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Global stock market hit an ATH at $95tn, the UK economy recovery has slowed, women have a secret savings fund should their relationship end and listen to our podcast about how to manage your money
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Global stock market hit an ATH at $95tn, the UK economy recovery has slowed, women have a secret savings fund should their relationship end and listen to our podcast about how to manage your money

Weekly newsletter for women who want to be smart about money: financial news, personal finance and investing

Welcome to our #45 weekly newsletter in 2020.

Every week we curate key content and apply a female-lens so you can stay informed and inspired about money and investing.

Stay in the know.

Keep on top of global economic, financial and investing news and trends. And read about what this means for you and your money in 2020 during Covid-19 and beyond.

If you’re short on time, listen to the editorial on audio for a brief overview.

“For women who are taking control of their financial future”

-Jana Hlistova


From The Purse…

Editorial from the Founder


Global equities are moving further into bubble territory, according to the Buffet-indicator.

Global stock market cap has hit an all-time high this week at $95tn, which is equal to 108% of global GDP; the highest figure since 2007.

Last Monday, the global markets rallied on the Joe Biden win in the US Presidential election and news of a Covid-19 vaccine breakthrough by U.S pharmaceutical giant Pfizer and German biotech firm BioNTech.

The UK economy grew at a record quarterly rate 15%+ but recovery slowed in September. Meanwhile UK unemployment increased to 4.8% in the 3 months to September.

In the Your Money section, read about research by Fidelity International which says that 22% of women have a secret savings fund should their relationship end or they choose to leave their partner.

According to Goldman Sachs, listed European companies that have more women at senior levels have benefited from strong share-price performance (this is based on data for Stoxx 600 companies since the 2008 financial crisis).

The Equality and Human Rights Commission (EHRC) said that the BBC has not breached the law (regarding equal pay), after selecting and reviewing 10 cases between 2017 and 2019.

Former BBC China editor Carrie Gracie, who resigned in 2018 in protest at pay inequalities, has called the investigation by the EHRC a ‘whitewash’. We couldn’t agree more.

And we’re tracking UK fintech startup called PensionBee, founded and run by Romi Savova. They are close to appointing bankers before a flotation in London set to value it at £300m or more.

And don’t forget to listen to The Purse Podcast interview with Tina Weeks, the founder of Serenity Financial Planning. We talk about financial planning and why it’s crucial, how women should think about their pension especially important if going through a divorce. And Tina shares advice on how to manage your money during the pandemic.

Stay safe, look after yourselves and your loved ones.

I hope you enjoy this week’s newsletter. Until next week,

Jana


The Big Picture

Global markets and economy news, trends and indicators


The Coronavirus Effect:

  • The global stock market cap has hit an all-time high this week

    • It is equal to 108% of global GDP which is the highest figure since 2007.

    • We are moving further into bubble territory.


Future Focus

Keeping an eye on key predictions, innovations and what’s going to impact the future



Your Money

Insights, trends and what this means for you and your purse


  • More than a fifth of women have a secret savings fund

    • According to research by Fidelity International, 22% of women have a secret savings fund should their relationship end or they choose to leave their partner.

    • Fidelity found that secret funds have been setup by 21% of women aged 18 to 34, equating to 20% of those living with their partner, and 27% of those with children.

    • One in eight (12%) women admitted that they find it difficult to discuss their household’s spending and budgeting with their partner, and another 12% said they find it difficult to discuss savings and investments.

  • UK adults spend an entire year worrying about their money over their lifetime

    • A study of 2,000 Brits found they typically think about their finances four times a day, for a total of 28 minutes.

    • The top 10 money worries among Brits are:

      • How much money they'll have left over after the main outgoings

      • Household bills

      • How much they should put into a savings account

      • Upcoming occasions e.g. buying birthday gifts

      • How they will cope if their financial situation changes

      • Interest rates

      • Paying off debts

      • Whether they can afford a holiday

      • Whether they can afford personal treats e.g. a haircut

      • Their rent / mortgage


Have You Seen This?

Female-focused news, reports, research, campaigns


  • The stock market boost from more women in management

    • According to Goldman Sachs, listed European companies that have more women at senior levels have benefited from strong share-price performance (based on data for Stoxx 600 companies since the 2008 financial crisis).

    • However, correlation does not mean causation. For example, it could be that by hiring from a broader pool that includes both sexes, companies are able to attract the best talent. Equally, it may work the other way: women may be more choosy about their employer and end up picking higher quality businesses. 

Know this: having more women in senior positions is associated with a lower cost of equity, stronger share-price performance and lower volatility of shares.

Know this: pay discrimination is a complex issue largely due to systemic bias in decision-making around how much women get paid (especially where the hiring process and salary negotiation is not standardised). The gender pay gap exacerbates the problem which compounds over a woman’s lifetime and has a profound impact on a woman’s net worth.

Listen to our podcast interview with Katie Donovan who is one of the leading pay-equity experts and advocates in the US. 

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What We’re Tracking

Female-focused products or services, start-ups and businesses led by women, investment, crowdfunding campaigns and research.



Coffee Break? Read This



We’d love to hear from you. Get in touch with Jana via the The Purse website or tweet @jointhepurse and @janicka.

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