Why women are often better investors than men
Published 1 December 2025
You may feel intimidated when considering investing, especially with so many loud voices in the room, often talking over you or assuming you do not understand. But here is what I see: women, by nature or nurture, often invest better than men.
If you have ever doubted your instincts or felt you lack confidence, this article is for you. We will explore women’s investment strengths, the behaviours that set you apart, and how you can lean into those advantages.
By owning what makes you different, you can become a confident investor. And if you ever want someone to walk beside you in that journey, you can always book a 15 minute call with Shalini Kanap, female financial adviser & Founder of Her Financial Planning.
The gender investment gap: the context
Before we talk about why women often make excellent investors, here is what I see every day in my work:
What I notice in practice
Men usually start investing earlier.
Women often have the money to invest, but feel unsure about taking the first step.
Many women stick to cash because it feels safer or more familiar.
When women do invest, they tend to be thoughtful, patient, and consistent.
What this tells me
The gap is not about ability.
It is about confidence and the messages women have absorbed around money.
Women often outperform simply because they avoid impulsive decisions and stay focused on the long term.
The important part
Your investing story does not need to mirror old patterns.
You can start where you are, build confidence step by step, and invest in a way that reflects your values and goals.
The case for women’s investing strengths
Patience and long-term focus
Women tend to adopt a long-term view. They are less prone to impulsive trading or chasing trends. Whilst men tend to trade more frequently, which often leads to worse net returns after fees and mistakes.
Lower overconfidence and fewer costly errors
Men often overestimate their ability to pick winners or time the market. Women tend to be more cautious or humble about their knowledge. That can lead to fewer costly mistakes or emotional decisions.
Discipline and regular investing habits
Women are more likely to stick with regular investing, automated contributions, and consistency, which compounds rewards over time.
More careful risk awareness
Rather than being extremely risk-averse, many women are risk aware. They balance growth and protection, understand downside risks, and avoid overextending. That measured approach can produce steadier results.
Better investment “hygiene”
Women often do the behind-the-scenes work: seeking advice, ensuring diversification, considering risks and avoiding unnecessary churn. That kind of diligence pays in the long term.
Applying these advantages to your journey
Lean into your virtues
Use your patience: let time and compounding work for you.
Automate contributions so you invest regularly without needing to re-motivate each time.
Resist overtrading or chasing short-term gains. Focus on discipline.
Compensate where you need support
Where you lack confidence, get a second opinion or work with a trusted adviser who will explain clearly.
Learn in manageable steps, not all at once.
Use tools and platforms that help reduce mistakes, such as auto-rebalance.
Keep growing your financial identity
Reframe your mindset: from “I am not an investor” to “I am becoming an investor.”
Celebrate incremental progress.
Share your journey, ask questions, and connect with other women investors.
Bridging to other topics you will love
While this article focuses on why women may have an investing edge, you may enjoy exploring how to make that edge practical. Here are some related reads:
Conclusion
If you have ever doubted your ability to invest, know this: the evidence suggests you have natural strengths many men do not. Discipline, patience, thoughtful risk awareness, and diligence are not weaknesses, they are powerful tools in your investing toolkit.
You do not have to go it alone. If you want guidance that respects your viewpoint and matches your pace, feel free to book a 15 minute call with Shalini Kanap, female financial adviser. Together, we can turn your strengths into a financial strategy you feel confident in.
The value of an investment with St. James's Place will be directly linked to the performance of the funds you select and the value can therefore go down as well as up. You may get back less than you invested.
FAQs
1. Does outperforming mean women always beat men at investing?
No. It indicates trends in studies, but individual results vary. That said, leaning into what works for you gives you a better chance of success.
2. Could women underperform in some markets or times?
Yes. In volatile or speculative markets, risk tolerance matters. But your steady approach often cushions against wild swings.
3. Is caution holding women back?
Sometimes. Too cautious can mean missing opportunities. But being risk aware is a healthier balance than being overly cautious or reckless.
4. How can I build confidence to invest more?
Start small, automate, learn in phases, and work with advisers who explain clearly and patiently.
5. Should I adopt more typically “masculine” investing traits like aggressiveness?
You can borrow useful traits, but doing so blindly may introduce mistakes. Blend what works with your style rather than copying another’s path.
SJP approved 21/11/2025
