A Note from Marguerita Cheng, CFP® — Did you know that women’s money decisions will shape the future for the U.S.?
Here’s the story: I was featured on CNBC in an Op-Ed by Ted Jenkin, CEO/founder of oXYGen Financial, who explained: “The rising economic power of women in this country is one of the most significant financial shifts of recent decades. The bottom line: Women are generating and managing an increasing amount of wealth in the U.S.”
In fact, today, women control more than $10 trillion (about 33%) of total U.S. household financial assets. Meanwhile, an unprecedented amount of assets will shift into the hands of U.S. women over the next three to five years, representing $30 trillion by the end of the decade.
Ted asked me why — and I explained it is because as men pass away, they leave control of these assets to their female spouses, who tend to be both younger and live longer. This is a wealth transfer of such magnitude that it approaches the U.S’s annual gross domestic product.
This is a huge transfer of wealth in and of itself, but women stand to inherit most of it because women traditionally outlive men. As more and more women have a say in significant financial decisions, it’s easy to see they’re not adhering to business as usual.