Do women feel powerless due to their partner's breadwinner status? Passive investing is on the rise, Tesla share price, the cannabis ETF is here and why are we fixated on what powerful women wear?
Weekly newsletter for women who want to be smart about money: financial news, personal finance and investing
Welcome to our #6 weekly newsletter in 2020.
Every week we curate key articles and content so you can stay informed and inspired about money and investing without the boring bits!
This is your weekly go-to place to read up on all things money-related.
We spend hours sifting through content every week and apply a female-lens to news and content about money and investing so that it is meaningful to you.
Ultimately we want to support you in making well-informed financial decisions, grow your net worth and ensure your financial security.
Photo by Elle Hughes
From The Purse…
Editorial from the Founder
According to a recent survey in the US, many women ‘feel powerless at home due to their partner’s breadwinner status’.
A study of 2000 women who are married or co-habit with their partner who earns most of the household income revealed that they ‘feel trapped’.
Many believe that having a joint bank account stifles their financial independence and 64% felt pressurised to make the decision in the first place. Another 70% wish they had more financial power whilst 66% married women regret not creating a safety net for themselves to fall back on.
Unfortunately women are still more likely to experience financial abuse in a relationship, but even if they don’t, having control over one’s money puts women in control of their life.
It’s so important that as women we engage around our money, have ownership and become even more curious about how to make our money work for us.
Because as we know, life has a way of surprising us when we least expect it. And we must always be ready so we can make the right decisions when it matters most.
So remember to stay informed, don’t hold back on asking questions and surround yourself with likeminded women who are on a similar journey to you.
I hope you enjoy this week’s newsletter. Until the next week!
Jana
The Big Picture
Global markets and economy news, trends and indicators
The global stock market capitalisation gained $1.8tn this week, despite the coronavirus and GDP cuts by analysts. The market valued at $87tn equals to 100% of global GDP.
US stocks gained 3.2% for the week-its biggest increase since June 2019. The European markets followed a similar pattern with a 3.3% increase for the week-it’s biggest weekly gain since November 2018.
Investors have returned to equities earlier in the week as China’s central bank injected money into the economy to limit the fallout from the coronavirus.
However the Federal Reserve warned on Friday that ‘spillovers’ from the coronavirus outbreak could pose a fresh risk to the US outlook. (Source: FT)
According to data from the Investment Association:
UK retail investors and advised clients withdrew £3.2bn from actively managed investment funds in the UK in 2019 and investors placed a net £18bn into tracker funds during the year. Of this, £8.9bn went into tracker funds that invest in equity markets.
"Investors piled back into UK equities last year ending a long-running period of outflows. In particular, the UK retail fund market enjoyed a post-election uplift from the Conservative election victory. UK savers invested £15bn into the UK retail fund market, a two-fold increase from 2018’s flows of £7.2bn.” (Source: FT Advisor)
Tesla share price rallied to $1000 per share; a jump of 48% during the first two trading sessions in the week. From a low of $180 per share in June 2019, the share price settled at just under $750 per share on Tuesday. (Source: FT).
Looking Ahead in 2020
JPD Capital launches medicinal cannabis investment vehicle
JPD Capital has launched a cannabis focused fund to harness the growth of the global medicinal cannabis market.
Purpose Investments and HANetf launch first Medical Cannabis UCITS ETF
The Medical Cannabis and Wellness ETF is the first medical cannabis focused ETF listed in Europe.
CBSX will list in Germany initially.. and has been given the green light to be sold in the UK, Italy & Ireland.
As of 2018, the global market size was $13.4 billion and experts forecast it to reach a value of $148bn by 2026, translating to a CAGR of 26.4%.
Source: UK Investor Magazine
Photo by Michael Fischer
In the Spotlight
Is there a topic you'd like us to Spotlight? Please email jana@jointhepurse.com or tweet @jointhepurse
What is an ETF?
An ETF is an exchange traded fund. It is a basket of stocks or bonds that trades like regular stocks. They are usually passively managed: they trade on stock exchanges and track specific indexes such as the FTSE 100 or the S&P 500. They are transparent and incur lower fees than actively managed funds.
Have You Seen This?
Female-focused news, reports, research, campaigns
Only two women applied for the Bank of England Governor role
Gender balance: why this investment firm using male-female co-led fund strategy
Fearless Fund Launches $5 Million Dollar VC Fund For Women Of Colour Entrepreneurs
What We’re Tracking
Female-focused products or services, crowdfunding campaigns, start-ups led by female entrepreneurs & investment, research.
Chief: (US)-is a real-life and digital private network for women working at the VP level and above, founded by Carolyn Childers and Lindsay Kaplan.
The start-up raised $3m in 2018, and recently raised $22m.
It has over 2000 members from companies including Spotify and Walmart.
Money Habit of the Week
Do you have a money habit you would like to share with us? Tweet @jointhepurse
When assessing risk in any investment decision, look at the assumptions you are making. Ask yourself: what will happen if things go wrong?
The extent to which you can quantify the downside will inform your decision-making and therefore improve your chances of success.
And don’t forget the old adage: only invest in what you understand.
Caught Our Eye
New digital tools and cool stuff for managing your money
We know that women are driving self-employment in the UK. And we really like this small business banking start-up called Anna.
Available as a mobile app, users can set up their business account, do their invoicing, track their expenses and sort company taxes & VAT.
We’re Applauding
Female role model in politics, finance, business, money, or investment
We’re celebrating Tracy Brabin, Labour MP who ‘dared’ to wear an off shoulder dress to the House of Commons and has been criticised for it ever since. Yes, women are still held to a different standard to men.
But Tracy has decided to take matters into her own hands and is raising money for Girl Guiding by auctioning the dress on ebay! We salute you Tracy!
What We’re Listening To
We’re big fans of Naval Ravikant, a Silicon Valley entrepreneur and angel investor. Here he talks about financial health and why having enough money helps you develop peace of mind (2mins+).
What We’re Reading
A Random Walk Down Wall Street has long been established as the first book to purchase when starting an investment portfolio.
In this new edition, Burton Malkiel includes new material on exchange-traded funds and investment opportunities in emerging markets. We hope you enjoy it!
Coffee Break? Read This
If you can't find a spouse who supports your career stay single
Talking about money with another woman helped me double my income
The anonymous spreadsheet 700+ women are filling out their salaries to close the wage gap in tech
Why are we still so fixated on what powerful women are wearing?
We’d love to hear from you. Do you have feedback? Have we missed anything? What would you like to see more of? Get in touch with Jana via the The Purse website or tweet @jointhepurse and @janicka.
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