Women close gender investment gap – on smartphones

USER-friendly technology is key to getting more women to invest, experts believe.

Women traditionally save less money than men and shun investment risk in favour of safer bets, resulting in less money to live on in later life. This is often referred to as the ‘gender investment gap’.

But the evolution of investing methods – including smartphone apps and easy-to-understand online wealth managers – is proving most significant to the female gender.

More than two-fifths of women using these apps have increased the sums they put away in the past year, according to research by wealth manager Fidelity International. Among those using apps or online companies to manage investments, nearly half use technology unconnected to their bank, compared with a third of men. But overall, only 11 per cent of women use online tools to invest.

Maike Currie, Fidelity’s investment director, says: ‘Technology could help bridge the gap and attract more women to investment. Women point to being time-poor as one barrier to investing. They also want more support in knowing where to start. Apps and online solutions are a step in the right direction.’

One app with a growing female customer base is stockbroking app Dabbl. Customers can buy shares in modest amounts – for £2 a month. The first three investments are included in the monthly fee, and are £1 each thereafter.

Dabbl says 50 per cent of its female investors yield profits of more than 10 per cent, compared with 29 per cent of men.

The app also allows customers to take pictures of products they like – via their smartphone – then buy shares in the firm that makes them. One client, Sadie Mantovani, 39, from Chiswick in West London, has doubled her money this year, thanks to investments in shares such as Ocado, Fever-Tree and Netflix.

She says: ‘I find data quite intimidating but I do have a good knowledge of – and interest in – brands.’

Other apps for investing include Moneybox, Plum and 7IMagine.