Historically, women have noted worse experiences when it comes to the financial industry than their male counterparts. Financial planning and wealth management are aspects of life that both males and females must deal with, and being financially literate is important when considering a person’s overall wellbeing. In this episode of What They Don’t Tell You, advisors Bernadette Churchill, Ann Bawden, Anne Wildfong, and Samuel Chinniah discuss the ways women have been oppressed when it comes to finances, how the industry is missing the mark on inclusivity, and why it is so important for women to participate in their wealth creation. 

Though the services they use are the same, 73% of women reported having negative experiences when dealing with the financial community. Anne Wildfong details how she believes male advisors need to be more considerate when communicating with female clients and to take into account that many women already have an understanding of their portfolio. It is a disgruntling feeling for a woman to feel like she is being talked down to, especially when her advisor neglected to look into her background. If he had,  awkward situations could be avoided. 

These “gendered” roles see themselves present in the financial industry, due to the nature of males being the person in the family who traditionally manages the finances, and that historically women should not concern themselves with the house’s finances, rather running the household. This outdated structure can prove more harmful than helpful in the present day because it perpetuates old gendered stereotypes that have no place in society in 2021. Our team has noted that significant changes have been made in the financial industry when it comes to being more considerate of female clients and advisors, but that there is still a long way to go until women can comfortably exist in the wealth space. 

An aspect of this that still has a long way to go is the amount of female financial advisors working in the industry. Only 15% of financial advisors are female, which may be daunting to prospective female clients since they are unable to see themselves accurately represented in finance. It is important for clients to feel comfortable sharing details of their life around their advisors because this helps advisors best manage a portfolio to meet a client’s future goals. If a client feels uncomfortable around their advisor, they are not maximizing the potential of their portfolio, because aspects important to that client could have easily been overlooked. For example, perhaps a client wanted to create a vacation fund, but the lack of comfortability around their advisor deterred them from speaking up, and that money ended up being put towards buying a vehicle. 

Many female clients prefer female advisors because they can see themselves represented in the industry, or feel as though another woman can better understand their goals when it comes to their wealth, but that’s not always the case. The most important factor when choosing a financial advisor is fit and comfortability. When you match with a good advisor, you’re working directly with someone who is going to counsel you when it comes to your finances and help you optimally manage your finances to reach your goals. No two peoples’ portfolios are identical, and neither are two financial advisors. For people looking to start working with a financial advisor, it is a good idea to reach out to friends and family, and see which financial advisors they are working with. This provides a good starting point to begin interviewing advisors. Do not feel as though you need to work with the first advisor you meet with. Ensuring that you and your financial advisor have a trusting relationship is a key element in proactively managing your wealth. 

To continue to equalize the wealth industry, people need to speak up when they notice discrepancies. Not all women can be generalized under one umbrella, as Chinniah says, “one size does not fit all.” Wealth creation is important when considering a person’s overall wellbeing, and access to wealth creation should be universal. Money is power, and being financially literate will provide a person with the tools they need to secure their wealth and control their destiny. 

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To learn more about Ann Bawden

LinkedIn: Ann Bawden

About: https://www.cwbwealth.com/en/about-us/our-team/ann-bawden

To learn more about Samuel Chinniah

LinkedIn: Samuel Chinniah

About: https://www.tewealth.com/portfolio-item/samuel-chinniah/

To learn more about Bernadette Churchill

LinkedIn: Bernadette Churchill

About: https://www.cwbmcleanpartners.com/en/about-us/our-team/bernadette-churchill
 

To learn more about Anne Wildfong

LinkedIn: Anne Wildfong

About: https://www.leonfrazer.com/people/investment-professionals/anne-wildfong