Finance has always, at all levels, been a predominantly
male populated field. But this is changing. As the equal opportunity mantra
continues to inspire them, more and more women are joining the party, seeking
to reap from the lucrative world that is financial trading.
But why are women flocking to finance?
The major catalyst, in recent history, has been the 2008
global financial crisis. The economic decline sent many people home, both men
and women. They saw their investments and cash reserves continually dwindle and
figured that they could manage their individual funds better than the
professionals. This led to an increase in financial investment research, which
made many individuals start picking out stocks and eventually graduating to
higher risk investments, such as options and CFDs and eventually, forex trading.
Another reason has been the ability to trade online.
Previously, trading was done on the trading floors of stock exchanges, where
literal fighting was not uncommon. But computers have now made trading easily accessible
and subsequently, made it gender irrelevant.
With many women staying at home, trading electronically
is very flexible and gives them the unique chance to make additional income
without affecting their daily chores.
Rising living costs have also been another contributing
factor. Even career women, or those in business, desire another stream of
income. Financial trading makes this possible because of its minimal time
commitment and the potential of making passive income.
While the above factors led to women making forays into
the finance world, they mostly encouraged older women, who naturally sought a
steady way of bolstering their income or building wealth. Nowadays, with most
gender barriers and stereotypes broken, financial trading is seeing an influx
of young and hungry women, who, unlike their older counterparts, have not shied
away from chasing the quick, but sometimes risky, buck.
Can
Women Make it in Finance?
The previous discriminatory culture made it difficult for
women to enter the lucrative financial industry, but ironically, it is the
traditional cultural women traits that are now making the industry demand more
women. Here is why:
- Women err on the side of caution
Women have traditionally assumed the role of caregivers
in society, for their children, families and relatives. This has always meant
that they mostly erred on the side of caution in many matters. Their approach
has always been more measured, unlike men who have traditionally been known to
take more, and sometimes unnecessary, risks. In a finance world that requires
balancing risks and rewards, women are far more likely to succeed than men in
that regard.
- Women have less ego
Unlike men, women are known to have less ego and are more
likely to admit they have made a mistake. This is very important in financial
trading, because the longer one takes to admit a mistake, the more danger they
remain exposed to in the markets.
- Women are more disciplined
An ancient anecdote is that women go through instruction
manuals, while men snub them and attempt to assemble the furniture on their
own. Behind this saying, there is some truth. In financial trading, success is
almost always the ability to formulate a solid trading plan and sticking to it with
religious discipline. Women are, no doubt, better at doing this, unlike men who
more are prone to making trades outside their plan due to overconfidence.
- Women are better Read More
