Female Financial Advisors: Breaking Biases and Barriers

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This year, the theme for International Women's Day is #BreakTheBias. This theme celebrates the achievements that women have made, takes action for equality, and raises awareness against bias. What better way to honor the holiday than to examine how women are breaking down barriers in the financial services industry?

When you think of industries that have traditionally been part of the "old boys' club," the financial services sector comes to mind. And while women have made huge strides in challenging the biases and discrimination they face in all facets of business, they still have a long way to go. According to research from McKinsey & Company, women in financial services are much less likely than their male counterparts to be promoted from entry-level to management positions, with only 86 women promoted to manager for every 100 men. This results in a long-term negative impact on women's ability to make their way through the talent pipeline. This is a significant reason that it has been so challenging for the industry to equalize gender diversity at the top of the ladder. In fact, according to Deloitte Insights, the proportion of women in leadership roles within financial services firms was just 24% in in 2021.

Furthermore, women in the planning profession are severely underpaid compared to their male counterparts. According to 2021 data from the U.S. Bureau of Labor Statistics, the median weekly income for male financial advisors was $2,183, while female financial advisors earned just $1,424.

How are women challenging the barriers they continue to face? By rewriting the rules.

Between a lack of opportunity for career growth, a lack of flexibility regarding work-life balance, unfair pay, and toxic work environments, women are shaking up the financial services industry by branching out and starting their own firms.