It’s Time to Break the Green Ceiling

There is a significant gender gap between demographic trends and the financial advisory industry. While women continue to increase their share of income and wealth, both in the U.S. and globally, they remain woefully underrepresented within the ranks of financial planners.

According to BMO Wealth Institute’s 2017 report, “Financial Concerns of Women,” we control 51% of the personal wealth. In addition, a 2018 poll by NBC and the Wall Street Journal found that 49% of women who work reported that they are the main breadwinner in their household. Given these figures, the actual number of female advisors is baffling.

The Bureau of Labor Statistics says 32% of personal financial advisors are women. However, according to the CFP Board, as of September 2018 just 23% of Certified Financial Planner licensees are women — a figure that hasn’t changed in years. In early 2016, women represented only 12.9% of the Million Dollar Round Table’s (MDRT) membership list.

We all fundamentally want to believe that gender doesn’t play in role in how we select vendors, business relationships, etc. However, I would argue that in hiring a financial advisor it most definitely does.

A 2012 study from the Family Wealth Advisors Council, “Women of Wealth: Why Does the Financial Services Industry Still Not Hear Them?”, reports that…