Women are the backbone of every family as they shoulder a lot of responsibility in the home which creates the first building block of the family and society in general. Unfortunately, due to societal norms and practices women tend to be limited to the household and emotional duties, less so, on the financial side.
Statistically, women are less likely to invest and even those who do not invest tend to wait until they are older to start. Women are naturally more inclined to taking care of the home and neglect themselves and their own financial goals.
Different types of Investment Options
- Savings Bonds
- Mutual Funds
- Real Estate
Why should Women Invest?
- To Attain Financial Independence
It is important for women to be able to achieve a sense of financial equality and independence and investing is one of the best ways to accumulate wealth. Women need financial independence to be able to walk away from uncomfortable situations that are hurting them – whether it’s a bad job, location or relationship.
“A woman should be able to have her own financial power that can enable her take care of herself”
- Saving for Retirement
We will all retire one day, therefore the earlier women start preparing for this moment the better. There will be a time when steady income will dry up and expenses will need to be taken care of. Savings may not be enough to cater for these needs, but having investment that will grow interest over time is what will help during the rainy days.
Saving for retirement will also put less pressure on children to assist parents as this would enable them use funds for their own needs and blossom faster.
- Women Live Longer
Women tend to live longer than men for various reasons which will not be explored in this article. This point should then be a motivation for women to secure their own future and have the means to take care of themselves without waiting on her husband’s estate.
How can Women can start investing?
- Carefully consider how much risk you are willing to take in exchange for the potential higher returns
- If you are an employer, you can obtain information about the retirement benefits that are available.
- Seek education about investment vehicles that can help you reach your goal. For example, you can contact an investment professional for a start, as he or she will be a guide to sort through the many choices available based on your income level.
Other sources include local professional/trade associations, women’s groups, adult education center, online websites etc
Women need to recognize the unique challenges they face and start saving and investing as early as possible to overcome them.