It goes without saying that investing for retirement and the future is a wise financial step to take, no matter where you are in life, your age, your gender, etc. But it is interesting to look at how both men and women invest, and we found this article that covers some statistics about women and investing intriguing.
Are women and men really that different when it comes to investing? Data from Wells Fargo WFC seems to suggest that they are. and that on average, women outperform men when it comes to investing by approximately 0.4%.
While men do tend to trade more than women do, another study discovered that they overtrade, decreasing the rate of their investment success. After looking at women as professional investors, data suggests that women are less impulsive while investing, which leads to better and stronger returns on a long-term basis.
Although several studies and data assessments indicate women may outperform men when investing, they do not invest nearly enough. Many women shy away from investing and, as a result, have less money overall in retirement. This is especially problematic considering that women tend to live several years longer than men.
Why do women invest less? Some say it is because women make less than their male counterparts, and others believe that women simply take less initiative to invest. Either way, women have started to close this gap and are becoming more financially literate and confident about making investment decisions every year.
Wherever you are with your investments and whatever your goals are, we are here to help you create a financial life plan that aligns with where you want to be. To discuss your current financial plan, do not hesitate to reach out to us.