Changes have had to be made in the financial services sector in recent years due to technology and innovation. These changes have reflected the importance of digitalisation but unfortunately, a gender disparity still exists. The number of women that contribute to the growing of Fintech is still low compared to the number of men.
The introduction of digital financial services has increased the potential of product outreach dramatically resulting in a significant involvement of clients who previously had no access to financial services and products. Fintech is making the world a better place, as it has brought transparency and efficiency to markets around the globe. It has also cut the costs and improved the quality of services.
The problem at a glance
The gender pay gap is still a massive problem and it’s important to note that women in the US working in banks have earned less than half of what their male colleagues earn, and they even receive fewer bonuses.
As for London, it is difficult for women to challenge the status quo since, in many cases, the people around them – parents, teachers, friends and partners – have encouraged women to be comfortable with the amount of money they earn. Once they have accepted this, then it becomes more difficult for women to search for opportunities, experience new situations and experiments with innovative ideas. According to the Institute of Fiscal Studies, the number of women working in the UK has risen by a massive 21% in the past 40 years and we’ve seen a record-breaking amount of women at work.
Generally speaking, on the other hand, men are encouraged more often to work hard, step up the career ladder and improve themselves to earn more money. Men are commonly evaluated by the amount of money they have and their social status.
Fintech is for everyone
Everybody in the world needs money to survive. If money is essential, then there must be transparent and reliable financial services to make money easily available to everyone. Fintech is a bridge to connect and give everyone an opportunity to improve their professional careers. Unfortunately, it is common these days to find that the majority of women are still trapped in an island, so they need to get off the island and bridge the gap of gender employment in the Fintech sector.
Women in Fintech are performing very well compared to the majority of men. The Kauffman Foundation conducted a research and found out that private technology companies being led by women in London are more capital efficient and generate a higher revenue i.e. 12% higher than male-owned technology companies.
The Fintech sector allows women to put ideas into action and come up with solutions to problems that we might face on a daily basis. Those women who continually ask themselves what problems they want to solve in the world, disregard any stigma related to being a working woman and express their ideas are the ones who end up challenging the status quo.
A good example is Sylvia Carrasco, the founder and CEO of Goldex. Sylvia realised shortly after coming up with her business idea that the only way to make her vision a reality and become a business like no other was to divert from unfair industry practices in the world of gold investments. She went on to create an organization that executed trading services to global houses in 2008 during the economic recession period. Her eagerness to learn and adapt has been the key to success for Sylvia and will be for many women in London in the years to come.
Important disclaimer: this document is not an official research report and the views expressed in it are those of the authors. The authors are not registered research analysts and there is no assurance the trends mentioned will continue or that the forecasts discussed will be realised. Gold as a commodity is not a specified investment for the purpose of giving advice under the Financial Services and Markets Act 2000, therefore, this it does not give rise to rights to claim compensation under the Financial Services Compensation Scheme.