Research from The Share Centre shows while fewer women actively invest, millennial women are bucking this trend, the research shows.
Data from The Share Centre said year to date trades in stocks and shares ISAs made by those aged 18-36 rose by almost a fifth (19%) year on year.
Inflow figures show a similar picture, up 8% compared to last year. However, the split between female and male investors is interesting with the amount invested up 40% by female millennial investors, and down 2% for their male counterparts.
A separate Freedom of Information request submitted to HMRC revealed that women invested an average of £9,853 in stocks and shares ISAs in 2014-2015, compared to an average of £9,560 from men – a difference of 3% or almost £300.
Interestingly, the biggest difference was in the under 25-age group, with women investing an average of £8,314; over 20% more than their male counterparts who invested an average £6,919.
Lack of exposure
The research also revealed that the gender pay gap, risk appetite, lack of exposure to the stock market and time spent taking care of other household finances such as utilities are among the reasons given for why many women may not invest in the stock market.
The survey of 2000 personal investors also outlined that one in three women (31%) believe that a lack of information and too much jargon are core reasons why fewer women invest in the stock market.
Richard Stone, chief executive of The Share Centre, commented: “The Financial Services industry continues to be characterised by jargon, complexity and mysticism such that it is difficult and time-consuming for individuals to engage with.
“The increase in forums aimed at women, and young women in particular, has clearly had an impact in improving levels of engagement and more needs to be done to engage investors across all ages and genders, cutting through the artificial barriers created by jargon and complexity which have become entrenched over many decades.”