A brand-new study—about women and investing—triggered a decades old memory
I’d just sold my first book Prince Charming Isn’t Coming — to a publisher and flew to NY to meet my editor. As we chatted, I casually asked if she invested. An awkward silence ensued.
Clearly embarrassed, she muttered, “Oh no, I have no money for that.” I quickly changed the subject.
A year had passed when my editor called with surprising news. “Remember when you asked about investing, and I said I had no money?” I nodded in recollection. “Well,” she continues, “I did have money in a 401(k), but it was all sitting in cash. Your book showed me how foolish that was.”
She hired a financial advisor, invested her savings and was positively giddy watching her retirement grow. “The market goes up and down,” she exclaimed, “But I’m in it for the long haul, so I’m not worried.” I was overjoyed.
Then she uttered the words I hear from every woman who takes the plunge:
“I have to tell you, Barbara, I feel so powerful!”
Which is why Ellevest’s 2023 Fall Financial Power Survey triggered my memory:
The survey found that women who invest feel more powerful as a woman, more in command of their future, and more content with their life.
The survey’s message echoes the one I’ve been broadcasting for almost 40 years: “Women, do yourselves a favor—start investing! It’s much simpler than you think. And the rewards go far beyond money. “
Sadly, a staggering majority (71%) of women stash everything in cash, which Ellevest correctly calls a “losing game.” Cash reserves are swiftly eroded by inflation while stocks gain on average 10% a year.
Why do so many women avoid investing? In large part, we’ve been conditioned to believe we’re bad with money. And it’s high time we dispel that myth.
95% of those surveyed felt the financial industry wasn’t built with women in mind. 0% disagreed.
Yet studies prove that women investors consistently outperform men. We’re more thoughtful, take fewer risks, and trade less often, a winning strategy over time.
If you’ve been avoiding investing, here’s a game plan that worked for me:
Dedicate 4 months to educate yourself about investing by taking small, consistent steps.
Every day, read something about money, just for a minute or two. You’ll be amazed how much you’ll learn by daily perusing small snippets.
Every week, talk about money with people more knowledgeable than you. Ask them how they got smart.
Every month, meet with a partner—someone who also wants to learn about or begin investing— to hold each other accountable. You don’t have to do this alone. Nor should you.
That’s why I created The Wealth Connection—an online community to give women a safe space to learn, find support, and talk honestly, candidly about money, as women. Learn more HERE.
As the survey discovered:
Stepping into your financial power … alongside (or guided by) other women [has] the potential power to make more women feel confident about their financial futures.
Believe me, investing is less about the wealth you’ll amass and far more about how powerful you’ll feel once you conquer your fears.
Do you invest? And do you actually look at your investments? If not, why? Leave me a comment below.
You can read the survey HERE.
Image and article originally from www.savingadvice.com. Read the original article here.