Women favour equities but their second choice may surprise you

Global survey shows that female investors have some serious plans for their money and have their own ideas of how to move forward

Women favour equities but their second choice may surprise you
Steve Randall

Most female investors consider investing as part of their household financial management and have plans to grow their wealth.

But while the investment industry continues to find ways to connect with women, it’s competing for attention with almost half of female investors turning to friends, family or colleagues for recommendations.

These stats are revealed in a new survey from social investing platform eToro, which polled 9,500 female retail investors in North America, Europe, and Asia-Pacific.  

The results show that equities are the respondents’ favourite asset class, specifically domestic stocks which are held by 41% while foreign stocks are held by 23%.

The second most popular choice for current holdings (36%) – and the number one choice for assets that respondents plan to hold in the future (35%) – are cryptocurrencies.

Domestic bonds (25%), alternative investments (23%), cash (21%), commodities (14%), foreign bonds (13%), and currencies (11%) complete the most held assets by female investors.

Almost half of respondents have only started investing in the last two years with around one fifth citing long term financial security, and a similar share focused on financial independence in order to retire earlier.

Future gazing

Asked where the best investment opportunities will come from in the next three months, respondents cited green energy and MAMAA (Meta, Apple, Microsoft, Amazon, and Alphabet) stocks.

The eToro research also found that greater financial education and information is sought by female investors.

“Female investors are using investing as a powerful lever to secure their futures, boost income, and/or to build net wealth,” eToro’s Global COO and Deputy CEO, Dr Hedva Ber. “It is clear from the research that female investors are carving out their own future, and building for the long-term, something which is to be celebrated.”