Studies show that lack of confidence is a barrier to investing, even with high financial literacy. [Source]
In the world of finance, confidence can be the linchpin differentiating those who thrive from those who merely survive. Yet, recent findings from a survey conducted by HSBC UK have unveiled a stark reality: fewer than a third (31%) of women feel confident about investing, in stark contrast to more than two-fifths (44%) of men.
Released in conjunction with International Women’s Day, this survey uncovers insights into a complex issue prevalent in the global financial landscape.
More than a third of women (34%) find themselves without any savings to invest, juxtaposed against 28% of their male counterparts. Moreover, nearly two-thirds (63%) of women express uncertainty about how to undertake their investment journey, whereas less than half (46%) of men share similar sentiments.
Rebecca Owers, who leads wealth distribution at HSBC UK, stresses the crucial importance of financial education in tackling this gap. “We need to make our money work harder, so it’s important to consider options like investing. Financial education is key here – by talking openly about money and learning the different options available, women can gain the confidence needed to take control of their financial futures.”
The hesitation among women to venture into investment is further compounded by perceived barriers. Over half (55%) of women believe that substantial wealth is a prerequisite for investing, compared to only 36% of men. Additionally, women are more inclined (20%) to invest in ventures endorsed by friends or family, in contrast to a mere 8% of men.
The results, obtained from a thorough survey involving more than 2,000 people throughout the United Kingdom, highlight the urgent need for collaborative efforts to address the investment confidence disparity among women. Empowerment lies not merely in acknowledging these disparities but in actively dismantling the systemic barriers that perpetuate them.
