'I started in my 20s and made £8,000': Why women are often better investors than men

'I started in my 20s and made £8,000': Why women are often better investors than men Women who put their wealth to work tend to achieve somewhat higher long‑term returns than men, according to recent analysis. Yet only about a quarter of UK women hold investments, compared with roughly 40% of men, a separate study shows. Experts have examined the data behind these trends, revealing notable differences in how men and women approach investing. Teleri Evans was 25 when she began saving into a Help To Buy ISA; a couple of years later she opened a stocks and shares Lifetime ISA. By age 33 she had accumulated £40,000, of which £8,000 represented returns on her investments. "I saved aggressively, and lived at my mum's for half of that time, so I could save as close as possible to the maximum £4,000 per year into Lifetime ISA," she says. The civil servant from Cardiff used the savings toward a house deposit earlier this year with her partner. Only 26% of UK women invest, but that figure drops to 23% for those under 45, according to a survey by consumer finance website Boring Money. In contrast, 41% of all men invest, a proportion that remains steady at 40% for men under 45. So why are fewer women investing than men? Gillian Fleming, co‑founder and managing director of UK‑based Mint Ventures, a women‑led angel investment firm, attributes the gap largely to culture. "Men historically have been much more likely to make household investment decisions, and women have also historically not owned the balance of wealth, but that is changing now," she says. She adds, "Also, wealth and wealth creation is not a topic that women often discuss, and we would like to change that." Teleri says she has noticed a shift recently. "Investing is definitely something that women are talking about more, which is always a good thing," she says. "That's the case with my friendship group." When women do invest in stocks and shares, research by Fidelity International found that over three years its female individual investing customers recorded cumulative returns of 50%, compared with 47% for men. The study does not pinpoint the cause of the difference, but one possible clue lies in trading frequency. Barclays data shows that women trade roughly half as often as men. Joanna Floyd, an investment scientist at London‑based The Work Psychologists, suggests this more measured behaviour may explain the outcome. "Studies show that male investors trade more than women, chasing higher returns, but women actually get higher returns," she says. "The restraint that keeps women out of the market in the first place is the very same thing that rewards them when they are in it." That cautious attitude toward risk appears elsewhere, with women more likely to opt for certainty when confronted with a financial gamble. Fleming notes that women’s investment style is deliberately cautious. "Women are often accused of being much more risk adverse, we call it much more risk aware," she says. "Certainly from speaking to male investors their main focus is on the rate of return." She also observes that women tend to diversify broadly. "Men are much more likely to invest in technology companies for their higher potential returns, whereas women want to invest in a broader range, from retail to food and drink, health and beauty, fem tech and creative industries." Anna Macdonald, investment strategy manager at Hargreaves Lansdown, agrees that women select their investments carefully. "Women look to see comparatively greater value attached to where their money is going and what impact it might have, as well as the reassurance that an investment is right for them," she says. "Our research suggests men are...more readily attracted by the potential financial return." Jemma Slingo, pensions and investment specialist at Fidelity International, says female investors "appear more likely to link investing