For many successful women, confidence in their professional lives just doesn’t seem to translate into feeling financially empowered. In fact, a recent study by Bank of America found that only 28% of women were “mostly” or “very” comfortable making investment decisions.
Even as careers progress and wealth accumulates, investing can still feel like a foreign language for many women. Considering financial literacy and investing are rarely taught in school, it’s not hard to see why many people (not just women) struggle to find their financial footing later in life. Basic financial strategies and concepts are often even gatekept from women (particularly if they grew up in more traditional households), or framed in confusing terms that just don’t resonate.
But investing isn’t just for Wall Street insiders or finance buffs. It’s a tool that’s accessible to everyone, and when paired with patience and strategy, it can be used to support your values, goals, and long-term vision.
Let’s talk a bit more about investing and financial know-how, and what you can do to feel more confident in your decision-making moving forward.
Demystifying the Investment Landscape
It feels like the investment world prides itself on being overly complex. Acronyms fly fast- ETFs, REITs, RMDs- and the sheer amount of jargon feels like it’s intentionally meant to keep outsiders at bay. But if we pull back the curtains and start with the basics, investing can be a simple and rewarding process designed to help you build wealth over time.
Speaking of keeping it simple, you don’t need to become an expert in every market cycle or memorize the intricacies of bond yields. Rather, establish your long-term goals, consider how much risk you’re comfortable taking on, and work with a trusted advisor who can manage the rest.
You and your advisor can work together to drown out the day-to-day noise of the market movements, while focusing on the long-term growth potential of your portfolio. They can help you build a well-balanced set of investments that may include stocks for growth, bonds for stability, and cash or cash equivalents for liquidity.
From there, your job is relatively simple:
- Contribute regularly
- Ignore the urge to make impulsive decisions (including buying or selling during periods of volatility)
- Reassess the performance and balance of your portfolio at regular intervals (say quarterly or annually)
Once you’ve got the basics down, you and your advisor can continue building on your knowledge and comfort levels to explore other opportunities that might align with your interests, values, and goals.
Investing That Reflects Your Career and Life Trajectory
Your wealth wasn’t built overnight. Your investment strategy shouldn’t be either. A thoughtful portfolio will reflect not just your appetite for risk, but also your life experience, evolving goals, anticipated timeline towards retirement, and the trajectory of your career.
For example, if you’ve been a business owner or executive, your income may have come in waves- perhaps through equity compensation, performance bonuses, or proceeds from a business sale. That irregularity should be acknowledged in how you approach certain aspects of your wealth and investments, including your access to cash (liquidity), diversification, and tax strategy.
Or, if you’re nearing retirement after decades of wealth building, your focus may shift from accumulation to preservation and income generation.
A well-aligned portfolio can help ensure your wealth continues to support your needs, whether you’re planning an upcoming sabbatical, giving charitably, or establishing a second act career that’s less about profit and more about pursuing your passion or purpose.
Understanding the Emotional Side of Money
Even the most capable women can carry hidden fears about investing. Perhaps you’ve seen others make costly mistakes, or you’ve been told, explicitly or implicitly, that investing is “too risky,” “too confusing,” or “not your strength.”
Investment confidence doesn’t mean never feeling nervous. It means knowing you’ve built a framework that supports you through market ups and downs, and anchoring your decisions in a long-term plan- rather than reacting to headlines or short-term volatility.
For many women, confidence grows not from watching the markets, but from watching their own progress and simply learning by doing. When you can clearly see how your portfolio supports your personal and professional life goals, investing can feel less scary- and more like a normal part of everyday life.
How the Right Advisor Can Help Improve Financial Confidence in Women
If investing still feels like unfamiliar territory, that’s okay. What matters most is not where you’re starting, but how you move forward. The financial industry hasn’t always done a great job of meeting women where they are- but we’re happy to say that’s starting to change.
Today, more advisors are embracing a collaborative approach to planning, which prioritizes education and goal-setting. They’re tailoring strategies to better reflect real-world needs and changes, as opposed to relying too heavily on outdated hypothetical models. More advisors are also creating space for conversations that go beyond charts and benchmarks to focus more heavily on your priorities, opportunities, and vision for the future.
If you’re ready to take the next step, you don’t have to go it alone. With the right support, you can gain the literacy, clarity, and confidence to build a portfolio that reflects the life you’ve worked so hard to create. Don’t hesitate to send us a message, let us know what’s on your mind, and schedule time to talk with our team.
