Prudential Business Leaders Reflect on Findings from New Women's Survey
What started in the year 2000 as a means to gain insight into women's attitudes about financial planning has evolved into a rich survey of their goals, fears, and resilience. The 10th anniversary of our landmark study, "Financial Experience & Behaviors Among Women," is an informative account of American women coping with a financial recession. Through this detailed polling of their actions, concerns, and attitudes, we identified areas of growth and areas where further support is needed.
Three of Prudential's key executives have been closely involved in the evolution of the survey and instrumental in developing products and approaches to advance the cause of financial planning at the organization. Christine Marcks, Lori High, and Judy Rice—all presidents of their respective business units at Prudential—offer their unique viewpoints regarding the survey over the past 10 years.
"It's clear that the more women know about money and finance, the more they understand what it's going to take to meet their future financial needs," says Christine Marcks, president of Prudential Retirement, a leading provider of 401(k) and other retirement plans. "But it's disturbing that too few have plans in place to achieve their long-term financial and retirement goals." In fact, the survey found just one-third of women have a detailed financial plan in place.
And many women still lack confidence in their ability to make sound financial decisions and lack knowledge about sophisticated financial products—a consistent trend over the course of the 10-year study. "Women's understanding of basic financial products has deepened over the years," says Lori High, president of Prudential Group Insurance, the second-largest provider of corporate life and disability insurance plans. "However, their knowledge of complex products such as mutual funds, annuities, and long-term care insurance continues to be limited."
Compounding this knowledge gap, fewer than two in 10 women feel "very prepared" to make wise financial decisions. According to Judy Rice, president of Prudential Investments (Prudential's mutual fund business), "the need for a trusted financial partner has never been greater, but too often women rely on informal personal networks for advice. Building a solid financial plan requires expert assistance, so it is important that financial firms work hard to build trust and do a better job of encouraging women to find the time to establish realistic plans to meet their specific needs."
The women's study was launched in 2000 and is updated every two years. For the 10th anniversary study, 1,250 American women were polled in February 2010 by the independent firm Harris Interactive.
For full results from the survey, read Financial Experiences & Behaviors Among Women.
