It’s time for women to take control of their finances and tame crypto

Women who have been on the fringes of their financial lives are gearing up to step up, and it’s time. According to our latest survey, 64% of women said improving at least one aspect of their finances was one of their New Year’s resolutions, compared to just 54% of men.

It makes sense: from Suite C to Main Street, women are taking control of the conversation and their finances. Take Rent the Runway, for example, the female-led brand that made history by going public with a female founder-CEO, COO and CFO last year; or finance guru Lauren Simmons, who at 22 became the youngest full-time female trader on the New York Stock Exchange in 2017; or one of the 41 women-led businesses on the Fortune 500 list.

All women should seize this moment in history when so many people are more empowered than ever and finally consider investing in themselves in ways that are both traditional and innovative, whether that means investing in their skills or putting their money to work.

Investing in the stock market can be a great starting point. The S&P ended 2021 up 27% and has seen an average annualized return of around 10% since inception. Yet, according to new data from Stash, men are nearly three times more likely than women to want to invest more money in the US stock market in 2022, America’s biggest wealth-generating machine.

When it comes to corners of the financial world like cryptocurrency, where investment strategies can be more opaque and long-term results are less proven, women are even less likely to seize the opportunity. Women are half as likely to have used crypto, according to Pew Research.

However, according to Grayscale, 53% of a surveyed portion of interested women investors would consider investing in Bitcoin, up from 47% last year, and still trailing men by 12 percentage points.

These statistics are not surprising. With crypto and the stock market having such a volatile start to the year, it makes sense for women to be concerned about risk. However, that doesn’t mean we should sit on the sidelines and wait.

In fact, the discipline and long-term approach that women tend to take when investing in the market is exactly why we are generally more successful investors than men. This mindset also puts women in the best position to realize the long-term returns of any type of investment. Women are more likely to stay calm during turbulent times in the market. During the first peak of the pandemic, men were 17% more likely to “panic sell” than women. Women were also nearly 10% more likely to invest during the early stages of COVID-19, and they took a more diverse approach to investing.

Despite crypto’s risk profile, adoption continues to increase every year, alongside the rest of the digital economy’s growth. Over time, as the drivers and patterns of volatility become clearer, crypto will increasingly be seen as an essential part of a diversified and future-proof portfolio. As we have seen before, the tenacity of women who persevere through the ups and downs of the market is an important factor that brings them success and could benefit the crypto space.

Several platforms, including Stash, allow new investors to start small by investing as little as $5 or $10 in fractional shares or a managed portfolio. Stash, in particular, also includes exposure to crypto trusts.

By discussing a subject once considered taboo, women foster a more collaborative approach and ensure accountability. A great way to do this is to find a budget buddy to discuss your investments.

Women must remain determined to learn the financial world. Finance is constantly changing and adapting. I am constantly on the lookout for new ways to learn and educate myself through trusted sources, and I encourage others to do the same.

The power of women taking control of their finances is strong and growing rapidly. We all have more to learn, conversations to have and investments to make.

Lauren Anastasio is a Certified Financial Planner and Director of Financial Advice at Stash.

This content is for informational purposes only. Investment advisory services offered by Stash Investments LLC, an SEC-registered investment adviser. The crypto is relatively new and can be volatile. The investments are Delaware statutory trusts and provide indirect exposure to Crypto. The survey was conducted online in the United States by Stash using SurveyMonkey technology in October 2021. The survey was completed by 1,114 people.

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