Women falling into financial ‘Confidence Gap’
- Two in three women (69%) don’t feel confident about investing money
- One in four women (27%) say they don’t invest because they don’t know enough about it
- Over a third of women (34%) do not have any savings
- HSBC UK launch ‘inspiring money confidence’ webinars for women
On International Women’s Day, new research from HSBC UK reveals the disparities between what men and women do with their money, when it comes to saving or investing.
Two in five people in the UK invest but around two thirds (67%) of women don’t invest their money, compared to 56% of men. In fact, 3.3 million fewer women hold investments in the UK compared to men – a population three times the size of Birmingham.
The main reasons include not having enough money (45%), limited knowledge on investing (27%) and thinking it is too risky (19%). Two thirds (60%) of women believe they will lose out on money if they invest.
Only one in three (31%) of women feel confident about investing vs nearly half (44%) of men. Research reveals a desire to invest but 48% of women are unsure about which platform or provider to use. Two in three (63%) women say they do not know how to begin investing vs under half (46%) of men.
To help tackle this confidence gap, HSBC UK has launched a series of ‘inspiring money confidence’ webinars, open to both customers and non-customers, and aimed at helping women to enhance their financial wellbeing.
HSBC UK’s Director of Wealth Distribution, Rebecca Owers, says: “Women are facing significant barriers when it comes to money. We are living longer but can earn less than our male counterparts. We take more career breaks, but we need to work an extra 19 years to retire on the same pension savings as a man.
“We need to make our money work harder, so it’s important to consider options like investing. Financial education is key here – by talking openly about money and learning the different options available, women can gain the confidence needed to take control of their financial futures.”
The bank has teamed up with Katy Hill, who will share her expertise as a performance and success coach in HSBC UK’s webinar on investing held on International Women’s Day (8 March).
Success and Performance Coach Katy Hill
Katy Hill says: “Through my Coaching Practice I equip and empower women to get in the driver’s seat of all areas of life, get intentional with their actions and take back control.
“A key area of our lives is income, and saving and investing are key to changing your money story. However, only 27% of women believe they have enough information to be able to invest, so I’m excited to be a part of HSBC UK’s programme to help change this.
“I know from my own practice that talking openly about personal issues such as money can help empower women and build confidence. It’s positive that HSBC UK are taking steps to support women with the knowledge to make informed choices.”
HSBC UK’S research also shows:
- Not only do 45% of women say they do not have enough money to invest, but a third (34%) do not have any savings in comparison to 28% of men.
- Women who do invest are much more likely to invest in something their friends/family invest in (20% vs 8% of men).
- Over half (55%) of women think saving is a better option than investing
- Over half (55%) of women think you have to have a lot of money to invest vs 36% of men
HSBC UK customers can make a plan for achieving their long-term financial goals and set aside money each month to invest, via the Investment Goals feature on the app.
Katy Hill’s top tips for becoming confident about big decisions
- Be honest!
Complete an audit of your finances and get honest about how things look right now. Avoidance is not an option! - Future you
Ask yourself “Will my future self be grateful I took this action?”
Get clear on what the investment will mean for your future. And then, get excited about it! - Cost / gain comparison
Ask yourself “What’s the cost of NOT TAKING this action?”
Ask yourself “What’s the gain of TAKING this action?” - Values-based decisions
Women have been proven to prefer values-based decisions so get clear on your values in life and get curious about which of your values this action supports. - Talk about it!
Talk to your friends about money and normalise those conversations. Typically women hold back on talking about money yet want to learn more about it… so buddy up and start exploring together! When we partner up with goals and get accountable we become 95% more likely to take the action. - Powerful affirmations
Create some powerful affirmations to counter your inner money narrative
“I can create financial freedom and be a good person”
“I can know my worth and ask for it and be living with integrity” - Get comfortable getting uncomfortable!
We’re all hard wired for comfort - which is why you can set resolutions every year and then ditch them by the end of January. Because nothing changes if nothing changes! Those old habits are ingrained. So, decide it’s going to be different! Take control of your finances and do things you haven’t done before for a different outcome.
Notes to editors:
HSBC UK
HSBC UK serves over 14.75 million customers across the UK, supported by 24,000 colleagues. HSBC UK offers a complete range of retail banking and wealth management to personal and private banking customers, as well as commercial banking for small to medium businesses and large corporates. HSBC UK is a ring fenced bank and wholly owned subsidiary of HSBC Holdings plc.
HSBC Holdings plc
HSBC Holdings plc, the parent company of HSBC, is headquartered in London. HSBC serves customers worldwide from offices in 62 countries and territories. With assets of $3,021bn at 30 September 2023, HSBC is one of the world’s largest banking and financial services organisations.