by Erika Jonsson International Women’s Day is a global day celebrating the social, economic, cultural and political achievements of women. It’s an annual event that’s been held by the United Nationals since 1975 and is now celebrated in more than 50 countries around the world.
The theme for this year is “Break The Bias” which focuses on achieving a world free of bias, stereotypes and discrimination. A world that’s diverse, equitable, and inclusive. A world where difference is valued and celebrated.
We know that women are under-represented in the financial sector and in everyday financial decision-making. So in this article we ask six prominent women in finance to share their financial journey and learnings.
What’s the most important lesson you’ve learned about money?
“We think money is just about numbers, tactics, return rates…the specifics and practical stuff. But it’s so much more than that. Our emotional and psychological relationship with money has a massive impact on our financial situation.
“For example, if you’re scared of investing, even if you happen to buy a good investment there’s still a good chance you’ll panic when the market drops and sell. A great investment can’t save you from yourself.
“So working on your emotional and psychological relationship with money is just as important as doing the practical finance stuff.“
Paridhi Jain, founder of SkilledSmart, an independent financial education company on a mission to inspire and enable the financial upliftment of millions through world-class educational content.
“Money is a tool that gives you choice. The choice to leave a bad situation, take time away from work to be with your friends and family or follow your passions. You get to choose how you wield this tool once you have it, and to an extent, the more of it you have, the more choices you get.
“Money doesn’t stop bad things from happening, like a loved one getting cancer, but it might mean you can work less while you support them through chemo.
“So, as early as you can in your financial journey, start building your emergency fund (3-6 months of living expenses in a separate savings account), which will be your financial safety net throughout life’s ups and downs.”
Kate Campbell, Podcast Host and Community & Education Manager at Rask Australia. Rask is a diversified investment advice, news, research, financial education, podcast and money network created in Melbourne. Their mission is to have 20,000 students enrolled in their free finance courses and they produce one of Australia’s highest-ranking and most-followed finance podcasts The Australian Finance Podcast.
When it comes to money and finance, what changes are you seeing for women – good or bad?
“I think it’s really important for people to hear other people that they identify with talk about money.
“It seems obvious, but for so long, it has just been men talking about money, and that has alienated a lot of women. I know it did for me. I didn’t get into investing until a woman I know started doing it, and I thought ‘If she can do it, I can do it.’
“So it’s really great to see more women talking about money with each other in private conversations, and publicly via blogs, podcasts, Instagram and YouTube. And the barriers to investing are coming down with ETFs, more affordable brokerage, and brilliant services such as Six Park.
“Women talking about money and the tools being in place to make investing easy and affordable is a winning combo.”
Angela Thompson, Senior Digital Marketing Manager of Sharesight, online software for share portfolio tracking. They count self-directed investors, financial advisers, fund managers and accountants as clients.
If you could give your 21-year-old self a piece of financial advice, what would it be?
“I was the victim of financial abuse despite being a highly successful financial adviser because I was fraught with guilt in leaving my previous marriage.
“In some ways I let the power dynamics of that highly patriarchal relationship get the better of me. I just sat quietly and accepted what was given to me because I somehow felt I deserved it (deserved nothing).
“I know better now and I can see the dynamics of guilt, power and the patriarchy, plus women’s general need to want to look after others, get the better of us.
“So my advice would be to get outside of your ‘village’. If it’s keeping you small, go outside and get the help and advice you need.
“And back yourself because you deserve it. There’s no shame in demanding what you’re worth. In fact it’s the opposite. Your future self will thank you for it. As will future generations.”
Shivani Gopal, CEO of The Remarkable Woman, a movement advocating for closing the gender pay gap and providing resources, support, mentors, learning library and community to empower women to gain personal, professional and financial independence.
“I would tell my 21-year-old self to embrace financial management and invest early – compounding interest and time is your friend.
“As a 21-year-old, I had no idea about where to invest at that point in time, but I remember my first lot of savings at the age of 26, building out and buying Commbank shares at $5.40 with the little savings that I had. That was 1000 shares back then. Today it’s grown – even as high as $110 per share – and it gives back in dividends of more than what I originally invested.”
Fran Hughes, Head of Wealth Solutions at Nexia in Perth. Nexia Australia represents a network of solutions focused accountancy and consultancy firms in Australia supported by global links to Nexia International.
“Action ALWAYS beats inaction. You can make finance as simple or as complicated as you wish, so choose a system that works for you – and just get started.”
Gemma Dale, Director, host of Your Wealth podcast and Director, SMSF and Investor Behaviour at nab. She is responsible for curating and developing nab’s suite of SMSF solutions (product, marketing and distribution) across banking and wealth.