As trillions of dollars shift to younger generations through the Great Wealth Transfer, new research suggests that women may face significant challenges in managing inherited assets. A survey from Citizens Wealth found that while women are expected to control $34 trillion in investable assets in the US by 2030, many report lower confidence in financial planning compared to men.
The survey, which polled more than 1,500 Americans, highlights a gender divide in financial preparedness. Eighty-four percent of women said they lacked confidence in managing money from an inheritance or windfall, compared with 73 percent of men. Additionally, 51 percent of women reported never having opened an investment account, while only 34 percent of men said the same.
“The Great Wealth Transfer is a pivotal opportunity for financial gender parity, although the road ahead is not without its challenges,” Tina Hurley, head of planning and ultra-high-net-worth solutions at Citizens Wealth, said in a statement revealing the findings. “Now more than ever, sound wealth management and personalized financial planning can help all beneficiaries make informed investment decisions, prepare for retirement, protect their families and ultimately transition wealth.”
The study found that many women delay financial decision-making due to a lack of confidence. More than half of Gen Z women (66 percent) and Millennial women (50 percent) cited uncertainty as a reason for postponing their wealth management journey. Furthermore, 54 percent of women said they would listen in on financial discussions but would not actively participate, compared with 40 percent of men.
Those statistics run parallel to a new survey by the Pew Research Center, which found that while the gender pay gap has narrowed over two decades, women still earned less than men, earning 85 cents on average for every dollar their male counterparts in the workforce earned.
Despite these concerns, interest in professional financial advice remains high. According to the survey, 90 percent of American women shared a desire to work with a financial advisor, citing retirement savings as their top priority.
Estate planning also remains an area of concern across demographics. Thirty percent of all respondents said they had not yet taken steps to create an estate plan, and 80 percent reported feeling uncertain about their ability to do so. Among women, 35 percent said they had not yet established an estate plan, including 41 percent of Baby Boomers – who are expected to hand down more than $124 trillion by 2048, according to recent research by Cerulli – and 37 percent of Generation X.
For younger generations, the survey pointed to an increasing focus on financial planning, but also significant gaps in action. While 38 percent of Gen Z respondents opened an investment account by age 21 – compared with just 7 percent of Boomers at the same age – more than half (52 percent) still had not done so.
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