3hb
  • RT @Defaqto: Looking for your first job? We outline our top tips for understanding and improving your credit score. Take a look @YourMoney
  • @YourMoneyUK Biased. People don't look at this stuff rationally. They also would not buy annuities if there ware decent alternatives.

Read previous post:
Closing the gender gap could add £250bn to UK economy

The government has set out a plan to increase the number of female entrepreneurs by 50% after an independent review...

Close