Investing for Women
According to a study by Fidelity Investments, women investors have a higher saving rate and a higher rate of returns compared to their male counterparts given the same amount of investments.
This is due to a more conservative approach to investing by women investors, who have encountered many hardships in life and want to keep their nest eggs safe.
Another survey by Fidelity found that women are much more cautious than men while investing their money:
This means that women not only have to work harder as individuals but we also need to make our savings do the hard work to bridge this gap.
Based on my experience as an active investor, there are a few things that women can do to be better investors:
Learn
We need to be aware of the investment opportunities available to make the best investment choices. One might start by knowing what are the broader asset classes they can invest in, the expected returns and risk associated with those, what are the instruments and schemes available and how they impact our taxes and long term returns.
While there are a lot of online resources to start learning about investing, some recommendations are:
Top 10 investment options for Indian women
Morningstar Investing classroom
Women Investing Network’s podcast
A Goal-Based Approach
We as women should focus on long term wealth creation keeping up our inherent nature of a holistic approach and conservative investing which helps to prioritize the preservation of capital over market returns.
Healthy Asset Allocation
To learn more about the asset allocation strategy, check out my modules on case by case
Whether you’re looking to save for retirement, grow your wealth and financial security, investing is a great option. Do your research, trust your gut, and get started. When you see how much your savings can grow, you’ll wonder why you didn’t start sooner.
You may want to read
