The Rising Financial Power of Women

A new report from the CFP Board, Building Wealth: Insights on Women’s Aspirations & Growing Financial Power, sheds light on these evolving dynamics. Women now make up a significant portion of the workforce, with a labor force participation rate of 57.3% in 2024, compared to just 43% in 1969. Additionally, women are more likely than men to attain a college degree, a key predictor of lifetime earnings. These factors, combined with an unprecedented generational wealth transfer, are propelling women into positions of greater financial influence. According to Bank of America, an estimated $30 trillion in wealth will shift to women by 2045.

This growing financial power is evident in the home. The CFP Board report found that four in five partnered and employed women are either the primary income earners or contribute equally to their household’s finances. More than two-thirds serve as the primary decision-makers for investments. However, while confidence in everyday financial management is high, many women still feel uncertain about investing, building wealth, and long-term planning.

The Need for More Women in Financial Planning

Despite this financial shift, the advisory profession has yet to fully adapt. Women want advisors who understand their unique financial journeys — whether that means navigating career transitions, planning for caregiving responsibilities, or building generational wealth. Yet, as of January 2025, women make up only 23.8% of CFP® professionals and the statistics breakdown is similar for designations housed across the industry and even at The College.

This gap isn’t just a pipeline issue; it’s a cultural one. Women in the industry often face systemic barriers to advancement, from gender biases in hiring and promotions to a lack of mentorship and sponsorship. In a recent InvestmentNews article, increasing the number of women with professional designations, such as the CFP®, is one of the most effective ways to drive change. Designations not only provide credibility but also serve as a gateway to leadership roles in the industry. More importantly, when women advisors are present, female clients are more likely to feel understood, respected, and empowered in financial conversations.

What Women Want From Their Advisors

The CFP Board report makes one thing clear: Women have distinct expectations when it comes to financial planning. They want advisors who:

• Craft solutions tailored to their specific challenges
• Communicate complex financial concepts clearly
• Have a proven track record of success
• Hold certifications and designations
• Demonstrate empathy and active listening

Perhaps most notably, while women don’t necessarily insist on having a female advisor, many prefer professionals who share similar life experiences and values. This underscores the need for financial firms to prioritize diversity — not just in gender but in backgrounds and perspectives.

The Opportunity for Financial Advisors

For advisors willing to adapt, the opportunity is immense. Women are seeking guidance on wealth-building strategies, tax planning, estate planning, and long-term care. They are also more likely than men to prioritize caregiving expenses, philanthropy, and healthcare costs — areas that require thoughtful, holistic financial planning.

To better serve women, advisors should consider the following approaches:

• Adopt a more holistic planning model: Women tend to approach financial decisions with a long-term, big-picture perspective. Offering comprehensive planning that integrates retirement, caregiving, and legacy-building can be a game-changer.
• Improve financial literacy resources: While women are financially confident in many areas, they still seek education on investments and wealth management. Hosting workshops, webinars, and one-on-one coaching sessions can make a significant impact.
• Foster more inclusive client experiences: Women value clear communication and a judgment-free environment. Creating spaces where female clients feel comfortable asking questions and exploring their options without pressure can help deepen relationships and trust.

A Call to Action

Women’s financial influence is only growing. The question for the financial industry is whether it will evolve quickly enough to meet their needs. For firms and advisors, this means making intentional efforts to recruit and retain women in the profession, tailoring financial planning strategies to female clients, and, most importantly, recognizing that this isn’t just about business — it’s about equity.

Women are ready to take charge of their financial futures. The industry must be ready to meet them where they are.

More From The College:

• Visit the Center for Women in Financial Services
• Learn more about our Designation Outcomes