Women aren’t so different than men. Most professional women I know want to advance in their careers, be taken seriously and treated fairly. Some women financial advisors have achieved those goals on an individual basis, but they don’t think women as a group have made enough progress in the financial services business.

Despite dedicated efforts by many, many people to bring more women into the profession and give women a greater voice, a lot of work still needs to be done. A recent survey by Edward Jones highlights the problem: Seventy percent of its top female advisors said no or little advancement has been made in the last three to five years to ensure women receive as equal an opportunity as men in the financial services industry. Another new report, from Morningstar, studying gender diversity’s effect on fund returns shows how underrepresented women are in managing money. Of the funds Morningstar looked at that have been around for 10 years or more, 3,230 funds were managed by men only and 104 funds were managed by women only. Although the number of financial advisors has continued to grow, the CFP Board notes the percentage of women CFP professionals has remained flat at 23% for at least a decade.

Many people have offered commentary on why women just haven’t made the headway in the financial advisory business that a lot of people would like to see. Sallie Krawcheck, one of the most visible women in the financial services business and a keynoter at FA’s upcoming Invest in Women conference (see page 59 to view our conference supplement), has had much to say on the topic. Eleanor Blayney, a longtime advisor for whom I have a lot of respect and another conference speaker, notes the status quo is a powerful force.

As Eleanor and I agreed during a recent conversation, it’s much harder to change the status quo in any business when you aren’t the majority. But with women being taken more seriously in sexual harassment cases as a result of the #MeToo movement, the timing may be right for women’s voices to be heard more loudly in other venues, including the financial services business.

What would help women be better represented and advance in the financial advisory business? Women need mentors who can give them ideas on how to respond effectively in objectionable situations. More work needs to be done to get the word out to young women that financial planning is a great career. Financial planning programs at universities need to grow, invest in research and have more tenured professors. Men who believe women advisors do just as good a job as men advisors should promote a culture that works to eliminate stereotypes, pays fairly and gives credit to women for their ideas. I’m sure all of you have thoughts on this subject, and I’d really like to hear them. Please e-mail me or stop by to talk when you are at the Invest In Women conference.

Dorothy Hinchcliff

Executive Editor; Invest In Women director

Financial Advisor magazine

[email protected]

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