Women & Wealth: Why We Make Better Investors than Men!
By Jane Sullivan, CFP® | for The E-List

Investing is often portrayed as a high-stakes game of constant market watching and gut decisions. But the data tells a different story—one where women often come out ahead, thanks to a more disciplined, long-term approach.

Research from Warwick Business School found that women outperform men by 1.8% annually, largely because they trade less often. This reduces costs and allows investments to grow undisturbed. A University of California at Berkeley study of 35,000 brokerage accounts found similar results, as have reports from Fidelity and Hargreaves Lansdown.

So what’s the secret? 

It’s not about taking fewer risks—it’s about being thoughtful, research-driven, and focused on the long term. (Sounds like us, doesn’t it ladies?) Women are more likely to diversify their portfolios and less likely to chase speculative trends. That kind of discipline matters, especially in volatile markets like we’ve seen recently.

We often joke in our office (without bashing men!) that we hear all about the “wins” from speculative trades—but rarely about the losses. Women tend to avoid chasing market fads. Instead, they research, diversify, and stay the course—an approach that works, especially in highly volatile markets.

Still, despite these strengths, many women hesitate to engage with investing. Why? A combination of decision fatigue, lack of confidence, and outdated stereotypes. Our ideal client—the female head of household—is typically making dozens of decisions a day. Even if she’s not the primary breadwinner, she’s deeply engaged in the financial picture. But because the world of investing can feel opaque or unwelcoming, it’s easy to push it to the bottom of the list. Decision fatigue often results in making other easy decisions first so we can check them off the list. We’re all guilty of it.

That’s why working with an advisor who provides clarity—without the jargon—is so important. At our Essex office, we’ve built a space where women feel comfortable asking questions, taking their time, and making decisions at their own pace—and doing it all while having fun. That’s how real progress happens.

As more women step into leadership roles, manage household finances, and even helm investment firms, the narrative is shifting. We’re no longer asking if women belong in investing—we’re asking how to support them in doing it even better.

If you’re a woman ready to take the next step in your financial journey, know this: you don’t need to know everything. You just need a partner who listens, explains, and empowers you to make the right decisions for your family and your future.

Jane Sullivan is a Certified Financial Planner® and advocate for empowering women in financial decision-making. She works with clients to develop personalized strategies that align with their goals and values. She is the Principal of Sullivan Financial Advisors in Essex, CT – an SEC Registered investment advisory firm. Find her at www.sullfin.com

 The views expressed in this article are solely those of the author and do not necessarily reflect the views of any firm with which the author is affiliated. This material is for informational and educational purposes only and should not be construed as personalized investment advice or a recommendation to buy or sell any specific securities. Investing involves risk, including the possible loss of principal. The information presented is believed to be accurate at the time of writing but is not guaranteed. Readers should consult a qualified financial professional before making any investment decisions.