Study: women are more concerned about their standard of living falling in the next 12 months
Welcome to the bi-weekly update (#171) where we dive deeper into key topics, themes or issues specific to women and their lived experience.
The majority of women (57%) are concerned that their standard of living will fall in 2023, according to research by Handelsbanken Wealth & Asset Management.
The study revealed that energy prices was the main concern in terms of the impact on their personal wealth.
But whilst women were generally more worried about rising inflation and rising interest rates, men tend to be more concerned with stock market volatility and Capital Gains Tax (CGT).
However men seem more concerned about personal factors such as ill health impacting their finances. And 23% of men are concerned about the financial impact of divorce versus only 14% of women.
Also men seem to spend more time reviewing their financial commitments every month. Whilst women seemed to spend 45% less time reviewing their pensions and investments.
And whilst the research suggests that women have lower levels of financial literacy and confidence when it comes to financial planning, we know that women have less ‘free time’ than their male partner.
Women shoulder the majority of household chores and childcare, even if they work full time or are the breadwinner in the family.
They often ‘budget for the household’ which forces them to think more ‘short-term’, whilst their male partner has more time to invest and invest for the long-term.
But despite women having less disposable income to invest, approximately 42% of women invested during the pandemic (US) and 51% of women have ‘taken more of an interest in their finances as a result of the coronavirus pandemic’ (UK).
Also the financial services industry has admitted to defaulting to the ‘male customer’ in the design of its products and services, which has alienated the female customer.
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