Perhaps it’s true that, historically, women did not feel comfortable making financial decisions. They deferred to men in their family. That began changing years ago. Young women now are much more comfortable making decisions about their money.

Yet when dealing with a couple, advisors still often focus on the male client. Many consider the man to be the primary decision maker and neglect to build a relationship with the woman. Not surprisingly, if the man dies or the relationship ends, the woman is unlikely to continue with that advisor and will seek a new professional with whom she can better relate.

Unique goals and objectives

Women seek different value from advisors, but the advice industry has yet to make a significant shift in their approach to women clients. Women tend to have different financial goals and objectives, as well as lower levels of financial literacy. They even take a different approach to risk.

Many indicate they would be more comfortable dealing with a woman advisor. Although we continue to make progress on gender equity issues in society, significant gaps remain in the business world. We hear often about the dearth of women in C-suite positions. And women represent only 15%–20% of financial advisors in Canada.

CIBC Capital Markets estimates that by 2028, Canadian women will control almost $4 trillion in financial assets, representing almost half the total wealth in the country.

According to McKinsey & Company, the growth in financial assets controlled by women globally is outpacing the market. Between 2018 and 2023, global financial wealth increased by 43%, while the amount of wealth controlled by women rose by 51%.

In addition, Canadian women outlive men by four to five years, and they tend to be the younger partner in heterosexual relationships. Accordingly, women will benefit disproportionately from the coming transfer of wealth, inheriting assets from both their spouse and parents.

We also should not overlook the fact that women will continue to take on more financial decision making. Marriage rates continue to decline and divorce rates keep rising. Women are becoming more highly educated and attaining high-paying jobs. Their earnings continue to grow.

Six ideas

For all these reasons, advisors should not ignore the opportunity that women clients represent. Here’s how to attract women clients.

Learn what women want. It’s simplistic to say that all women want the same things. However, it’s clear that many have different priorities than their male counterparts do. They tend to focus less on achieving high returns. Their focus tends to be on life goals and goals related to supporting their families and themselves through retirement. While we should always strive to understand every client’s unique goals and objectives, remember that women’s starting point is often different.

Value proposition. In addition to having different goals, women often have different values. Studies indicate that women are almost twice as likely as men to say it’s important that companies in which they invest incorporate environmental, social and governance factors into their decision making and policies. Firms should support advisors in developing value propositions to reflect this, and ensure sufficient access to, and knowledge of, appropriate products.

Include women on your team. It’s not necessary to assume that every woman client wants a woman advisor. However, to properly understand and reflect the needs of women clients, it’s essential to increase the proportion of women advisors and other staff on advisory teams. While things are starting to change, traditional advisor paths pose challenges for many women. Firm culture remains problematic. Commission structures and client coverage arrangements for advisors on leave serve women professionals poorly. Women value collaboration and giving back, and base pay that’s fair. They don’t mind sharing clients. They measure success in terms of client outcomes.

Lead with planning. Women want to understand their complete financial picture and seek holistic advice. Financial planning will help satisfy prospective women clients by showing how they will reach their goals at each stage of their life. 

Collaborate with clients. Women prefer a collaborative communication style. Remember they tend to be less interested in pure returns conversations. Listen to them and engage them in the conversation. Understand their financial literacy starting point and use conversations to continue to elevate their financial understanding. As always, avoid jargon.

Communicate with purpose. While personalized communication is always the goal, women currently experience communication gaps. Many find wealth firms’ traditional communications about stock market activities and returns unengaging. Consider how your messages and outreach resonate with women clients, and how you could incorporate material that will address their different goals and values.

Women are simply too significant for the industry to overlook. Taking these steps will not only address the needs of women clients more effectively, it will make for healthier advisory relationships and advance the interests of all clients.

Susan Silma is a lawyer and former regulator with a deep understanding of the client perspective. She is passionate about simplifying and humanizing the client experience in financial services,while navigating the complex regulatoryenvironment and promoting compliance.