Sallie Krawcheck, president of Bank of America’s Merrill Lynch’s global wealth and investment management unit recently participated in the firm’s wealth management panel on women and retirement.
Women are representing more of the professional population. In fact, 58 % of college graduates are women and 54 % of U.S. professional and managerial jobs are held by women. Women must be more vigilant in building wealth and retirement savings. These statistics were shared by the panel.
“Women should start saving earlier. They should save more. They should have joint money. They should look into separate accounts as well. They should be doing more of everything.” Krawcheck said, as reported in an On Wall Street article.
According to David Bach, a former financial advisor and author of “Smart Women Finish Rich,” women have very good “b.s.” detectors and are unlikely to hire someone they do not trust. Therefore, financial advisors should sell their services in a manner that appeals to women. The financial advisors should not push products and spend more time talking about the prospective female clients’ values, goals and dreams.
Financial advisors should be more proactive in “trying to woo” women as clients.
Bank of America’s Merrill Lynch brokerage is providing special guidance to its financial advisors on how to work with women. Merrill is encouraging the financial advisors to spend more time pursuing perspective women clients because women take longer to choose a financial advisor. Krawcheck urged them not to give up because women tend to be more stable clients and women statistically live longer than male clients.
Interestingly, Merrill Lynch’s advisor force of 15,000 is approximately 84 % male.
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