Tuning in to women investors

Answering that question, Frank van Beuningen and Veerle Berbers of PYM, the Conscious Investors’ Community, and Marianne Verhaar-Strijbos, Director of ABN AMRO’s Private Wealth Management, are in full agreement. “I have to admit I have difficulty making distinctions between what’s typically masculine and feminine,” begins Marianne, “because in doing so, we unconsciously make gender a limiting factor. Then again, it’s true that women do have some catching up to do. Why do only 23 percent of women invest in the stock market? Are they underestimating their own ability? Do they overestimate the complexity of investment? Is it a lack of self-confidence? A lack of knowledge? In the Netherlands, the man was the head of the household until 1971. He earned the money, and his wife was allowed to spend it. Incidentally, that’s what we call ‘asset allocation’ in investment speak. To put it in more nuanced terms, women make lots of financial decisions, but they’re used to setting a goal first.”

Looking at the bank through a gender lens

Marianne agrees there’s broad support for the theme of gender in the international financial world. She says, “Here at the bank, we’re consciously working towards gender equality – it’s a movement that’s gaining momentum all around us, too. Earlier this year, we signed up to the Women’s Empowerment Principles. That means more than just talking the talk – it’s really about looking at the entire bank through a gender lens. In addition to our own workforce, for instance, we need to gain a more meaningful understanding of the needs and wishes of our female clients. And that means taking an unflinching look at what improvements still need to be made.” According to the BCG, nearly two-thirds of all women feel their needs are not being adequately met by their financial advisers. Not even half actually have their own financial adviser. I see our top priority as developing our expertise where women’s wants and needs are concerned. That starts with knowing what specific needs they have.

Obviously, gender equality doesn’t mean that only women will benefit from a more equal society, since promoting the role of women will ultimately result in a more equitable and healthier society for all of us. The question is, how can wealth help achieve that aim?

Listening to all our clients

“Women take a different approach from men when it comes to investment,” continues Frank, founder of Pymwymic, an impact investment cooperative whose name stands for Put Your Money Where Your Meaning Is Community. “In my view, women are perhaps less interested in achieving the highest possible return, and are more concerned with the issue of what their money is doing out there in the world. That’s the power of women. For them, it’s about emotion in addition to intellect and reasoning.” 

Women should claim their freedom to participate and decide on investing in companies that not only generate healthy returns, but are also committed to making the world a better place. Investment then becomes something parents can talk to their children about – a fun topic the whole family can discuss together. And that’s vital when teaching children about wealth management.

Women’s Wealth Matters

It was Frank’s wife Margareth van Beuningen-McGovern who originally came up with the idea of giving women more of a voice and a seat at the investment table. Actually, she said, “Women, hold your heads high, and do something positive with your money. Let people see it. Use your voice, and discover what it is you think deserves your financial backing in today’s world.” And that’s how the first meeting of Women’s Wealth Matters came about. Marianne says, “It’s important to remember that our clients aren’t one big homogeneous group, all with the same needs and preferences. They have different aims – be it investment, business, financing or shaping a legacy they can pass on. The meeting really threw into relief just how diverse all these women were.” 

Veerle Berbers, who together with Frank co-founded PYM, the Conscious Investors’ Community, says, “There are barriers, though, and at PYM we’re excited about removing them. In very general terms, women are still more careful with their money and want to pass on wealth to the next generation. But where’s the balance between creating a legacy for the future and investing in a better world? That’s what we call ‘awareness of capital’. PYM can bring people with capital together so they can share their experiences and learn from each other. Our job is to raise that sense of awareness.”

Define your values

That’s ABN AMRO’s job, too, says Marianne: “The famous French gastronome Brillat-Savarin once said, ‘Tell me what you eat, and I will tell you what you are.’ Another way of putting that same idea is ‘your values define you’. But do your investments also reflect your values? That’s what we talk about with our clients and what’s at the very heart of Women’s Wealth Matters.” 

Frank and Veerle agree: “It all starts with thinking about the contribution you want to make to the world. Do your objectives involve world famine, poverty, climate change or medicine? What’s your number-one priority? That’s the meaning of money.” Marianne concludes, “It’s all about what you want to achieve with your wealth. Money is a means to an end. You have to be able to talk with your clients – female or male – about their goals because saving doesn’t make an impact. If you want to make an impact, you have to invest.”