Women lead the way in enlisting financial advisers

Women often are the driving force when couples enlist the aid of a financial adviser. I see this regularly in my own practice as a Certified Financial Planner.

Numerous studies outline the differences between men and women when it comes to money management and retirement planning. For instance, women clearly face more hurdles on the road to financial security: They live longer than men, earn less and therefore save less, are more likely to expend time and money on care giving, and can be harmed by divorce and widowhood.

And so women tend to worry more about financial matters. A survey conducted in April 2016 by CreditCards.com showed that 68 percent of women actually lose sleep over money concerns, compared with 56 percent of men.

More women reported losing sleep over all five financial categories included in the survey. For instance, 44 percent of women lose sleep over their retirement savings, compared to 35 percent of men. Similar gaps emerged regarding education costs, paying for health care or insurance bills, paying the monthly rent or mortgage, and credit card debt.

One way to get more sleep is to write your worries down on paper, and then commit to a financial plan that addresses those worries. A financial planner can help you define your needs and goals and devise a longterm plan to put your worries in the rearview mirror.

While worry and stress are negative emotions, they are useful in alerting you to potential dangers. Stressing out too much over money is clearly not a good thing, but a little worry may be the prod you need to identify legitimate concerns and start planning for your future.

If you are losing sleep over financial issues, or arguing over financial matters with your spouse, pay attention: These are warning signs that can point you in a new and positive direction.

People who craft a financial plan are more optimistic about their financial future, which indicates they probably sleep better. For instance, a 2015 survey by the CFP Board (the standards and certification organization for Certified Financial Planners) showed that 89 percent of people with financial advisers felt “very prepared” or “somewhat prepared” financially, compared to 63 percent of people with no adviser.

The survey also revealed a huge jump in the number of Americans hiring a “financial planner or adviser,” from 28 percent in 2010 to 40 percent in 2015.

I want to leave you with one more thought regarding women and finances. While women are less likely than men to feel confident about their investing skills, multiple studies show that women are actually better than men at investing. Both married and single women consistently achieve higher returns, primarily because they hold on to their investments longer. That’s a clear example where being a “worrier” may be an advantage, so don’t lose any sleep over it. Eric Tashlein is a Certified Financial Planner professional and founding Principal of Connecticut Capital Management Group LLC, “CCMG” 67 Cherry St., C-2, in Milford. He can be reached at 203-877-1520 or through www.connecticutcapital. com. This is for informational purposes only and should not be construed as personalized investment advice or legal/tax advice. Please consult your advisor/ attorney/tax advisor. Registered Representative, Securities offered through Cambridge Investment Research Inc., a Broker/ Dealer, Member FINRA/ SIPC. Investment Advisor Representative, Cambridge Investment Research Advisors Inc., A registered Investment Advisor. “CCMG” and Cambridge Investment Research Inc. are not affiliated.