Women face a unique financial landscape that requires a tailored approach to investing. The wealth gap—a lesser-known consequence of systemic inequality—leaves women retiring with 30% less wealth than men, despite living 5-7 years longer (World Economic Forum). This gap is fueled by factors like lower lifetime earnings, career breaks for caregiving, and risk-averse investing behaviors.
The result? Many women struggle to maintain financial security in retirement. But it doesn’t have to be this way. By adopting strategic, actionable approaches to investing, women can bridge the gap and build a legacy of wealth.
Hidden Factors Behind the Wealth Gap
- Longer Life Expectancy Meets Lower Savings
Women live longer but save less. According to the National Institute on Retirement Security, 80% of women are more likely than men to fall into poverty by age 65. Caregiving responsibilities and wage disparities compound the issue, leaving many women unprepared for the long-term costs of aging.
- Risk Aversion in Investing
While women tend to earn 0.4% higher returns annually than men, they often invest less overall. A large portion of their assets remains in cash, costing them $1 million or more in missed opportunities over their lifetimes (Fidelity Investments).
- Systemic and Cultural Barriers
Historically, financial education has been geared toward men. Women often report feeling excluded from wealth-building conversations, which limits their access to actionable financial strategies.
Smart Wealth Strategies for Women
- Leverage Dividend-Paying Stocks and ETFs
Dividend-paying stocks and ETFs offer steady income and long-term growth potential. Examples include Coca-Cola (KO), Procter & Gamble (PG), and the Schwab U.S. Dividend Equity ETF (SCHD).
Savvy Tip: Start with fractional shares to build your portfolio without a large upfront investment.
- Explore Sustainable Investing
Environmental, Social, and Governance (ESG) investments align with women’s priorities and often outperform traditional funds. Options like the iShares MSCI KLD 400 Social ETF (DSI) and the Vanguard FTSE Social Index Fund (VFTAX) provide ethical and financial returns.
Savvy Tip: Research funds with high sustainability scores that match your values.
- Embrace Infinite Banking
Use a whole life insurance policy to create your own bank. Borrow against the cash value for major purchases or investments while the policy continues to grow.
Savvy Tip: Consult a licensed Fly Savvy Sol strategist to structure your policy for maximum benefit.
- Invest in Real Estate Without Owning Property
Real estate syndications and Real Estate Investment Trusts (REITs) offer the benefits of real estate without the hassle of property management. Examples include platforms like Fundrise and ETFs such as VNQ (Vanguard Real Estate ETF).
Savvy Tip: Consider short-term rental platforms like Airbnb or unique rental properties like tiny homes for additional income streams.
- Digital Real Estate and Online Income
Build websites, blogs, or e-commerce stores to generate passive income. Combine these efforts with print-on-demand services like Printify to diversify your income sources.
Savvy Tip: Monetize your blog with affiliate marketing and ads to maximize revenue.
- Farmland Investing for Stability
Invest in farmland through platforms like AcreTrader or FarmTogether for steady returns and inflation resistance.
Savvy Tip: Look for high cash yield farms to see quicker profits.
- Peer-to-Peer Lending
Platforms like Prosper and LendingClub allow you to act as a lender and earn interest on loans.
Savvy Tip: Start small and reinvest earnings to grow your portfolio over time.
Why Women Must Act Now
The cost of delaying investments is enormous. Vanguard estimates that waiting just five years to invest can cost you $300,000 or more in lost retirement savings. Women must take ownership of their financial futures by adopting diverse and innovative wealth-building strategies.
Join the Fly Savvy Sol Remix Challenge
Are you ready to bridge the wealth gap and take control of your financial future? Join the Fly Savvy Sol Remix Challenge, a transformative investment education series designed specifically for women.
Through interactive workshops, expert insights, and actionable strategies, you’ll learn how to:
Invest in dividend-paying stocks, real estate, and infinite banking.
Create multiple income streams.
Build a lasting financial legacy.
Click here to sign up for the Remix Challenge today!
Let’s rewrite your financial story together—because you deserve financial freedom.
