Nearly three-quarters of American women — 71% — now own stocks, up from just 60% one year ago, according to a recent survey by Fidelity Investments.
More than any other group, it is the youngest women — members of Generation Z — who are leading the way.
A full 77% of Gen Z women own investments in the stock market, according to Fidelity’s latest annual Women & Investing Study. Among Gen Zers, 38% also have investments outside their retirement plans, 10% more than women overall.
Older women are also investing more. The percentages of Generation X and baby boomer women who are investing jumped by 18% and 23%, respectively, compared to last year, the biggest increases among any age group.
Generation by generation, the percentage of women who invest is:
- Generation Z: 77%
- Millennials: 74%
- Baby boomers: 70%
- Generation X: 65%
The study — which surveyed 1,533 women aged 18 years and older, as well as 1,463 men — also highlighted some areas in which women continue to struggle with investing and finances.
More than half of women say money worries keep them up at least one night per month. Women also are nearly twice as likely as men to describe their investing knowledge as “non-existent.”
In addition, more than 70% of women lament not beginning to invest earlier in their lives.
In a summary of the survey findings, Sangeeta Moorjani, head of tax exempt market and lifetime engagement for Fidelity Investments, says there has been an encouraging increase in the number of women who are now investing in the stock market:
“We know there is still work to be done — the financial confidence gap continues to persist, and women continue to report higher levels of financial stress than men — but we’ve made considerable strides.”
The study found that women tend to be slightly more conservative than men in how they invest, although younger women appear to be more comfortable with risk.
When there is volatility in markets, about one-third of both women (33%) and men (32%) do nothing with their investments and wait things out. But men (29%) are much more likely to invest more during periods of volatility than women (14%).
A strong majority of women — 71% — agree that investing is a way to build generational wealth. When asked about what makes them proudest in terms of money accomplishments, women mentioned all the following in their “top five”:
- Providing for my family: 39%
- Living within my means: 36%
- Paying off debt: 32%
- Not accruing debt: 26%
- Saving as much as I can for retirement: 19%
Add a Comment