women are taking more interest in/part in financial decisions and managing finances.
NEW YORK (PRWEB) October 8, 2008
"Women and Affluence 2008: A Generational Study is part of our ongoing dialogue with women," said Lisa Caputo, Founder and CEO of Women & Co. She adds, "This survey is the latest example of how we listen to women and continue to learn about their distinct financial needs, attitudes, and perspectives. The results indicate that today's affluent women have far surpassed their mothers in financial acumen – and decision making responsibility. Despite a lack of female financial role models, affluent women empowered themselves and are committed to being a positive financial role model for their daughters."
In fact, women surveyed stated that they talk to their daughters more about money than any other topic, including sex, drugs and even politics. Why? The research shows that women are embracing their role as CFO (Chief Financial Officer) of the household and encouraging their daughters to do the same.
Women & Co.'s President and Chief Operating Officer, Linda Descano believes, "Women are influencing others by example. Their investment knowledge and decision making ability conveys to the next generation that women are financial leaders. Our survey finds that a dialogue across the generations is a fundamental building block of financial knowledge and confidence for women. Women & Co. facilitates this dialogue and provides women the insight and resources that help them make important financial decisions for their family."
Key findings from Women and Affluence 2008: A Generational Study by Women & Co.:
Affluent women are increasingly the CFO (Chief Financial Officer) of their household, responsible for making the majority of financial decisions.
63% of affluent women consider themselves the CFO of their household. Only 45% of affluent women consider their mother to be/have been the CFO of her household. Talking to their daughters about money is more important than relationships and politics.
Today, 94% of affluent women are discussing financial topics with their daughter(s), compared to 52% who've discussed money with their own mothers—representing a 42% shift over the generations. In fact, mothers and daughter(s) talk about financial topics more than sex, drugs or even politics. For the previous generation, the most discussed topic between mothers and daughter(s) was marriage. Today's decision-makers are producing tomorrow's decision-makers.
Of the 63% of affluent women who say they are the CFOs of their households, 53% said their mother was also the CFO, and 75% believe their daughter(s) will follow in their footsteps and will be the CFOs of their household. Mothers rank the highest as positive female financial role models.
Positive financial role models are lacking among affluent women, but not absent. 1 in 3 women indicated they have a positive female financial role model. Of those who do, their mother/mother-in-law was ranked #1. 92% believe they are a positive financial role model for their daughter(s). "Hard-working", "Knowledgeable" and "Self-driven" are key traits in today's affluent women.
75% of affluent women consider themselves somewhat to very knowledgeable about finance and investing. Personal traits—hard work, discipline, and intelligence—were cited most often as being important to reaching affluent levels of savings and investments, topping external factors such as education, family members, and luck. Affluent women are choosing to be more involved in financial decision making.
Nearly all affluent women (96%) agree that women are becoming more involved in financial decision-making for themselves and their families. When asked why they believe so: 33% of affluent women say that "women are more independent and responsible for themselves and their families." 20% say that "women are taking more interest in/part in financial decisions and managing finances." Only 3% say it's because "women have to/need to" do so. As confidence in the current economy has slipped over the past 6 months, more women are turning to financial advisors for second opinions.
83% of affluent women feel less confident in the US economy than they did 6 months ago. Over the past 6 months, the number of women making decisions without consulting a financial advisor significantly decreased (32% to 28%). Women & Co. attributes knowledge and confidence as the key factors to success. By continuously engaging women in this financial dialogue, Women & Co. understands how they approach money – managing, investing and spending – and can thereby deliver the comprehensive, interactive and engaging resources to help women achieve their financial goals.
Women and Co. commissioned Synovate (an independent market research company) to conduct the national survey of over 1,000 affluent women (with household investable assets of $100,000 or more) between the ages of 40-70, from December 2007 to July 2008.
Citi, the leading global financial services company, has some 200 million customer accounts and does business in more than 100 countries, providing consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, and wealth management. Citi's major brand names include Citibank, CitiFinancial, Primerica, Smith Barney, Banamex, and Nikko. Additional information may be found at citigroup.com or citi.com.
Women & Co.
Women & Co. is a financial resource program from Citi, dedicated to helping women achieve their financial goals. Women & Co. provides members with education on a vast array of financial and investing topics, which members access through womenandco.com, by reading our newsletters, listening to audio conferences, attending Master Class seminars in major metropolitan areas. For more information, visit http://www.womenandco.com.
Women & Co. is a membership service that provides financial education and related resources intended for informational purposes only. No feature of the membership shall constitute an offer or solicitation with respect to the purchase or sale of any security. The views expressed in Women & Co. educational and related publications constitute the judgment of the author(s) as of the publication date and are subject to change without notice. Any unauthorized use, duplication, redistribution or disclosure is prohibited by law and will result in prosecution. A member is not required to be a customer of a Citigroup affiliate to enroll. Citigroup's Global Consumer Group and Smith Barney, a division of Citigroup Global Markets Inc., reimburse certain expenses of Women & Co. Smith Barney is a service mark of Citigroup Global Markets, Inc. Women and Company, Women & Co., Citibank, Citi, and Citi with Arc Design are registered service marks of Citigroup Inc. Women & Co., Citibank, and Citigroup Global Markets Inc. are affiliated companies under the common control of Citigroup Inc. Citigroup Inc. and its affiliates do not provide tax or legal advice. To the extent that this material or any attachment concerns tax matters, it is not intended to be used and cannot be used by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Any such taxpayer should seek advice based on the taxpayer's particular circumstances from an independent tax advisor.