In the traditional view, women are the great household economists who are best at managing the “purse strings”. However, recent studies suggest this is changing.
The Australian Securities and Investments Commission (ASIC) says that even though women are participating in the workforce and gaining tertiary qualifications at a greater rate than ever before, many of them lack confidence when it comes to money.
Research by ASIC found:
46% of women find money decisions stressful
On average, women retire with half the super balance of men
85% of women under 35 don't understand fundamental investment concepts
Another study, the Household, Income and Labour Dynamics in Australia (HILDA) survey, asked five questions relating to financial literacy. It found only 35% of women answered all five questions correctly, compared with 50% of men.
It appears to be a change from previous generations, as only a quarter of those who answered correctly were aged 15-24, compared with over half of those aged 55-64.
ASIC wants to inspire and motivate more women to talk about money, so they are more confident when making financial decisions, and can avoid the risk of not getting the most benefit out of their money in the future.
As part of its financial capability program, ASIC has released a series of videos, “Women talk money”, featuring Australian women sharing their personal money stories.
The videos are available on ASIC's YouTube channel www.youtube.com/user/MoneySmartAu.