THE B.C. Securities Commission (BCSC) on Tuesday unveiled a new resource in the lead-up to International Women’s Day on March 8 that is designed to give women the investment knowledge they need to empower them on their financial journey.
Taking to heart the United Nations theme, Invest in women: Accelerate progress, the BCSC has published an online Women and Investing guide. Founded on research, it includes unbiased information about the fundamental investing principles that can support the financial needs of women.
The Women and Investing guide caters to both novice and experienced investors alike, explaining a variety of important concepts, including:
- Investing and saving
- Investment goals and retirement
- Diversification
- Working with a registered investment advisor, and
- Using a robo-advisor or doing it yourself through self-directed investing.
“We know that investing can seem intimidating, but it’s one of the best pathways toward building wealth and achieving financial independence,” said Brenda Leong, the BCSC’s Chair and CEO. “This resource will give women the information and guidance they need to feel more confident about making informed investment decisions.”
BCSC research shows there are notable differences between men and women when it comes to investing confidence. Women feel less confident than men when it comes to making investment decisions (59 per cent of women say they’re confident, while 78 per cent of men say the same). Women also feel more anxiety about losing money on investments (51 per cent say they’re anxious, compared to 44 per cent of men) and they are less optimistic than men that they’ll be able to achieve their investment targets (only 39 per cent say they’re optimistic, whereas 51 per cent of men say the same).
On the other hand, women are also less likely to engage in speculative investing behaviour, which is correlated with higher risk. Women would benefit from greater confidence when it comes to investing, and they are starting from a good place because women already have good instincts when it comes to making smart investment decisions.
Research also shows that women face unique financial challenges including the gender pay gap, the need to plan for a longer retirement (since they tend to outlive men), and time away from the workforce to focus on family, which can impact wealth-building opportunities.
