Women under 55 more likely to have experienced gender bias issues with their advisers

New research has revealed a number of barriers experienced by women when creating or generating wealth including gender bias from advisers and at work.

A YouGov survey of 501 women with investible assets of over £100k commissioned by law firm Irwin Mitchell found that women under 55 were more likely to experience gender bias while seeking advice from professional legal or financial services.

Other issues like taking care of children (24%), the gender pay gap (24%) gender bias at work (22%), and issues with working patterns (17%) were cited as common barriers in managing or generating wealth.

When asked about the barriers they had experienced in managing or generating wealth, answers included maternity leave related issues (7%), gender bias at work/ sexism at work (22%), working patterns (e.g. art-time, flexibility issues, etc ) (17%) and the gender pay gap (24%), 38% of women over 55 stated they had not experienced any barriers at all.

The research also revealed that the women questioned have tried to educate themselves about financial independence, particularly around Wills (55%) and pensions (52%), but only 20% had learned about Tax Planning.

Respondents were most confident about making decisions on their savings (70%) and the least confident about the use of Trusts in protecting wealth (4%). Around a third of women were confident they knew about Lasting Power of Attorneys (LPAs) (35%) and Wills (31%) but less understood Pensions (26%) and retirement planning (20%).

Expert Opinion

“By 2028 women will account for 75% of all discretionary spending and will therefore have more financial control and that needs advice. There is reference to The Great Wealth Transfer in the next 20-30 years and women will not only achieve more independence but will need legal and financial advice to protect their assets and investments.

“We can see from our data, that wealthy women have an appetite to learn about finances and investments, however it’s important they are aware of, and have access to the right tools to help them manage and protect their wealth effectively. The best way to protect and grow your wealth is to be proactive in managing your assets and not leave things to chance.

“60% of people do not have Wills and without a Will you might not be able to protect and pass on wealth to those that you want to benefit. Cohabitees are not protected under the Intestacy laws, there is no such concept as a common law wife and so people need to think about making Wills and setting up an LPA just in case they lose capacity. Tax planning is also key to protecting well-earned assets and wealth.” Paula Myers, Private Client Partner

Irwin Mitchell have recently launched a women-led initiative called “The Female Voice” which aims to bring women together from professional networks and beyond. The firm was recently named in the top 20 best workplaces for women in the UK and were the only law firm on the list. 53% of Irwin Mitchell partners are women, which is almost double the industry average.