Men, we need you to help us get there.
The women of today want to take care of themselves. Men need to step aside and roll out the red carpet. This is beneficial to them as well.
We need more rich and powerful women in the world because of the impact they will make with their money. Women care more about the societal impact they make than men. They are big givers.
Men have been conditioned to seek power, money, and control. Women in most cultures were raised to be obedient, listen more than talk, and not do things that would hurt a man’s ego.
Well, none of those learned behaviors have been beneficial to our world. Men are overwhelmed with the responsibility placed on them and women don’t feel that they have lived a life that resonates with who they truly are.
To break down barriers women need to build wealth.
The biggest hurdle women will face is themselves. Unlearning behaviors and changing one’s mindset takes time. The sad truth is that if they don’t dive deeper into more risk when it comes to investing, they will regret it.
Another hurdle that women will have to overcome is the pay gap. Women earn 20% less than men. There is a pay gap within their own group as well. Minority women earn less than white women.
White women earn about 80 cents for every dollar a non-minority man makes. Latina women fare the worst making 58 cents and black women earn 64 cents to every dollar that a man makes.
Although women have a higher savings rate than men, they have not accumulated much wealth due to the fact that they play it too safe. They prefer to save than invest.
Why are they afraid to invest? There are many reasons, but one is that they are intimidated. Here is a true story of what happens when women seek support with investing.
I recently saw a YouTube Episode from Clever Girl Finance sharing a story about how a new investor showed up by herself to meet with a financial advisor. The advisor asked where her husband was and when she said that she was single, he asked her how she accumulated the amount of money she wanted to invest. A man would not have been asked those questions. “Where is your wife?” “How did you accumulate this money?”
Millennial women (1981–2000) have a different perspective than baby boomers and are leading the way towards a more equitable financial world. Many have invested many hours learning about personal finance or pursued their education in business or finance. They are taking advantage of the learning tools available as well as the fact that it is so easy to start investing on their own.
Most wealth is being accumulated by women business owners. Millennial Women are pursuing entrepreneurship at high levels. They are taking charge of finances in their home. They feel comfortable taking initiative in decisions that are in the best interests of themselves and their loved ones.
In order to keep attracting and inspiring women to build wealth, the system that has so often catered to men must change.
Those that provide financial services to women must know and understand their clients and the challenges they face. The system must be redesigned to accommodate this new set of investors.
Aside from the pay gap, providers must be prepared to meet with single mothers, divorcees, couples, non-binary, domestic violence survivors, and widows. They cannot be approached in the same manner that men have been in the past.
Women have everything that it takes to be successful builders of wealth. In order to keep the momentum going they will need to:
Talk about money. Form communities with other women investors. Get rid of the stigma that finances are personal or for men
Educate themselves. Invest in learning with books, classes, or coaches. Watch youtube videos. Read articles. Find a mentor.
Define their investing goals. Identify your why. Be specific of what you want to accomplish by investing
Start with tools available like your work 401k.
Start Now. Time is the biggest wealth-building tool. If you are over the age of 28 start investing what you can on a consistent basis. Set up an automated deposit to your investment accounts.
If you are under 28 take many risks right now. Open that business. Invest in whatever interests you. This is your time to explore and learn. Mistakes are welcome here.
In order to catch up and take control of wealth in the world, women need to speak up when it comes to the inequalities they face. There need to be more women at the table leading the money conversations.
What has gotten men to the top is that they take more risks with their money. They have more confidence when it comes to investing. Ultimately, the amount of money you earn does not play as big a factor. It’s what you do with your money that matters. Women tend to save in a regular savings account. Because of inflation, money is lost by doing that.
What comes with wealth is freedom, choice, and the ability to make an impact. Women of today are ready for this. They will do good things with their money for themselves, society and their families.