Women now manage a growing share of global wealth

Between 2018 and 2023, global financial wealth increased by 43 percent. During the same period, financial wealth held by women grew by 51 percent, according to McKinsey’s Panorama report. This indicates that women’s share of global wealth is expanding faster than the overall market. Today, women control approximately one-third of all retail financial assets in the United States and the European Union—an estimated $60 trillion in assets under management (AUM). McKinsey projects this share could rise to 40–45 percent by 2030.

What is AUM? “Assets under management” refers to the total market value of financial assets—like stocks, bonds, and mutual funds—managed on behalf of clients. If women control $60 trillion in AUM, it reflects significant influence in global capital allocation decisions.

Experts attribute this shift to multiple factors: increased labor force participation, higher educational attainment, longer lifespans, and substantial intergenerational wealth transfers.

“This trend represents not just individual financial empowerment, but a macroeconomic evolution,” explains Michelle Ryan, Director at the Global Institute for Women and Finance. “More diverse ownership of wealth tends to stabilize markets and broaden participation in growth.”

Ownership patterns are changing across generations

According to a 2022 report from Boston Consulting Group (BCG), women worldwide held nearly one-third of all personal financial assets. Women were also adding approximately $5 trillion in new wealth to the global economy annually, a pace that continued even through global economic challenges like the COVID-19 pandemic. BCG projected that women’s total wealth could exceed $93 trillion by the end of 2023.

In the U.S., financial institutions anticipate that women will control up to $30–34 trillion in investable assets by 2030. Much of this growth comes from inheritance and spousal wealth transfers, as women tend to outlive male partners. This phenomenon is especially pronounced among Baby Boomers and Gen X households, where women often become the final decision-makers on financial assets.

Ownership of assets includes not only investments but also real estate, retirement accounts, and savings. As more women assume financial control, they are also influencing how wealth is spent, saved, and grown—impacting everything from retail trends to charitable giving.

Women show distinct investment behavior on average

Research from firms like McKinsey, UBS, and Fidelity has found consistent behavioral trends among women investors—on average, women tend to approach investing with more caution, clearer goals, and less frequent trading. While generalizations always carry limitations, these tendencies are statistically observed in large population studies.

For example, women are more likely to adopt “buy-and-hold” strategies, investing in long-term vehicles such as index funds or target-date retirement funds. They are also more likely to seek alignment between financial choices and personal values—supporting causes like environmental sustainability, diversity, and corporate ethics.

This approach has tangible benefits. A 2021 Fidelity study showed that women earned slightly higher returns than men over a 10-year period, even while taking on less risk. This success is often linked to fewer impulsive trades and greater consistency over time.

“It’s not that women are inherently better investors,” notes Dr. Carla Harris, financial psychologist and author of Behavioral Bias in Money Management. “It’s that the average behavior pattern seen in female investors—patience, discipline, and clarity of purpose—aligns well with long-term investing principles.”

Younger women are closing the earnings gap

While older generations of women still face a significant wealth gap, younger women are narrowing—or in some cases, reversing—the income disparity. According to a 2022 Pew Research Center analysis of 2019 data, young women under 30 working full-time and year-round earned 93% of what men earned nationwide.

In 22 U.S. metropolitan areas—including New York, Washington, D.C., and Los Angeles—young women actually out-earned their male counterparts. For example, in Wenatchee, Washington, they earned 120% of male earnings. In Gainesville, Florida, the figure was 110%. These findings suggest that gender-based pay gaps are shrinking significantly among early-career professionals.

This improvement reflects stronger educational outcomes among women, growing access to professional sectors, and shifting cultural norms around careers and money. For readers, this data provides both encouragement and evidence that economic equity is progressing—especially in high-opportunity metro areas.

Challenges and risks still persist

Despite these gains, long-term financial disparities remain. A study in the UK found that by age 19, women were already about £2,000 behind men in wealth, and by age 64, the gap had widened to over £100,000. In the U.S., women hold around 40 percent less in retirement savings accounts than men.

These gaps arise from multiple causes: lower average wages, career breaks for caregiving, part-time work, and delayed entry into investing. These challenges compound over decades and impact women’s ability to accumulate wealth at the same pace.

For beginners, the key takeaway is to start early. Even small contributions to a retirement or investment account can benefit from compounding—where investment returns generate their own earnings over time. Closing the wealth gap begins with consistent financial participation.

Markets are adapting to a more diverse investor base

As women gain financial power, investment firms and advisors are rethinking their strategies. According to a 2024 Goldman Sachs survey, 72 percent of financial professionals believe women’s expectations are reshaping client engagement across the industry. Women investors are more likely to seek clarity, alignment with personal values, and advice tailored to long-term goals like caregiving and health planning.

“Women are not a niche market—they are the future of our client base,” says Padi Raphael, Global Head of Third-Party Wealth at Goldman Sachs. “When we design financial tools that speak to their priorities, we improve the experience for everyone.”

This shift is driving the rise of impact investing, value-aligned funds, and advisory services designed to empower first-time investors. Financial institutions are also increasing transparency and diversity among their advisory teams, making it easier for more people to find relatable, trustworthy guidance.

Practical steps for beginners

If you’re new to investing, you don’t need to wait until you have significant wealth. Starting early is more important than starting big. Consider these beginner-friendly actions:

• Open a retirement or brokerage account and contribute regularly—even small amounts matter.
• Focus on long-term investments like index funds or ETFs (exchange-traded funds), which are low-cost and diversified.
• Align your investments with your personal values and long-term life goals.
• Use automatic contributions to build discipline and avoid emotional decisions.
• Seek advisors who explain things clearly and support your learning, not just your money.

With consistent effort and the right information, anyone can build wealth. And as more women participate in and influence financial markets, those systems become more inclusive, stable, and future-ready.

Key Takeaways

• Women now control roughly one-third of global financial assets, growing their share faster than total wealth growth over the last five years.
• Young women under 30 are closing or even reversing the income gap in many U.S. metro areas, pointing toward a generational shift in economic power.
• Female investment behaviors—steady, long-term, value-driven—often produce strong results, offering practical lessons for all beginner investors.

FAQs

How much global wealth do women currently control?

Women currently control about one-third of global retail financial assets, roughly $60 trillion. This share is expected to rise to as much as 45% by 2030.

In which cities do young women earn more than young men?

In cities like Wenatchee (WA), Gainesville (FL), and Washington D.C., young women under 30 working full-time earn more than their male peers, according to Pew Research Center data.

What investment strategies are most common among women?

Women tend to focus on long-term goals, make fewer trades, and align investments with personal values. These habits are linked to lower risk and stronger returns over time.