Women in Finance: Succeeding in a Male-Dominated Sector

Women are vastly underrepresented in the field of finance. According to the Deloitte Center for Financial Services, only six of 107 financial institutions had women CEOs. Besides that, about 46% of females are employed in the finance industry. Of this, only 15% of the females lead executive roles. Time and again, women have proved themselves and their capabilities. However, breaking into this largely male-dominated industry is not easy for female professionals. The world of women and finance has a lot of challenges. Let us explore women in finance and learn how we can aim to create gender diversity in the sector.  

Inequality in Numbers 

Female employees and leaders are improving across industries as companies have started prioritizing diversity and inclusion in the hiring process. It is often believed that women are not good with money and numbers, which is one of the reasons for the fewer women in finance. Nicole Arnaboldi, Merrill Lynch, Abigail Johnson, Adena Friedman, and Lynn Martin are some of the leading females in the finance sector.  

Although women in finance are experimenting with their roles, there is still inequality in the field. Studies have revealed that only 10% of females occupy senior roles in the finance sector. The problem majorly arises with business schools. Because of the lesser faculty of women in finance, it becomes the root cause of the problem. It becomes a significant turning point with only 16% of women faculty.  

Read Also: More Women Are Controlling Their Finances in 2022

Women Teams are Making a Difference  

Males have majorly dominated the culture of the finance industry. Women are taking up different roles and pushing themselves to do better in the field. Deloitte's study reveals that women in finance in leadership roles are expected to grow to 28% by 2030. Studies even indicate that women's teams in the field are making significant contributions. Female leaders' collaborative and innovative approach is helping them make a difference in society. They are further implementing more gender policies to encourage females to participate and explore roles in the finance sector. 

An article published in HEC Paris reveals that women employees and leaders have outperformed male teams in the finance sector. Companies with at least one woman in the field majorly outperform those which males dominate. We can say that women in finance bring a unique perspective and have a powerful impact on the company's overall growth. Achieving gender diversity in finance is more of an economic objective, which enhances the performance of the team members and encourages them to perform their best. 

Rise of Women Investors 

Women in finance might be fewer in numbers, but there has been a sharp increase in the number of women investors, up from 25% to 31%. Moreover, women investors are not sticking to traditional investing methods. Crypto is one of the industries which is witnessing an increase in female investors. Again, crypto investing is one of the fields in which males highly dominate.  

The growing awareness and knowledge among women on issues related to finances are pushing more women to take up such roles. Women in finance have a good understanding of buying and storing digital assets online. These digital assets and crypto give higher returns which makes women more confident in their unique capabilities. They are playing key roles and helping maintain a better balance in the field. This pushes them to look for more ways to enhance their financial freedom and build a better future for women in finance. 

Achieving Gender Diversity in Finance  

A career in finance can be highly rewarding, especially for women. It is a fast-paced and dynamic industry with multiple opportunities. Women are taking up more roles in the industry and trying to create their space in the male-dominated society. However, statistics reveal that women are not given equal representation in the industry and are burdened with multiple responsibilities. It is necessary for employers to take steps and promote an inclusive environment. Here are some of the effective ways to help achieve gender diversity in finance. 

• Provide mentorship - Guiding female employees is one of the most effective ways to help them progress in the finance sector. A mentor can push a mentee and may help them achieve bigger goals. Most females often lack access to resources and knowledge. This can be eliminated by providing them guidance and helping them nurture confidence. Mentoring works as a motivation for women in finance and helps them learn more about the field. 
• Encourage networking - Encourage female employees and professionals to build more contacts. Having a good network is essential and beneficial for every field. When it comes to the financing field, it is mainly dominated by males. There are chances that women might start feeling lonely and develop issues because of such domination. Help build confidence in women by providing them the opportunity to contact other professionals from the industry. 

Women in finance are breaking glass ceilings, and the number of leaders in the field is expected to grow. There is a need to support women and provide them with guidance to help achieve gender diversity in the field. For this growing wave of change, companies must identify women's challenges. This may allow more women to transition to senior leadership roles.