New Delhi [India], April 17 : Women are actively engaged in managing their finances but continue to face gaps in financial guidance, so a more tailored, life-stage-based advisory solution is needed, according to a study report by HSBC.
The study was conducted to understand how women, particularly affluent women, engage with financial planning and how effectively existing financial systems and advisory models meet their evolving needs.
The report challenges the long-standing perception that women lack confidence in financial decision-making. Instead, it finds that women are intentional about wealth management, with nearly half of affluent women beginning to take finances seriously in their 20s or earlier.
However, despite this engagement, the report identifies a significant disconnect, termed as the "Fluency Gap," where fewer than half of affluent women feel supported by their financial advisors or institutions.
This gap reflects a mismatch between traditional financial advice and the evolving financial realities faced by women.
It stated, "One thing is clear.... women are not disengaged from wealth, they are intentional. Nearly half (45 per cent) of affluent women surveyed began taking finances seriously in their 20s or earlier. Despite this engagement, our research reveals another striking truth: fewer than half of affluent women feel supported by their financial institution or advisor. This disconnect is what we call the Fluency Gap".
The report explains that financial fluency goes beyond basic education and requires adaptable planning aligned with different life stages. It noted that static financial advice often fails to address dynamic needs such as career changes, caregiving responsibilities, and longer life expectancy.
Further, the report highlighted that women's financial priorities are not fixed and shift significantly over time. While early years may focus on savings and major purchases, later stages involve retirement planning, caregiving, and wealth transfer.
This evolving nature of priorities creates challenges when advice assumes a single long-term goal.
In terms of preparedness, the report finds that many women feel underprepared for long-term financial needs. Less than a third feel prepared for ageing costs and long-term care, even among affluent women.
Additionally, nearly two-thirds consider others, such as family members, in their financial planning, with 43 per cent prioritising financial security for loved ones.
The report also points to differences in financial confidence, noting that confidence tends to peak early but declines as financial decisions become more complex over time. It suggests that this is not due to a lack of capability, but due to inadequate guidance suited to later life stages.
Importantly, the report emphasises that women are not seeking more information but more relevant and timely advice. It calls on financial institutions to move beyond generic models and provide personalised, adaptable guidance that evolves with women's lives.
The report concluded that closing the fluency gap requires a shift towards dynamic, intentional, and intergenerational financial planning, enabling women to make informed decisions with clarity and confidence as their financial journeys evolve.
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