Wealth transfers from parents and spouses, combined with growing numbers of women in executive roles and high-growth entrepreneurship, mean women are controlling increasing amounts of wealth globally. Women are projected to control 40–45 percent of retail financial assets in the US and Europe by 2030.
Yet Women of Wealth (WoW) remain significantly underserved by financial institutions. Many women report that financial institutions fail to serve them, as detailed in 2019 research by the Financial Alliance for Women and a recent McKinsey study.
This disconnect is a huge missed opportunity.
What works for Women of Wealth?
At our recent Ask the Expert session on Women of Wealth strategies, we heard from ABN AMRO Netherlands and its sister bank, Bethmann Bank Germany. Nadia Menkveld from ABN AMRO shared their impetus for developing a strategy for the segment: “What we see is that if women divorce their husband, a big group tends to leave the bank. So, what we want to do is not only cater to new female clients but also make sure that our back door closes.”
Both institutions shared insights to build loyalty and become the long-term financial partner to women of wealth:
Train relationship managers: ABN AMRO launched a training program to create gender-intelligent bankers, including by conducting role-playing exercises and going through “dilemma dialogs” that mirror tricky real-life scenarios. For example, one dilemma posed: “You’re calling Mr. Smith about his investment portfolio. You try to include his wife, but she says, ‘it’s up to him.’ Do you leave it, or try harder to engage her?” (Answer: Try to engage with her!). The facilitators then work with the bankers to help recognize their biases and design approaches to build relationships with women.
ABN AMRO also has wealth planners who specialize in divorce situations, recognizing this as a critical life moment when women have to engage with their finances often for the first time.
Offer relevant solutions: While neither bank created women-exclusive products, both have seen that women show greater interest in ‘sustainable’ investing. This means that ESG investment products have resonated strongly with women.
For women who have built their wealth through entrepreneurship, wealth planning, cybersecurity guidance, and access to private equity opportunities are some of the most sought-after services.
Create meaningful connections through value-add services and partnerships: Bethmann Bank hosts an annual Women’s Wealth Summit, regional events at all German branches, and a Women’s Wealth Academy offering educational sessions. They’ve also built strategic partnerships with networks like VdU (a network of entrepreneurs).
Make the strategy visible through marketing and communications: The speakers emphasized the importance of visual representation of women across all touch points. As Nadia noted: “We’ve embedded this in our communications. We always make sure we have women in the picture.”
ABN AMRO has also partnered with magazines to spotlight successful female entrepreneurs and created events around these features.
Measure relevant KPIs to refine the strategy and sustain support: Both institutions track new female clients acquired, client churn rates, and engagement with existing female clients. Dashboards monitor how many new women are coming to the bank and how many women are leaving. These KPIs are also essential for keeping senior leadership and relationship managers on board.
The same goes for segment and product leads. As Nadia emphasized: “To start, you have to take the internal organization along. We’ve had the advantage of having a HQ sustainability department that has social impact and inclusivity as a strategy. But to get all the MDs along has been a challenge. So here we focus on the commercial opportunity. We see a growing group that is underserved. If you focus on the commercial opportunity, then it’s easier to receive the budget.”
Interestingly, the business case doesn’t have to be massive. As long as revenues exceed costs, the internal sell becomes easy.
The Bottom Line
The institutions that recognize the massive untapped opportunity to serve Women of Wealth reality, and act on it now, will gain significant competitive advantages. Those that wait will find themselves playing catch-up in a market that’s already shifted beneath their feet.
Ask the Expert is a members-only webinar, delivered quarterly, featuring members with expertise in the session’s topic. Members are requested to send topic areas they are most interested in discussing with an expert to peerlearning@financialallianceforwomen.org
