Empowering female clients requires financial advisers to adopt a tailored approach that recognises and addresses these challenges, fostering financial independence and success. In this article, I strategies that financial advisers can employ to better empower their female clients on their journey toward financial well-being.
Education and knowledge sharing
Empowerment starts with knowledge. Many women face unequal financial literacy rates compared to their male counterparts. Financial advisers can bridge this gap by offering educational resources, workshops, and personalised sessions that cover essential financial concepts. Topics could include investment strategies, retirement planning, debt management, and the importance of building an emergency fund. By fostering a strong foundation of financial literacy, advisers enable female clients to make informed decisions and take control of their financial futures.
Goal orientated planning
Every individual has unique financial goals, and women are no exception. Financial advisers should approach their female clients’ goals holistically, considering short-term and long-term aspirations. Whether it’s funding education, starting a business, or achieving financial independence, advisers can help outline a clear roadmap to reach these objectives. Taking the time to understand personal aspirations demonstrates a commitment to clients’ success, fostering a sense of empowerment and ownership over their financial journey.
Addressing gender specific concerns
Women often face gender specific financial challenges, such as the gender pay gap, career breaks due to caregiving responsibilities, and longer life expectancies. Financial advisers should be well-versed in these issues and offer tailored strategies to mitigate their impact. Strategies might include planning for career breaks, and ensuring retirement plans account for the longer lifespan. By acknowledging and addressing these concerns, advisers can help female clients navigate the financial landscape with confidence.
Champion mothers
It’s essential to recognise the selfless nature of mothers, who often prioritise the well-being of their families before their own financial needs. Many women take on caregiving responsibilities and invest significant time and effort in nurturing their loved ones. While this dedication is commendable, it’s equally crucial for mothers to prioritise their financial well-being and empower themselves to secure their own futures. By providing education and guidance that emphasises the importance of self-care and financial planning, advisers can encourage mothers to carve out a space for themselves in their financial journey. This recognition not only benefits mothers directly but also serves as a positive example for the next generation, illustrating the value of balance and self-empowerment in all aspects of life.
Emotional and behavioural support
Money decisions are not purely rational; emotions play a significant role. Financial advisers can provide emotional support by creating a safe space for clients to discuss their financial fears, goals, and challenges openly. This empathetic approach helps build trust and enables advisers to develop personalised financial strategies that align with clients’ emotional needs and long-term aspirations.
Collaborative decision making
Empowerment doesn’t mean making decisions in isolation. Financial advisers should collaborate with their female clients, involving them in the decision-making process and explaining the rationale behind various recommendations. This approach not only educates clients but also ensures they feel empowered to actively contribute to their financial plans. When clients are part of the decision-making journey, they are more likely to stay engaged and committed to their financial goals.
Empowering female clients requires financial advisers to go beyond conventional financial strategies and embrace a holistic approach that considers their unique circumstances, challenges, and aspirations. By offering education, addressing gender-specific concerns, providing emotional support, and fostering collaborative decision-making, advisers can help women take control of their financial destinies. As financial empowerment translates into personal empowerment, advisers have the opportunity to play a transformative role in the lives of their female clients, enabling them to build secure and prosperous futures.
Amanda Thompson is the founder of Endurance Financial
I have never understood the inordinate focus on how to advise female clients. I have more female clients than male and I don’t treat them any differently, in that I treat ALL my clients according to their individual goals and preferences. Everyone has a different appetite for absorption of information and it isn’t necessarily based on gender. Pretty simple really………give each client what they want!
Pay-gap? Do female advisers charge less? Do institutions pay less commissions to female advisers? Do AFSLs take a higher split from female advisers? Do I charge female clients more? (I should charge them less, as they’re much better to deal with).
I have a female accountant, female lawyer and you guess it, a female GP. Admittedly, these three ladies charge hefty fees and they’re worth it. I’m sure they, too, charge the same rates, regardless of gender.
For the record, I’m a male adviser and believe many mothers are financially bullied by their spouses.
You are missing what pay gap is: not what one male vs one female charges or gets paid but that if you look at the whole of society, one group is paid less than the other. then think about why that is? Women tend to do caring jobs like nurses and child care workers. those jobs are paid less. Why is that? less powerful unions? no unions? just they way it is? Women tend to take the family leave not men and therefore earn less over their careers. Review a website of any financial planning firm you know, one that lists names and pics of senior management/advisement and look at the “top line” mostly white men. If it was just one firm, you’d think ok thats just how it is, but it is more often than not.
Perhaps, you may be missing the point. The remuneration is linked to job-type and skills, not gender. For example, there is no gender pay-gap amongst lawyers, accountants, dentists and advisers.
No one is preventing a woman from doing any job… as long as they have the required skills and sometimes, this involves physical strength (say, construction industry, mining, etc.,).
You will find that same-job, same pay, usually prevails. Nothing to do with gender.
Personal longevity planning is time-based and gender-neutral, It uses the simple language of time to build relationships and an understanding of individual differences at all ages. It simply starts with ‘how long are we planning for, Amanda?’ The rest of the excellent issues outlined are then framed, including the financial advice.. A genuinely holistic approach at all ages, and increasingly important from midlife..
is the author of this article licensed?
Good question.
Sounds like a year 10 assignment
look it up – yes. i can see that she is. (PS no i am not the author)