Capital Group Study: Financial Advisors Have Historic Opportunity to Empower More Women to Invest

New research reveals how financial advisors can grow their practice by engaging more women clients during the Great Wealth Transfer

LOS ANGELES, June 18, 2025 /PRNewswire/ -- Many women are poised to become "double inheritors" of the more than $100 trillion expected to transfer from baby boomers and older generations by 2048¹, revealing a historic chance for financial advisors to empower more women to invest. New research from Capital Group, one of the world's largest and most experienced active investment managers, underscores the critical steps financial advisors can take to support more women – many of whom begin investing later than men - to seek financial advice and begin investing, while also growing their practices.

Women represent half the U.S. population and control over $10 trillion in household financial assets. Despite this, they are nearly 40% more likely to start investing after age 35 compared to men. Capital Group's survey of 814 women with investment accounts highlights key barriers:

• 26% of women feel they lack sufficient funds to work with a financial advisor.
• One in three women find their financial situations complex and stressful.
• Women are less likely to seek financial help after major life events (e.g. marriage), despite being more open to advice than men.

"Our research shows that financial advisors can bridge the investing gap between women and men by changing how they market to, and communicate with women, many of whom are hesitant to seek advice," said Wassan Kasey, Senior Vice President, Advisor Practice Management Consultant, Capital Group. "Marketing online and through a woman's social networks, appealing to her financial aspirations, and clearly communicating the value of your advice versus its cost can help overcome this hesitancy. By helping women seize the opportunities provided by the Great Wealth Transfer, advisors can also grow their own businesses."

This research offers four clear steps for advisors to engage more women during this unprecedented wealth transfer:

1. Increase and target online marketing to women, who use search engines first when looking for an advisor.
   
   
2. Frame your professional financial services in terms of value after cost, and simplify onboarding.
   
   
3. Appeal to a woman's aspirations – like financial freedom – rather than life events, like marriage or growing a family.
   
   
4. Categorize women's communication preferences - prioritize phone calls for check-ins and in-person meetings for larger discussions, and lead with questions rather than directives.

By emphasizing mental and financial well-being, simplifying onboarding, and tailoring communications to different women investors, advisors can help women gain confidence and more actively participate in their financial futures via investing. This opportunity underscores the significant potential within the female investor demographic for financial advisors looking to increase client acquisitions and grow their practices.

About Capital Group

Capital Group, home of American Funds, has been singularly focused on delivering superior results for long-term investors using high-conviction portfolios, rigorous research, and individual accountability since 1931.

As of March 31, 2025, Capital Group manages approximately $2.8 trillion in equity and fixed income assets for millions of individuals and institutional investors around the world. Capital Group manages equity assets through three investment groups. These groups make investment and proxy voting decisions independently. Fixed income investment professionals provide fixed income research and investment management across the Capital organization; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups.

For more information, visit capitalgroup.com.

How the survey was conducted
Capital Group partnered with Kantar to conduct an online survey of 1,504 U.S. consumers (including 814 women) from October 22, 2024, through November 5, 2024. To qualify, survey participants had to be between 22 and 78 years of age, with some influence in financial decision making for their household and one investment account (e.g., brokerage account, retirement savings account, college savings account). Participants also had to meet a minimum level (which varied by age) for household income or investible assets. To ensure accurate representation, the final data was weighted based on age, gender, household income, region and race/ethnicity.

Media Contact:
Sarah Christiansen
[email protected]

¹ Source: The Cerulli Report, High-Net-Worth and Ultra-High-Net-Worth Markets 2024.

SOURCE Capital Group Companies