Women are increasingly breaking down walls and finding great results in various sectors. However, the sad reality is yet, women are a minority of financial professionals. Farnoush Farsiar It may not change soon, however.
According to Deloitte Insights that by 2030 only 31 percent of employees in the financial sector will be women. This begs the question “Why do women have a hard time working in financial services?” Although there are many theories about the reasons for this, we would like to hear from someone who’s worked in finance for a while. Farnoush Farnoush was interviewed by us. She is a seasoned finance professional who has a passion for women empowerment.
How many women work in finance?
The U.S. is home to 57 percent of the working population. However, they only hold 24% of the financial jobs. This number is predicted to grow to 28% in the next ten to 20 years, up from the current 24.
It’s not just a problem faced by women. It’s also a problem in the business world, according to Farnoush Farsiar. Farsiar said that diverse leadership teams have more impact than teams who have fewer perspectives. “So it’s crucial that there are females in these professions. It’s also crucial to the country as a whole.
Farnoush Farsiar There are a myriad of theories to provide the reason women aren’t being represented in the financial services industry. The most popular theory is that finance is too male-dominated and competitive for women to be into. Another theory is that women are not urged by their parents to pursue careers in finance.
Farsiar believes the root of the problem is how women are viewed at an early age. “Women from an early stage are taught that they should be risk takers, but caretakers. “We are taught to be cautious and to not risk it all. This is not conducive for the job of a financial analyst.
It’s much more than being taught how to look after the children. Women also learn to cherish people. Farsiar claims that women are taught to be courteous and avoid conflict. “But in the world of finance it is essential to be prepared and willing to speak out for yourself. You must be able and willing to advocate for yourself.
Farsiar: Where are all the Finance Women?
The absence of women in finance is particularly evident at the top of the field. According to a study conducted between 2016 and 2017 conducted by Pew the women in finance hold only 10% of the executive-level post. A mere 11.5 percent of the board members at financial companies are held by women.
This disparity has a real-world effect on women working as financial professionals. They are more likely than their male colleagues will be promoted and they are also more likely to leave the field.
It is good to know that women are steadily however, steadily, advancing in higher posts. Farnoush Farsiar believes that this is partly due to the ##womenshould campaign, which has brought about an increased awareness of the lack of diversity. https://www.difc.ae/public-register/rumi-investment-limited/ Farsiar says she believes the #MeToo movement had an equally significant impact. Women are now beginning to assert their rights and demand changes.
Women are unable to access financial aid because of their gender. from working in finance
There are many obstacles that prevent women from entering financial services. One of the most significant obstacles is the lack of role models. Financial women are often the only ones in their departments, which can result in feeling isolated.
“It can be really intimidating to be the sole female in the room” Farsiar said. “You feel like you’re expected to be flawless all every moment, and that you shouldn’t be able to make a mistake.”
Another obstacle is “old boys’ club” This mentality is prevalent in many finance companies. This is the idea that men favor other men and women are not considered.
“There’s plenty of truth in that,” Farsiar admits. “I’ve seen this happening firsthand. Men will always promote women regardless of whether they’re more experienced.
This old boys club mentality can lead also to sexual harassment or discrimination. Females in the finance industry are often confronted with sexist remarks and unwelcome advances from their male counterparts.
“It’s certain that it’s a problem,” Farnoush Farsiar exclaims. “Women working in finance are usually considered commodities, which makes it very difficult for them to succeed.”
The other issue is the difficulty in finding flexible working arrangements. Females are more likely be responsible for household chores than males who are responsible for caring for elderly parents or children. Women require flexible work arrangements to allow them to balance work and home.
“Finance is a stressful job. It’s hard to manage other responsibilities. Women are often required to choose between their work and their family.”
This makes it very difficult for women working in the finance industry to achieve the top post. There are however a few initiatives that could help to make a difference.
Farnoush Farsiar believes that the future is bright for women working in the field of finance.
Farnoush Farsiar There are many positive reasons to believe in the future of women in finance. Many initiatives have been initiated to increase the numbers of women who work in finance, and also to help them in reaching senior positions.
One such initiative is Women Entrepreneurs Finance Initiative (WeFi) It is a partnership of the World Bank Group & 14 governments. We-Fi assists women-led businesses in emerging nations by offering financial assistance and support.
Farsiar said, “This initiative is great because it provides women with access to the resources they need in order to start and expand their businesses.” It helps them create networks and network with other female entrepreneurs.
A different initiative is the Women in Finance Charter, that was launched by the U.K. government launched in the year 2016. The Women in Finance Charter aims to encourage the inclusion of women in financial institutions.
Farnoush Farsiar Farsiar urges to “The Women in Finance Charter” is a significant step in the right direction. “It will encourage financial institutions to adopt actions regarding gender diversity, it’s making strides.”
Women in Finance Charter and We-Fi help more women achieve high-level posts. This is good news for both the women and financial sectors.