Over four in ten women lack confidence to invest

For instance, more than four in ten Dutch women say they lack the confidence to invest, while the same is true for only a quarter of men. Women also rate their financial knowledge lower than men. While more than two in five men say they have a lot of knowledge, only 27 per cent of women do. As a result, far fewer women (23 per cent) than men (39 per cent) are currently investing. These results are from a study conducted by ABN AMRO and Ipsos, surveying 1,500 Dutch people.

Even on more general topics that could affect their financial situation – such as geopolitical and economic developments – women are less likely than men to state they have a lot of knowledge. More women (36 per cent) than men (25 per cent) say they have difficulty with financial topics. When Dutch people were asked which gender is more likely to be knowledgeable about investing, 40 per cent said men. Only five per cent think women are more knowledgeable in this area. Both men and women consider financial specialists to be the most important source of information. Women (41 per cent) say more often than men (30 per cent) that they consult people they know. And almost a quarter of women use social media to get informed about financial matters, compared with 18 per cent of men. Interesting findings, as only 13 per cent of women and 11 per cent of men said they view social media as a reliable or very reliable source.

Women more cautious in major financial decisions

When it comes to making financial decisions, such as starting to invest, over four in ten women say they have little to very little confidence, versus one in four men. In addition, more than four in ten women say they find these decisions so difficult that they'd rather not get started at all. The same is true for one in three men. Over a third of the polled women would prefer to postpone such decisions due to a lack of knowledge, versus a quarter of men. A relatively large proportion of women (29 per cent) also say they get nervous when they're faced with major financial decisions.

Women see investing as more risky than men do

Further significant differences appear in how men and women assess risk. Almost a quarter of male investors believe the likelihood of losing their invested assets is low, versus only 16 per cent of women. And men are the more likely gender to believe that you can invest even if you don't know much about it. By contrast, women are more likely than men to consider saving an excellent way to build wealth. Although fewer women are currently actively investing than men, just as many men as women (44 per cent) are considering taking this step. “More and more women are thinking about getting into investing out of a desire to reorganise their wealth accumulation. However, a lack of confidence in their own financial knowledge is affecting the financial decisions they make. Women are generally risk-aware, but willing to accept potential risks when they're properly explained and illustrated with examples by a financial adviser, just like men. But women often don't feel taken seriously and get put off by jargon,” says Judith Sanders, investment strategist at ABN AMRO. “On average, women have 30 to 40 per cent less money to spend after retirement. This means that, as a bank, we have the important responsibility to lower the barriers for women to achieve their financial goals – and to offer them the tools they need to do so.”