Australian women are, on average, more confident in their ability to manage their money than their Asia Pacific counterparts, according to research.
The Fidelity Global Thought Leadership Asia Sustainability Study, which surveyed over 2,000 men and women in Australia, Singapore, China, Japan, Taiwan and Hong Kong, found some 60% of Australian women were more self-assured in handling their finances compared to 49% of their peers in the region.
“There was some good news, with Australian women more likely to feel they are actively managing their finances, and that they have the ability to make the right decisions about where their money is invested or saved, compared to their APAC peers,” said Lauren Jackson, business manager at Fidelity International.
Australian women did.
“Gender stereotypes around investor confidence may be a factor in these responses, but women are also less likely to say they feel very or fairly financially independent, which impacts their ability to see themselves as investors.”
When it came to retirement, just over a quarter (35%) said they probably or definitely had enough for retirement compared to 65% of men.
The research found women were also much more conservative when it comes to their expected personal income in retirement, anticipating an average income of $66,874 compared to $82,456 for men.
According to Jackson, such figures came as no surprise after data published by the Association of Superannuation Funds of Australia (ASFA) found the average superannuation balance for women aged between 60 to 64 was just $289,180 in June 2019, compared to $359,870 for men.
“That is well short of the $540,000 balance that ASFA says is needed for a single person to achieve a comfortable retirement based on retiring at age 67,” she said.
“Much needs to be done to improve the superannuation gender gap. Many women’s retirement savings suffer from taking time out of the workforce to raise children and they also often work in lower paying industries.”
Accessibility to advice would be crucial here to help women on all income levels build their financial confidence, Jackson added.