Women, the same as Men, become wealthy several ways – they work hard and earn it, they inherit it, or their wealth can relate to a division of assets through divorce or relationship property settlement. Often it depends on the way a woman’s wealth occurs, as well as their experiences and beliefs with money, as to how good they are when it comes to investing it, spending it, wanting to give it away philanthropically or using it to support their children.
In this case study we have combined elements from many clients over many years to highlight common challenges our female clients encounter.
Lorraine is recently widowed. The insurance her husband had the foresight to set up provided her with a decent sum of money after his sudden death. Now she is worried about what to do with it. She wants to protect her future and that of her children. She did not get involved in financial planning for herself or her children prior to her husband’s death. She was recommended to G3 by her family lawyer.
Lorraine is still feeling emotional about her family and future.
Having suffered such an extreme personal loss she is reluctant to trust people fully at the moment.
She has no experience with investing.
Work is important to her.
Relationships are everything.
Lorraine has never had to worry about finances before and is used to spending more than her current income will sustain.
Many women (but not all) who have not worked during their lives, having perhaps been supported financially by a husband during a time of raising a family, have often also left the financial side of their family life to their spouse, so paying bills, operating bank accounts, saving surplus income, investing it etc. suddenly becomes a whole new dimension to their life. They feel out of control, do not know where to go to get advice and have very little idea about how to manage their money for every day expenses and ensure they look after it to support themselves throughout life. Women tend to value security more than men, so when it comes to investing wealth they have inherited by any means, they often look to keep it in the bank – not always the best solution when they need to consider growing their money to keep pace with inflation.
Those women who have had a good lifestyle and have not needed to keep track of spending, suddenly find themselves unable to budget when they no longer have a bread winning partner to support them. They continue to spend as before and see their financial settlements dwindling fast. They haven’t had to learn to budget to date and do not know where to start.
Some women who have been widowed often need a period of time to grieve and settle into a routine without their partner. I guess this could be said for widowers too! Perhaps a year or so getting used to how life is and making choices about what they wish to do in the future, helps them decide upon the direction they wish to take in life, before being able to then get a handle on the money they now have solely in their names. Many may come through this wealth via a life insurance or terminal illness payment from an insurance policy and so this could be first time they have experienced wealth and need guidance and advice on how they can protect it, pay off debt and/or invest it wisely for their future.
Women need to trust their advisers, be able to build an open and honest relationship with them and be nurtured, educated, coached, but not patronised.
All of our services can be provided separately as required. However we find in most situations our clients require their own particular combination. We follow the process pictured above to ensure we provide each client with exactly the service to suit circumstance and budget.
G3 has been working with us for both our company and personal finances. We have found G3 to be knowledgeable and passionate about service.
They provide the right solutions for us and our staff through thorough research and recommendation.
They are always available to discuss any queries and explain things in terms I understand.
Greg and Robyn Jensen, Tauranga
As a busy couple we had neither the time, experience or knowledge to be able to transfer our UK pensions over to NZ or to sort out a financial plan
that would set us up for retirement. Thank goodness we found G3 Financial Freedom, their advice and guidance has been invaluable.
Chris & Sheenagh Pritchard, Christchurch
We have been delighted with the service and support we have received from Charlene and the team at G3.
We love the way they carefully analysed whattype of investors we are and helped us make decisions on long-termfinancial planning based on our needs.
Mike & Carolynne Masson, Omokoroa, Tauranga