Recent research shows female investors are on the rise–moving ahead of men along the way.
There’s been a dramatic increase in the numbers of Australian women investing over the past 12 months. Women made up 45% of all new investors in Australia last year, up from 31% among those who started five to 10 years ago1. And this trend appears set to continue with women accounting for 51% of those planning to invest. What’s more, they’re getting ahead while they’re at it, with female investors outperforming their male counterparts by 1.8%. This might not sound like much, but it can make a big difference in the long run. An extra investment return of 1.8% on a lifetime of savings looks like: $550,575 vs $390,8771*.
There are certain behaviours and patterns that point to women’s success
For example, research indicates that men are more likely to favour speculative stocks, whereas women prefer shares with a good track record2
Investing doesn’t have to be hard
It may be that you want to buy a property or boost your superannuation by contributing additional funds. Or you may want to finance your children’s education. Further down the track, you may want to move into part-time employment or set yourself up for a comfortable retirement. No matter what your short or long term goals are, it’s critical for women to make the most of their income while it’s being generated, to ensure financial security.
See below for a more detailed breakdown of where Australian women are investing.
The opportunity for women is to look to the future. What strategies will deliver financial security in the long run? And why is it particularly important for women to focus on building long-term wealth?
* Based on someone who invests $7,000 each year between the ages of 30 and 67 and includes tax and investment fees.
** Based on the monthly turnover x12.
*** Either personally, in a company structure or via a family trust.
1 ASX Australian Investor Study 2020 https://www2.asx.com.au/blog/australian-investor-study
2 https://www.wbs.ac.uk/news/are-women-better-investors-than-men/
3 https://www.accaglobal.com/my/en/member/member/accounting-business/2017/03/insights/women-investing.html
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