Are Women Better Investors Than Men? New Studies Say So

StarBuzz Weekly, Toronto-December-24-10 9:18:50 AM by GD
By Ranjan Bhaduri-Dec 24, Are women better investors than men? At least that is what the Economists at Bank of America-Merrill Lynch, Neil Dutta and Ethan Harris feel. The brands that cater to women will benefit if they adopt a ‘long on women’ investing methodology, they think. The women will get more to spend and carry on the consumer spending drive. The report indicates women’s earnings will recover faster compared to that of men. The women are getting additional economic benefits the so called gender wage gap notwithstanding. This gap is actually narrowing. Other researches also corroborate this theory.

In the last couple of years the economy was slowly coming out of the effect of recession. Researches have indicated that women have done better than men in investment even in this trying time. University of California-Davis researcher Brad Barber thinks “Men are more prone to over-confidence than women, so they tend to trade more aggressively”. This make them more prone to face losses the studies have indicated. He covered 35000 families in his research before he reached the conclusion.
His research says that women think more than men before they invest and rarely gets tempted to invest hurriedly. The researchers are also trying to find out if women react differently owing to cultural and biological reasons. The reaction of women however sends a clear message that less trading is actually better. The other notable point is that the so called hot investments which often lure men can actually turn to be harmful at the end. It makes sense to re balance ones portfolio at timely intervals.
Source: (THAINDIAN NEWS)
http://www.thaindian.com/newsportal/world-news/are-women-better-investors-than-men-new-studies-say-so_100478946.html