According to recent research conducted by Capital.com, 50% of the platform’s female traders across every market have a bachelor or master’s degree. The data shows that only 37% of male traders, in comparison, declare a bachelor or master’s degree.
This was observed in the Group’s quarterly report—Pulse, which tracks the trading patterns of retail investors across all markets it operates in among 4 million account on Capital.com.
Laura Lin, Chief Executive Officer, Asia Pacific, Capital.com noted that the investor data confirms that education success is key to driving greater female participation in financial markets.
Laura Lin said:
A big part of trading and investing is about building confidence through research, education and learning. Based on our findings, female traders are more likely to trade and invest for themselves if they are informed and educated. Building confidence via education is important to create a more inclusive and level playing field when it comes to trading and investing.
Female traders make up only 13% of Capital.com’s retail client base, depending on the region.
The highest number of female traders using the investment trading platform is in Australia, with 16%. That number is the lowest in the Middle East at 6%.
As more women generate their own wealth, they will increasingly control the deployment of their assets and become key financial decision-makers in their households. This trend, which is a characteristic of many emerging economies, contributes to greater financial and investing confidence among women.
“Female investors are more disciplined”
According to Capital.com’s research data, female investors and traders are also more disciplined and considered.
The Pulse report showed that in the first quarter of the year, female traders on Capital.com made 34% smaller deposits than men. During that period, male traders on the platform were active mostly in a single market, usually currency trading, while women traders were more diversified, preferring equities and multi-asset trading.
According to the research, female traders were more prone to short-selling than male traders.
We found that 36% of our female clients classify as short traders, whereas for male traders it was only 29%. That does not mean our female clients are short sellers, but it could mean they understand both sides of a trade and evaluate entry from a short seller’s perspective more than men. This mindset can also help traders to identify opportunities under bearish market conditions.