Gender investment gap narrows as more women enter the market
Nearly half of South African households (42.1%) are headed by women, according to Statistics SA’s 2022 census.
In these homes, women are often both primary caregivers and breadwinners. They handle all the purchasing decision-making and are pivotal in passing down knowledge on how to manage finances. Despite this, only 32% of Standard Bank’s Online Share Trading clients are women. The data also shows that many women open their first trading account with Standard Bank after the age of 40, while most male clients first opened their accounts before turning 40.
How things are changing
The picture is starting to change as institutions like Standard Bank are developing tools and platforms to support women investors.
“What’s encouraging when we look at more recent data is that the average age of our first-time Online Share Trading account holders is getting younger as young women are becoming more confident about investing,” says Nivedna Maharaj, Standard Bank Global Markets Head of Retail Investments. Maharaj points out that representation is even better when looking at Standard Bank’s global money app, Shyft. Here, 38% of accounts are held by women clients.
“It is a big mission of ours to bring more women into this space because women stretch each rand of their returns much further,” says Maharaj.
Why the uptick?
Maharaj says that while in the past many women expressed self-doubt about investing, today they are increasingly knowledgeable about investing and consider it to be an essential part of building wealth or saving towards retirement.
“As more women’s disposable income increases, we are starting to see the trading gap narrow. More women are finding the confidence to invest in the stock market.” Maharaj attributes this to better access to information and believes that seeing other women becoming successful investors will inspire even more women to start investing.
In line with this belief, Standard Bank introduced the INVEST IN HER series in 2024 to showcase women who are excelling in share trading and investments. This initiative provides role models for aspiring investors and fosters a supportive community. Renowned stock market analyst Moxima Gama spoke at the inaugural in-person event during Women’s Month.
Where to get started
To encourage women who are currently non-investors to participate in investing, Standard Bank has developed online share-trading platforms that make it easy to get started. AutoShare Invest, accessible through Standard Bank’s Banking App, gives access to local markets. Those looking for international exposure can buy shares on stock exchanges in the USA and Europe through Shyft. Shyft is available as an independent mobile app or can be accessed through the Standard Bank Banking App.
More seasoned traders can access more than 250 JSE- listed shares and exchange-traded funds (ETFs), futures contracts, contract for difference (CFD), warrants and forex investments through Standard Bank’s Online Share Trading platform or Webtrader.
“This range of platforms reflects our broader commitment to dismantling barriers and creating inclusive trading opportunities for everyone,” says Maharaj.