Why understanding women investors is smart business
Welcome to #279 weekly newsletter from The Purse.
For years, wealth management has been shaped by a male-dominated perspective.
This is not a criticism-it’s a reality. And as the client landscape changes, so too must the industry’s approach.
Women are set to control more wealth than ever before. Yet many advisers may still see them through a traditional risk-averse filter.
Women investors aren’t more cautious—they’re more considered.
What the data shows:
According to Financial Planning (US):
62% of advisers say women make up no more than 30% of their client base
Over 80% expect that number to grow in the next 5 years
25% of advisers adjust their advice based on gender:
Source: Financial Advisor Confidence Outlook, March 2025.
From the UK’s NextWealth’s Fee Benchmarking report:
56% of women (vs. 42% of men) want personalised financial advice
More than half of women trust their adviser—compared to 43% of men
There’s a clear opportunity for advisers to engage more meaningfully with female clients by shifting how advice is framed and delivered.
Understanding the difference…
Dr. Ylva Baeckström, a Senior Lecturer in Finance at King's Business School, has conducted extensive research revealing gender biases in financial advising.
Her studies suggest that advisers often perceive female clients as having less control over their investments compared to male clients.
And her work has demonstrated that both male and female advisers are prone to recommending lower-risk portfolios to women—regardless of their actual profile.
This highlights how crucial it is to address potential biases to ensure equitable financial advice for all clients.
Because what women investors seek is clarity, engagement and results with their financial adviser—not just a cautious strategy.
Research indicates women are asking for:
Long-term planning aligned with their life goals
Communication that avoids jargon and builds trust
A partnership that reflects their values and priorities.
The stakes are higher for women: their financial journeys often include career breaks, caregiving responsibilities, and longer life expectancy. A standardised approach doesn’t account for that.
Personalised advice—rooted in empathy and insight—will improve financial outcomes for women across wealth levels.
The opportunity for advisers:
Rather than seeing this as a challenge, the most forward-thinking professionals view it as a growth strategy.
Build rapport to unlock long-term trust
Rethink communication and client education
Tailor financial strategies to reflect life stages—not assumptions
Diversify advisory teams to reflect diverse client bases
When women feel heard and understood, they don’t just invest more—they are loyal, refer their friends, and grow relationships over time.
Looking ahead:
With the Great Wealth Transfer accelerating, women are poised to lead a generational shift in how wealth is held, managed, and invested.
Forward-thinking advisers who adapt their strategies are not only poised to enhance their female clients' financial well-being, but also to drive significant business growth.
We’d love to hear from you. Get in touch with Jana via the The Purse website or tweet @jointhepurse and janicka. We do no provide investment advice. Please do your own research or speak to a financial adviser. Images are generated with AI for The Purse Ltd.
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