Wealth management / women: capitalizing on growing financial strength

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Women can be savvy speculators. Even a lot of people Makes money In the Nankai bubble of 1720. However, they have a reputation for being cautious investors. They are more likely to hold a significant portion of their wealth in cash than men, Follow your spouse Regarding long-term financial decisions.

The wealth management industry is people-centered. Need to change. UBS boss Ralph Hammers said in April that wealth managed by women was growing 1.5 times faster than other wealth. The share of women in global investable assets is expected to increase by 2 percentage points, from 31% in 2016 to 35% by 2025.

It’s not just UBS. More and more banks are targeting women looking to expand their wealth management operations due to stable fees and low capital requirements. Online mediation such as Robin HoodAlso, I want to attract more users.

Especially in Asia, a significant portion of women’s wealth is self-taught. The richest self-made billionaire woman in the world is Zhong Huijuan, the founder of Hansoh Pharmaceutical. Hujun Research Institute.. The ten richest female entrepreneurs she named were all Chinese, with the exception of Denise Coates, UK CEO of online gaming company Bet365.

Inheritance has always been a more important source of wealth for women than for men. It is destined to become more and more important. Much of the management of the $ 30 trillion in wealth America’s baby boomers accumulate Passed to a woman, McKinsey says. They generally live 5 to 7 years longer than their partners.

This represents a risk for asset managers. Women are more likely than men to change managers, according to a Credit Suisse study. Women investors often complain that assumptions about the needs of asset managers are outdated. Newcomers like Elvest, a women-centric robo-advisor backed by Melinda Gates’ Pivot Ventures, are keen on competition.

Studies show that men focus on pure investment performance and women tend to invest to fund specific goals. They look to more environmental and social investments.

They are also likely to mistrustful Financially. Risk aversion returns to crimping. But it also means that women are more likely to hire a financial advisor and pay premiums for advice.

Traditional wealth managers need to coordinate processes and attitudes to attract and retain more female clients. But success has great rewards. Counseling the ranks of wealthy women can certainly be of great benefit.

The Lex team wants to know more about our readers. In the comments section below, what do you think is the key to wealth management for HNWI women?