Improving the advisor-client experience for women

Three articles, originally featured in The New Yorker, explore how advisors interact with their women clients and ways to make the experience more empowering and productive

 

WOMEN HAVE MADE HUGE FINANCIAL GAINS in recent years: Their assets are rising 1.5 times faster than men’s1, and when it comes to investing, studies have shown that women’s portfolios tend to outperform men’s.2 In all, women now control $72 trillion worth of private assets globally and are projected to control $110 trillion by 2025.3

Kristin hill headshot
“Women investors of all generations are coming to the financial decision-making table confident and with high expectations.”

— Kirstin Hill, Chief Operating Officer, Merrill Lynch Wealth Management

But has the wealth management industry kept pace with the great strides women have made? Are there any lingering gender biases that could undercut the experiences women have when they meet with their financial advisors? To help address these questions, Merrill commissioned an in-depth study, Seeing the Unseen: The Role Gender Plays in Wealth Management. “At Merrill, we believe that in order to effectively serve women today, we need to understand their experiences,” says Kirstin Hill, Chief Operating Officer, Merrill Lynch Wealth Management.

In the course of this award-winning research, thousands of women investors were surveyed. Body language was studied and lexical analysis conducted to examine how advisors talk to and interact with their women clients. Heat maps were used to track eye movement when couples met with their advisors. The end results tell a largely positive story. Only 8 percent of the women polled recalled encountering gender bias, and 70 percent said they were happy with their financial advisors, compared with 65 percent of men who felt the same way.

And yet the research found that areas for improvement still exist. For instance, when meeting with heterosexual couples, financial advisors, regardless of gender, tend to focus nearly 60% of the time on the man in the couple. And overall women are more likely than men to expect to encounter gender stereotypes—making them feel they have to prepare more for meetings and speak up proactively to be heard.

Clearly, the industry can do better. “Women investors of all generations are expecting more from the wealth-management industry. They’re coming to the financial decision-making table confident and with high expectations,” says Hill. “Ultimately, we hope the insights from our research will help move the needle for the entire industry.”

The following articles, originally published as sponsored content in The New Yorker, explore the findings of the research. Read them to hear from women investors about their experiences working with financial advisors and what they expect from them. Hear, too, from advisors what they’ve learned from their women clients — and find out how Merrill is changing its processes and policies to better serve women.

 

Woman standing in the doorway of her office

The Rising Tide of Gender Equality in Wealth Management
As bias of all kinds and in all spheres is being examined, potential gender bias in financial planning is getting a serious look. The results are encouraging.

READ MORE

 

Two women co- workers sharing thoughts at a meeting

Get Ready for the Next Generation of Women Investors
They’re building on lessons learned from previous generations of pioneering women—and shaking up the financial-services industry.

READ MORE

 

A woman advisor helping a couple with their finances

Are Financial Advisors Walking the Talk on Gender Bias?
A new Merrill study uncovers insights that can help advisors communicate better and form stronger relationships with their women clients.

READ MORE

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“Womentum!” BofA Global Research, March 2020.

2 Reuters, “Why women are better investors: study,” 2017; Warwick Business School, “Are women better investors than men?” 2018.

3 “Womentum!” BofA Global Research, March 2020.