Why Women Are More Successful as Investors

Dollars Speak Louder Than Words

For decades, financial institutions have been studying the minute details of the behaviors of their investors. As a result, it has been unanimously determined that women are better investors than men. In fact, in 2016, women outperformed men by .3%, in large markets, the difference of billions of dollars. Why?

Berkeley’s HAAS School of Business determined that “men traded 45% more than women in the 1990s.” Women were better ‘buy and hold’ investors, giving them a long term advantage. [1] Women invest in a diverse portfolio, perhaps a metaphor for the importance of diversity in any given industry. And if you’re thinking that’s just an anomaly, you’re wrong. They were not alone in the results of this study. In fact, data from Fidelity and Openfolio showed the same results. [2]

Diversity Matters

In fact, wise investment has a lot to do with diversity, not just across a portfolio. The crash of Wall Street in 2008 has been posited as the result of lack of diversity in demographic leading to lack of diversity in thought.

Why talk about this on Steemit? The cryptocurrency community is painfully skewed towards a white male demographic and it’s value is on the rise, but the likeliness of continued innovation relies on diversity. "The top sets the tone: at companies where executives have two-dimensional diversity, leaders at all levels are 74% more likely to exhibit the inclusive behaviours that foster a speak-up culture, unlocking innovation."

Sources:

[1] http://money.cnn.com/2015/02/19/investing/investing-women-men/?iid=EL
[2] http://money.cnn.com/2017/03/08/investing/women-better-investors-than-men/
[3] https://www.theguardian.com/sustainable-business/lack-diversity-business-leaders-limit-innovation