While urban Indian women are a bigger part of financial decision making, particularly those in metropolitan areas, women still exhibit a risk-averse investment approach. According to a research conducted by DBS Bank and Crisil Research, 51% of women's financial portfolio is parked in fixed deposits (FD) and savings accounts.
The research takes into account over 800 women across 10 cities.
The study uncovers intriguing insights into the preferred
investment options of women earners in metros.
Fixed deposits and savings accounts take the lead with 51%, followed by 16% in gold, 15% in mutual funds, 10% in real estate, and just 7% in stocks.
The report also aligns with DBS Bank India's customer insights, revealing that 10% of female customers actively maintain fixed deposits, while only 5% of their male counterparts opt for this investment avenue.
On a positive note, the study highlights that women, whether salaried or self-employed, actively participate in long-term family decision-making, with 47% making independent financial choices. Age and affluence significantly shape these decisions, revealing that women over 45 years old lead in independent financial choices compared to those aged 25-35.
The report provides insights into the evolving financial priorities of metropolitan women, emphasising how goals shift with age, from home-related investments to children's education and medical care.
The research further explores the impact of dependents on women's investment behavior, indicating that 43% of married women with dependents allocate 10-29% of their income to investing, reflecting a conservative approach.
In contrast, a quarter of married women without dependents choose to invest over half of their income.
Regional variations add depth to the findings, showcasing distinct preferences in credit card usage and loan preferences. The report highlights that 96% of women in Mumbai rely on credit cards, while only 63% of women in Kolkata use them.
Additionally, half of the surveyed salaried women mentioned never having taken a loan, and among those who did, home loans emerged as the preferred choice, underscoring the cultural significance of homeownership in India.
Delving into banking and payment channels, the study reveals age-related preferences, with 33% of women aged 25-35 favoring Unified Payments Interface (UPI) for online shopping, compared to 22% of those above 45.
UPI emerges as the preferred choice for various payment needs, including money transfers (38%), utility bills (34%), and e-commerce purchases (29%), signaling a decreasing reliance on cash.
(Edited by : Anshul)
First Published: Jan 16, 2024 10:59 AM IST
