This investment insight delves into what is required for women investors to best manage the unprecedented wealth they now control.

  • Whether women are wealth inheritors, creators, or owners through marriage, they need to take responsibility for preserving, enhancing, and, ultimately, transferring their assets.
  • Due to changing family roles, increased longevity, and a high divorce rate, most women will likely be in sole control of wealth at least a portion of their lives.
  • The gender gap when it comes to investing can be bridged by working with an investment advisor to boost knowledge and understanding.

Women have become financial powerhouses. That much is certain. They have taken on an increasing role in managing wealth to the tune of $14 trillion – and it is expected that by 2020 women will control $22 trillion in personal wealth.

What’s more:

  • Women drive 70%–80% of consumer spending through direct buying power and influence
  • The percentage of businesses with at least one woman in senior management rose from 69% in 2017 to 81% in 2018
  • Women are the sole or primary breadwinner in 40% of households with children younger than 18
  • Women control 51%, or $14 trillion, of personal wealth in the U.S. and are expected to control $22 trillion by 2020

One thing is clear—whether women are wealth creators, inheritors, or owners through marriage, they need to take responsibility for preserving, enhancing, and, ultimately, transferring their assets. In this paper, we will explore women investors’ changing role in wealth management, the obstacles faced by many, and strategies for actualizing their potential as both investors and wealth leaders; in particular, the importance of partnering with an investment professional. Let’s first take a look at the origins of this movement toward increased wealth control by this powerful and influential segment of the
population.

Please see important disclosures at the end of the article.

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