A fifth of women and twice as many men make decisions on financial and property matters for the entire household. 35% of people decide on these issues together in the household. Women are more likely to have mixed feelings when making decisions about investments and assets, with a fifth saying they are even insecure and feel worried. On the other hand, a quarter of women make decisions about their assets with confidence and clarity. Traditional gender stereotypes and inequalities in the field of assets are thus gradually disappearing. Women are becoming wealthier and more successful, taking a more active role in asset management and continuing to develop the family assets and increase their value. They tend to make conservative investments that are consistent with their values and goals. This was found in a survey as part of the NextŽeny project, which was conducted among respondents with above-average incomes by HAVEL & PARTNERS and RSM CZ in cooperation with the research agency Ipsos. The international partner of the project is UBS.
Men are twice as likely as women to take care of the finances and assets of the whole household themselves (40% of men), while a fifth of women (20%) take decisions about the finances and assets of the whole family themselves. Women most often stated (39%) that they deal with finances and assets together with someone in the household. On the other hand, about a third of men (32%) also make decisions about finances and family assets together with someone.
A quarter of women think that both they and their partner have the final say in property matters together, but about a fifth of women think that their partner ultimately decides on finances and assets. Compared to the global figures of UBS’ study (UBS Women and Investing – reimagining wealth advice 2022), where the majority of married women reported that they leave their financial decisions to their husbands, Czech women have a greater tendency to be involved in decision-making or to deal with these matters directly on their own.
“Traditional gender stereotypes and inequalities in the field of assets are gradually disappearing. More than ever, couples and families tend to approach financial and property issues as a partnership task in which both partners are actively involved and often work together to find the best solution for the family. However, we still perceive that men have greater self-confidence and a tendency to have the final say” commented David Neveselý of HAVEL & PARTNERS. In fact, for people who make decisions about assets in the household jointly, nearly 70% of men said that they make the final decision. Only 45% of women had a final say.
Both men and women are most likely to feel responsible when making decisions about finances and assets (76%). A quarter of both women and men make decisions with confidence and clarity. “Women and men today have an equal level of access to financial literacy and financial education. Knowledge of financial instruments, the ability to read the market and understand risks and returns contribute to their confidence. Thus, we observe an equal tendency for them to make decisions with greater certainty and clarity. At the same time, both men and women are aware that their decisions about finances and assets can affect their own financial stability and future. Therefore, when making decisions about finances and assets, responsibility is a key factor that influences their individual financial and investment behaviour,” said Monika Marečková, managing partner of RSM CZ.
However, there is still a group of investors who are not so confident when it comes to finances. For a fifth of women, these situations cause insecurity and fear, three times more often than for men. Women are also more stressed by property issues. Young women up to the age of 34 (42%) are the most worried about these situations, with women’s fear decreasing with increasing age. Single investors (29%) and people who do not make financial decisions alone but together with someone else (28%) are also more likely to feel insecure.
Most often, women and men split their investment portfolio and invest part of their funds conservatively, i.e., in investments with lower risk and return, and part in riskier areas with higher returns. This strategy is chosen by 68% of men and 45% of women. However, there is a second and almost equally significant group of women (40%) who invest their entire portfolio conservatively, i.e., in areas with a lower level of risk. For men, only 23% of investors think this way.
“Women are more likely to prefer investments that are proven and have a long-term track record of success. They place greater emphasis on security and stability and want to be sure that their investments are protected from significant losses. In addition, women become wiser and more confident with age when it comes to investments, while men put more emphasis on less risk as they age,” described David Neveselý of HAVEL & PARTNERS.
Conservative investing is most often preferred by female investors with assets worth CZK 5-20 million (46%) and also female investors aged 35-44 (47%). The strategy changes gradually as they become older and female investors aged over 55 (67%) are more likely to also add more risky assets to diversify their portfolios. For men, it is exactly the opposite. As they age, their preference for diversified investments decreases and they tend to invest more conservatively.
According to the survey, Czechs in general do not like investing only in risky products and 8% of people do not invest at all, with women two and a half times more often than men.
Women want to use investments to protect their assets from depreciation and to provide for their old age. Men do so for similar reasons. Motivation to provide for the family is also important for both groups. According to the survey, men are more likely to feel responsible for their family’s financial security – 72% of them, i.e., 19% more than women – and investing is one of the tools they use to secure their family’s future.
According to UBS’ study (UBS Women and Investing – reimagining wealth advice 2022), women in general tend to favour risk reduction and positive impact of their investments. They are less likely to change their investment profile during volatility, are more disciplined, and invest in line with their goals. While men tend to give more weight to pure performance and make investment decisions based on historical results. According to the NextŽeny survey, men are more likely to have investments as a side income or to invest because they simply enjoy it and it brings them personal satisfaction.
Men and women are most likely to put money in savings accounts (82%), and three-quarters of people also save for retirement. However, over 70% of them leave money in their current account. In all this, women are no different from men. More than half of respondents, regardless of gender, also use conservative investment funds.
Real estate is particularly popular among Czechs. 85% of people identified it as an area of investment confidence. Currently, 75% of men and 17% fewer women use real estate as an investment. However, their number should increase in the future, as a third of women stated in the survey that they want to invest in real estate in the future.
“Women are investing increasingly in real estate via direct investments. Based on a recent survey, men are much more likely to list real estate investment trusts as their primary real estate investing method, while women are more likely to favor rental property. Data also shows that the gender gap in buy-to-let is narrowing, with more women becoming landlords and growing their property portfolios,” said Emma Wheeler, UBS Head of Women’s Wealth.
Female investors are less likely than men to invest in stocks, according to the NextŽeny survey. So far, only 38% of women use them, compared to 64% of men. But here too the gender gap could narrow in the future, as 22% of women plan to use stocks as an investment.
The gender gap is also noticeable for venture capital funds. Only a fifth of female investors invest in them, compared to 44% of men. And women also put fewer assets in bonds (29% for women v. 39% for men). Male and female investors also have a different view of cryptocurrencies. These are currently owned by a fifth of male investors, but only 8% of female investors. Moreover, according to the survey results, it does not seem that these figures will increase significantly in the upcoming period. 84% of women and 71% of men do not plan to invest in cryptocurrencies.
Czechs have the greatest trust in real estate investments. More than half of male and female investors also trust technology, according to the NextŽeny survey, with men preferring this area more often, with 62% trusting it, 18% more than women. The same is true for innovation, which is considered promising by 14% more men than women. Compared to female investors, male investors are also more inclined towards pharmaceuticals and healthcare, raw materials, automotive or almost three times more likely to trust cryptocurrencies.
Women, on the other hand, identify investments as promising areas if they are in line with their values and if they see them as a social benefit. They are therefore more likely than men to invest in education or sustainability.
Advisory services on property and financial matters are currently used by 45% of people. Slightly more women than men. Their advisers are overwhelmingly male. A third of women have a female adviser, but only a fifth of men. Women are therefore more likely to entrust these matters to women.
61% of people try to rely on themselves in managing their assets and finances but turn to advisers when dealing with more complex matters and longer-term financial decisions. Women are more likely than men to take advice on financial investments, including investments in conservative funds, and to also seek advice on investments in venture capital funds or retirement savings. They usually turn to financial advisers or experts in banks or insurance companies.
“Women value professional advice more than men. Increasingly, women who are successful in business are turning to us with the need to plan and organise their asset management and invest wisely. Not only do they address investment strategies and plans with advisers, but they are also interested in facilitating discussions and implementing succession plans,” pointed out Monika Marečková of RSM CZ.
Men most often consult with advisers about investments in both conservative and venture capital funds and financial investments in general. They are also more likely than women to take advice on stock investments. Like women, they rely on the advice of financial specialists or advisers in banks and insurance companies. Compared to women, however, they are significantly more likely to address property and financial matters with business partners. More than a third of men (36%) seek advice from them.
Only 10% of respondents have a stable team of advisers or their own family office with whom they regularly discuss property and financial matters. “Women are much more open-minded in this respect, they like to work with several opposing opinions before choosing the most appropriate path, and given that the sample concerned high-income groups, in the future I would expect a higher percentage of people to use a stable team of advisers or family office,” said Monika Marečková from the consulting firm RSM CZ.
Almost every second respondent (47%) has precautionary rules for unexpected events and deals with what will happen to their assets and finances. Men are slightly more prepared for this situation. There are about 8.5% fewer women.
A quarter of people have the rules written down in one document, more often men. Another third or so has prepared actions, but they are not gathered in one place. Again, this is more often the case with women. 10% of men and 5% of women have sophisticated rules in place for unexpected events within a functional family office.
Almost 80% of people who prepare for adverse events have addressed the issue of securing the family’s future and know how the needs of children and loved ones will be covered in such situations. 60% also discussed the precautionary rules directly with their relatives, who know what will happen to their assets and finances. “On the other hand, the discussion with the family itself only partially addresses this issue and it is necessary to think about the best way to ensure that the rules are written and regulated comprehensively and in compliance with the law. This is the only way to prevent unpleasant situations and disputes in the family, which often have a negative impact on family relations when the division or transfer of family assets between relatives is discussed,” Neveselý pointed out.
UBS’ research (Women and investing – planning for your legacy 2023) shows that more women than men claim that having a professional to facilitate discussions such as a client advisor or wealth planner would help ease discussions around inheritance plans (55% vs. 49%).
The survey also showed that half of respondents have not yet addressed the question of what will happen to their or their family’s assets in the event of an inheritance, for example. Of these, more than half (52%) expect to develop these rules in the future, either by themselves or in cooperation with advisers. However, a fifth of people do not want to address this issue in the future.
NextŽeny survey sample and methodology
Clients and business partners of HAVEL & PARTNERS and RSM CZ responded to the survey. It involved 348 people of all ages, 143 of whom were women (41%). This is a group of affluent clients, most often from the ranks of owners or co-owners of companies or top and middle management, with assets reaching tens to hundreds of millions of crowns. The survey, data collection and evaluation were carried out by the research agency Ipsos. The survey was conducted in May 2023 using the CAWI method. For each completed questionnaire, HAVEL & PARTNERS contributed CZK 200 to the non-profit organization Dejme dětem šanci (Give Children a Chance), and RSM supported the operation of the Paraple Centre with the same amount for each questionnaire.
