Introduction
Ayesha Ofori, a former wealth advisor at Goldman Sachs, has embarked on a transformative mission to close Britain’s staggering £567 billion gender investment gap. After a successful six-year career managing over £500 million in client assets, Ofori realized her work primarily benefited wealthy men, prompting her to leave her prestigious role and launch Propelle, a financial investment platform designed specifically for women.
The Birth of Propelle
Propelle launched recently as an app-based investment platform, offering a variety of options, including funds from established names like Vanguard, BlackRock, and HSBC. With more than £1.2 million in pre-seed funding, including a $100,000 investment from Google, Ofori aims to empower women to take control of their financial futures. Other notable investors include Stefan Bollinger, CEO of Julius Baer, and Lucy Demery from Barclays.
Ofori’s journey began with a sense of dissatisfaction. “I was promoted to executive director and brought in significant revenue, but I realized I was merely making incredibly rich men richer,” she reflected. This revelation led her to question the glaring underrepresentation of women in investing and the impact it has on their financial health.
Understanding the Gender Investment Gap
Current data from British financial research company Boring Money reveals that men have approximately £1.01 trillion invested, compared to £450 billion for women. This disparity highlights the urgent need for tailored financial solutions that resonate with women.
Moreover, a report from the union Prospect indicates a staggering 37.9% gender pensions gap, more than double the reported gender pay gap of 14.9% in 2022. Women, who generally live longer than men, find themselves at a disadvantage financially due to these disparities.
Addressing Misconceptions About Investing
Ofori discovered that many women mistakenly equate saving with investing. She noted, “Women naturally default to saving, often believing that placing their money in a cash Individual Savings Account (ISA) is sufficient.” However, this is a misconception, as ISAs do not equate to effective investing.
Research indicates that women are often more hesitant to engage with investment markets, with nearly half believing investing is too risky. According to a 2022 BNY Mellon Investment Management report, only 28% of women felt confident about investing their money.
Empowering Women Financially
Recognizing these challenges, Ofori began hosting events for women in London to share her insights and experiences. Within months, 2,000 women had signed up to attend. This response confirmed her belief that women not only want to invest but also need the right support and guidance to do so.
She noted, “Just because women haven’t been investing doesn’t mean they don’t want to invest. They clearly do.” This understanding laid the groundwork for Propelle, which aims to create a user-friendly platform designed with women’s unique perspectives in mind.
A Tailored Investment Experience
Ofori identified that traditional investment platforms often cater to male investors, leaving women feeling alienated. Many platforms use jargon-heavy language and lack transparency regarding investment risks, making it difficult for women to relate to their offerings.
Propelle aims to counter these issues with features like a risk assessment tool, which helps users understand different investment risks and their personal risk tolerance. The platform will also introduce smart goal-setting features, allowing users to choose funds that align with their values and financial goals, whether they are short-term or long-term.
Furthermore, Propelle plans to expand its offerings to include alternative investments like fractional real estate, startup investing, and even niche markets such as wine and art. Ofori’s vision is clear: “Just because you might have a smaller amount of money, why should you be excluded from asset classes that the wealthy have been investing in for years?”
Conclusion
Ayesha Ofori’s journey from a high-profile wealth advisor to the founder of Propelle underscores a crucial movement towards financial inclusivity for women. By addressing the gender investment gap and providing tailored solutions, Ofori is empowering women to take charge of their financial futures. As Propelle grows, it has the potential to transform the landscape of investing for women in the UK, bridging the gap and fostering a new generation of confident investors.
I am Aparna Sahu
Investment Specialist and Financial Writer
With 2 years of experience in the financial sector, Aparna brings a wealth of knowledge and insight to Investor Welcome. As an accomplished author and investment specialist, Aparna has a passion for demystifying complex financial concepts and empowering investors with actionable strategies. She has been featured in relevant publications, if any, and is dedicated to providing clear, evidence-based analysis that helps clients make informed investment decisions. Aparna holds a relevant degree or certification and is committed to staying ahead of market trends to deliver the most up-to-date advice.