According to a McKinsey & Company report, men are the primary financial decision-makers in two-thirds of affluent American households. This male dominance extends to the industry itself, where women constitute only 15% of financial advisors across various channels.
However, the landscape is changing rapidly. Women typically outlive men by about five years, often inheriting their spouse’s financial assets. By 2030, it’s projected that American women will control a substantial portion of the $30 trillion in financial assets currently held by baby boomers.
There’s also a noticeable shift in the younger, affluent female demographic. Compared to five years ago (2015), there’s a 30% increase in married women actively making financial and investment decisions. (You can read the full McKinsey report here.)
This evolving dynamic is a pivotal moment for wealth management service firms. When women assume control of household finances, they frequently seek new wealth management relationships that align more closely with their needs. Notably, 70% of women change their wealth management provider within a year of losing their spouse.
Many leading companies have started to shift gears by offering new products, hiring more female advisors, and launching financial literacy and community outreach events. At Litman Gregory Wealth Management, we’re ahead of the curve, with women making up 50% of our team. Two of our senior advisors, Gretchen Hollstein, CFP® and Monica Muñoz, CFP®, have been named by Forbes as Top Women Wealth Advisors Best-in-State for the past two years.
Our entire wealth management team strongly believes in forging deep relationships with our clients to understand and cater to their long-term financial needs. We also understand that women have distinct financial needs and goals and require unique solutions tailored to their specific requirements.
Thank you to all our senior women advisors at Litman Gregory Wealth Management; Cynthia J. Morris, CFA, CFP ®, Lesley E. Cannan, CFP®, CPWA®, AIF®, Gretchen Hollstein, CFP® and Monica Muñoz, CFP®for their hard work and dedication.
~ Jeff Seeley, CEO Litman Gregory Wealth Management
Our Team is Prepared for the Gender Wealth Shift
Many leading companies have started to shift gears by offering new products, hiring more female advisors, and launching financial literacy and community outreach events. At Litman Gregory Wealth Management, we're ahead of the curve, with women making up 50% of our team.
Fourth Quarter 2023 Investment Commentary
As 2023 unfolded, global stock and bond markets ignored widespread expectations of a U.S. recession and surprised forecasters by shaking off a host of uncertainties to post strong gains for the year. This was a welcome rebound after a very difficult 2022, where high inflation made the Fed decide to raise interest rates sharply which led to negative returns for virtually all traditional investments. In this commentary we cover what led to the 2023 returns, as well as our outlook and strategy as we look ahead in 2024.
Year End Wishes from Litman Gregory Wealth Management
In reflecting on the events of 2023, we witnessed a positive turn in the financial markets as investors anticipated the possibility of a “soft landing” for the U.S. economy, but we were also disheartened by numerous worldwide conflicts. As we balance these experiences, we are grateful for our business and client relationships, and more than ever we are encouraged to be of service and give back to our community.