By Bibhuti Bhusan Dash* in Bhubaneswar, March 8, 2025: As we just celebrated International Women’s Day, it’s crucial to recognize that financial independence is the cornerstone of true empowerment. Women have broken barriers in the workplace; now it’s time to take charge of investments and wealth creation.

Over the years, women have made remarkable strides in various fields, from corporate leadership to entrepreneurship. With smart financial planning, the right investment strategies, and consistent efforts, women can achieve financial security and prosperity. Let’s take a step towards their financial empowerment and inspire others to do the same.

With the right investment strategies, they can build a secure and prosperous future. This article explores the barriers women face in investment, their evolving role in financial markets, and the smart investment options available to them for long-term wealth creation.

Challenges Women Face in Investment

Despite progress in gender equality, women still encounter various obstacles in the investment landscape:

1.Gender Pay Gap – Women generally earn less than men for the same job roles, limiting their ability to save and invest.
2.Lower Financial Literacy – In many cultures, financial education is not equally provided to women, making them less confident in investment decisions.
3.Risk Aversion – Women are often conditioned to be more risk-averse, leading them to prefer safer, lower-return investments rather than high-growth options.
4.Limited Access to Investment Opportunities – Women, especially in developing regions, have less access to investment platforms, banking services, and wealth management resources.
5.Societal and Family Responsibilities – Women often prioritize family needs over personal financial growth, leading to lower investment participation.
6.Workforce Interruption – Career breaks due to maternity leave or caregiving duties affect their long-term financial stability and investment capacity.
7.Lack of Representation in Financial Advisory Roles – The investment industry is still male-dominated, making financial advice less tailored to women’s needs.
8.Bias in Lending and Credit Access – Women entrepreneurs and investors often face difficulties in getting loans, venture capital, or credit compared to men.
9.Longer Life Expectancy – Women live longer than men on average but often have lower retirement savings, making financial planning more challenging.
10.Cultural and Social Norms – In many societies, financial decision-making is still seen as a male-dominated area, discouraging women from actively investing.

Women’s Journey into Financial Investments

Recent data indicates that women are embracing investments at an unprecedented pace:

72% of women now make investment decisions independently.
Women invest 25% higher amounts per investor and maintain a 37% higher investment corpus than men.
Women investors show 22% higher persistence in mutual fund investments over a five-year period.
Fintech adoption has surged, with 55% of women investors using digital investment platforms, up from just 14% five years ago.

Where Should Young Women (20-30) Invest?

For women in their 20s and 30s, financial planning should focus on growth, stability, and security:

Equity Mutual Funds – Ideal for long-term wealth accumulation.
Hybrid Funds – Balanced exposure to stocks and bonds.
Debt Funds – For short-term stability and emergency funds.
ELSS Funds – For tax-saving benefits and equity exposure.
Gold ETFs – A hedge against market volatility.
Retirement Funds (NPS/PPF) – Securing financial independence in later years.
SIP (Systematic Investment Plan) for Consistency – Helps develop a habit of regular investing and reduces market timing risks through rupee cost averaging.

* Director, LotusMint Wealth Pvt. Ltd.