Women are breaking down the barriers to achieve amazing success in a range of fields. The sad reality is that only a tiny percent of women work in finance. But, unfortunately, this will not see a significant change in the near future.
Deloitte insights estimates that 31% of financial industry employees will be women in 2030. This begs the question “Why there aren’t more women working in financial services?” While there are many theories, we decided to get the opinion from an expert. Farnoush Farnoush is a committed financial professional who is a champion for women’s empowerment.
How many women work in Finance?
The U.S. is home to 57% of the workforce. But there are only 24% in financial positions. https://www.businesstelegraph.co.uk/why-there-are-few-women-in-finance-farnoush-farsiar/ This number is predicted to rise to 28% within the next 10-20 years, up from 24% at present.
Diversity isn’t just a problem for women. Farnoush Farsiar says it is also a threat to the economy. “Diverse leaders have better results than ones that do not have as broad a spectrum of opinions,” Farsiar said. It’s important for women to be represented in these fields. However, it’s also essential for the country.
There are many theories as to why women aren’t more represented in the financial industry. The most popular theory is that finance is too male-dominated and competitive for women to get into. Another theory suggests that financial careers are viewed as a deterrent for women by peers or parents.
Farsiar believes that the source of the problem lies in how women are socialized from a young age. “Women are taught from an early age that they are caretakers, not risk-takers. “We’re taught not to take risks, but rather to be safe. This doesn’t help being a successful career financially.
It’s not just about being taught how to look after the children. Women are also taught to be kind to people. Farsiar explains that women are taught to be courteous and are taught to reduce conflict. “But when it comes to finance, you must be able to stand up for your ideas. You have to be able to advocate for your personal ideas.”
Farsiar: Where are all the finance women?
Women are disproportionately underrepresented in finance at the most senior levels. According to a research study from 2016-17 conducted by Pew. There are only 11.5 percent of women are on the top financial boards.
This imbalance can have real-world effects on women working in finance. Women are less likely to be promoted than male counterparts. They’re also more likely to quit the profession altogether.
It’s good to know that there is increasing numbers of women working in senior positions. Farnoush Farsiar believes part of this increase in women in senior roles is due to the #womenshould campaign which raised awareness of the need for diversity. Farsiar said that she is “convinced” that the #MeToo Movement also was a major influence. Women are starting to speak out and demand changes.
Farnoush Farsiar There are barriers to women pursuing finance.
Many barriers prevent women entering the financial world. The lack of role models is just one of these biggest obstacles. It can be lonely for women working in finance to be the sole woman in their field.
Farsiar explained that being the only woman in a room can be quite stressful. “You expect to be flawless at all times and that there must be no mistakes.”
Another issue is “old boys”club”, a mentality that persists in many finance firms. This is the belief that men are superior to women and men should promote one another.
Farsiar admits “there’s a lot more real,” he says. “I have witnessed it in person. Even if the woman has higher qualifications, men are still able to promote others.
This”old boys’ club” mentality can also result in discrimination and harassment of women. Finance professionals are frequently subjected to demeaning comments and unwelcome advances from male colleagues.
Farnoush Farsiar declares “It’s certainly an issue.” “Women in Finance are often treated like objects. It’s hard to make progress in a world where you’re treated like a commodity.”
Lack of flexibility in working hours is another issue. Women are more likely than men to be entrusted with family responsibilities, such as caring for elderly or children parents. Farnoush Farsiar Women need flexible work arrangements in order to balance work and family.
“Finance is a stressful job. Farnoush Farsiar It’s difficult to manage other responsibilities. Women are often required to choose between their work and family.”
These obstacles make getting top post in the financial service industry extremely difficult for females. There are numerous initiatives underway to overcome this.
https://www.asian-tapas.com/farnoush-farsiar-discusses-challenges-women-business-leaders-face/ Farnoush Farsiar believes that the future is bright for women in finance
There’s plenty of reason to be optimistic about the future of women working in finance. Numerous initiatives have been taken to boost the number of women employed in finance and to assist women in achieving senior positions.
One of these initiatives is the Women Entrepreneurs Finance Initiative (We-Fi) It is an alliance with the World Bank Group and 14 governments. We-Fi provides financing and support for women-owned businesses in the developing world.
Farsiar said, “This is an excellent initiative because it allows women access to resources that can aid them in starting and growing their businesses.” “It will also assist women in building networks and connect with other successful women.”
A different initiative is the Women in Finance Charter, which was launched by the U.K. government launched in 2016. The Women in Finance Charter encourages gender diversity.
Farsiar says to “The Women in Finance Charter” is a major move forward. Farnoush Farsiar It’s urging financial institutions to act on gender diversity and it’s making an impact.
Women in Finance Charter and We-Fi are helping women to achieve higher-level positions. This is great news for both the financial and female sectors.