The amount of wealth influenced by women and the rate at which it has been increasing are remarkable. Women are responsible for approximately $18.4 trillion in consumer spending and hold approximately 30 percent of global wealth. They are the sole financial decision-makers for one-third of households in the United States, and 95 percent are involved in their households’ financial decisions1. American women start 70 percent of all businesses, have a lower unemployment rate than men, dominate nine of the 10 fastest growing occupations, and benefit from improving wage equality2.
A Prudential Research study said, “Despite becoming a powerful financial presence in the United States and around the world, many women are more confident about financial decisions when they consult with an advisor3. Currently, women are looking to financial representatives for assistance with:
- Wealth recovery: Women’s financial priorities include having enough money to provide a comfortable retirement. In response to the financial crisis and recession, almost one-half reported they plan to save more and retire later.
- Financial planning: Additional financial priorities include accumulating assets, protecting wealth, and generating retirement income. However, just one-third of women have taken the time to develop and implement a financial plan.
- Investment strategies and products: Women say they are familiar with savings accounts, life insurance, workplace retirement plans, and IRAs. They are less knowledgeable and would like to learn more about the potential cost of long-term care and strategies for generating retirement income.3”
1 Investment News, Women & investing, April 8, 2012 (http://www.investmentnews.com/article/20120408/REG/304089957&issuedate=20120406&sid=WOM)
2 Kiplinger.com, 3 Companies That Will Benefit From Women's Growing Purchasing Power, April 28, 2011
3 Financial Experience & Behaviors Among Women, 2010−2011 Prudential Research Study, July 2010 (http://www.prudential.com/media/managed/Womens_Study_Final.pdf) ]
The above material was prepared by Peak Advisor Alliance.