Home›ETFs & Funds›Fund Industry›Women invest less but can earn slightly higher long-te…

Women invest less but can earn slightly higher long-term returns

In the UK, only about 26% of women invest, and a Barclays dataset cited by the outlet shows women trade about half as often as men.

Reported · Written up by our desk · Fund Industry

Women in the UK who do invest tend to earn slightly higher long-term returns than men, according to analysis highlighted by BBC Business. The outlet also points to a major participation gap, with about 26% of UK women investing versus about 40% of men.

A separate study referenced by BBC Business, from consumer finance website Boring Money, finds the share of women who invest falls to 23% for those under 45. The reporting links that gap to culture and to historical differences in who holds wealth and makes family investment decisions.

BBC Business cites examples and data on performance and behavior. It includes an account of a woman who began investing in her 20s and reported reaching £40,000 saved by age 33, with £8,000 attributed to investment returns.

For returns, BBC Business points to Fidelity International analysis showing that over three years female personal investing customers recorded cumulative returns of 50% versus 47% for men. The outlet also cites Barclays data that women trade around half as frequently as men, and attributes possible higher returns to a more patient, risk averse approach, according to a business psychologist interviewed by the outlet.

More like this

Sources