Women invest best

New research shows that women are better share investors than men.

11:36 24 August 2004

New research shows that women are better share investors than men.

Digitallook.com analysed 100,000 share portfolios and found that over the past 12 months, women have invested far more wisely than men.

The average woman's portfolio has grown by more than ten per cent over the year, in comparison with a seven per cent rise in the value of the FTSE All Share Index, and a six per cent average increase for men.

According to DigitalLook.com, the overwhelming reason for the success of women investors was their more cautious approach to investing.

Women tended to have more balanced portfolios compared with men, who adopted more risky strategies and concentrated on fewer stocks.

"When it comes to the dominant sex in the City, women have proved to be the consistent winner," said Andy Yates of the investment research website.

Men on the whole prefer technology and biotech stocks, which tend to be more risky and volatile, whereas women are more likely to invest in areas they know about, such as retail and banking stocks.

Rose Townsent from Wily Wye Women, a women's share investment club, says a mixture of common sense and research creates the winning combination: "I think women are more cautious and tend to use common sense about investing rather than blindly following hot tips."

She added: "Women also tend to be a bit more sentimental about buying local, well-known companies - and so have a lot more knowledge about the background and day-to-day business."