Farnoush Farsiar - Why are there so few women working in finance?

Women are breaking down barriers and experiencing great successes in a variety of areas. The sad reality is that very few women are working in finance. This may not change anytime soon however.

Deloitte Web Insights reports that just 31 percent of the financial sector's workers will be women by 2030. This raises the issue of why there's not more women working in finance. There are a variety of theories. We wanted to hear more from an experienced expert. Farnoush Farnoush was interviewed by us. She is an experienced finance professional who has a passion for women empowerment.

How many women work in finance?

In the U.S., 57 percent are female, yet they are held in only 24% of financial jobs. The figure is projected to grow to 28% within the next 10-20 years, up from the current 24.

Diverseness isn't just a problem faced by women. Farnoush Farsiar believes it's also an issue that impacts the economy. Farsiar pointed out that teams that have diverse leadership styles perform better compared to those with fewer perspectives. It is crucial for women to be represented in these fields. However, it's also essential for the country.

There are a myriad of theories to explain why women aren't represented in the field of financial services. The most popular theory is that the financial industry is too masculine and competitive to permit women to enter the field. Another theory suggests that careers in finance are discouraged for women by peers or parents.

Farsiar believes that the source of issue lies in the ways women are socialized in their youth. "Women learn from an early age that they are caretakers, not risk-takers. "We're taught not to make risky decisions but to play it safe. This isn't the best approach to pursue an investment career.

Women are taught socially to be caring for one another. Farsiar says that women are taught to be courteous, avoid conflicts and keep their differences in check. "But in the world of finance, you need to be able to stand up for yourself. It is essential to have the ability to support your own thoughts.

Farsiar: Where are all the Finance Women?
Particularly at the top of the financial industry there is a dearth of women working in finance is alarming. Women are only about 10% of the executive positions as per a 2016-2017 study by Pew Research. Women are the holders of 11.5 percent of financial company board seats.

Farnoush Farsiar This disparity has real-world implications for women who work in finance. Women are less likely in finance to be promoted than their male counterparts.

https://www.highlandcountychamber.com/farnoush-farsiar-why-are-women-so-scarce-in-finance/ The good news is that the proportion of women working in senior positions is slowly but surely increasing. Farnoush Farsiar believes the reason for this growth is due to the #womenshould movement that has raised awareness of the problem of diversity. Farsiar affirms that she believes that the #MeToo campaign also had a significant impact. Women are beginning to recognize their voices heard and demanding change."

Financial Access Barriers for Women
There are many obstacles that women must overcome to enter the field of finance. One of the most significant issues is the lack of role models. Finance women are typically the only women working in their field, which can prove to be lonely.

Farsiar admitted that it's a bit scary to be the sole woman in the room. "It feels like you have to be flawless every time, and you shouldn't make any mistakes."

Another barrier is another one is the "old guys' club" mindset that exists in a lot of finance companies.  Farnoush Farsiar This is a reference to the notion that men promote other men and women are left out.

Farsiar acknowledges that "there's a lot more real," he says.  https://www.abcmoney.co.uk/2022/04/14/farnoush-farsiar-about-challenges-woman-business-leaders-face/ "I've seen it happen myself. Men will be arousing to other men, even when the woman is better qualified.

Farnoush Farsiar The old boys' club mentality can result in sexual harassment or discrimination. Female finance professionals are frequently confronted with ostracizing remarks and unwelcome advances from male colleagues.

"It's definitely an issue," Farnoush Farsiar exclaims. "Women working in finance are typically treated as objects. It's difficult to get noticed when you treat women that in that way."

Then it is the issue of inflexible working arrangement. Females are more likely be responsible for family obligations than men for example, taking care of elderly parents or their children. To balance their home and work schedules, they will need flexible working arrangements.

"Finance has a high-stakes industry. It is difficult to manage your responsibilities while working in the finance industry. Many women are forced to choose between their work or family.

These barriers make it extremely difficult for women in the finance industry to achieve the top positions. There are a variety of initiatives being taken to remedy this.

Farnoush Farsiar is optimistic about the future of women working in finance
There are numerous reasons to feel optimistic about the future financial industry. There have been numerous initiatives launched to boost their numbers and make it to the highest levels of the financial sector.

One such initiative is Women Entrepreneurs Finance Initiative which is a partnership of 14 governments and the World Bank Group. We-Fi is an initiative to provide financing and support for women-led businesses in developing economies.

Farsiar declared that this was a fantastic initiative because it provides women with the tools they need to expand and begin their own business.  Farnoush Farsiar It helps them create networks and connect with other female entrepreneurs.

Another initiative is The Women in Finance Charter. It was announced by the U.K. government in 2016. Financial companies have pledged to gender equality through the Women in Finance Charter.

"The Women in Finance Charter is a great step forward," Farsiar encourages. "It encourages financial institutions to work in the direction of gender diversity, and is already creating a positive change."

Women can now enter the top positions in organizations like We-Fi as well as Women in Finance Charter. This is good news both for women and the financial sector.