Women have historically been underrepresented in the finance industry, but in recent years, there has been a push to increase gender diversity and bring more women into leadership positions.
According to a report by Deloitte, women currently make up just over a third of the finance industry workforce and hold just under a quarter of senior leadership roles. However, there are signs that this may be starting to change.
Mentorship is Missing the Mark
One factor contributing to the underrepresentation of women in finance is the lack of female role models and mentors.
A study by Marcus by Goldman Sachs found that nearly half of women in finance feel they have fewer opportunities for advancement compared to their male counterparts, and a third feel that they are not given the same level of support and guidance as men. This can make it more difficult for women to progress in their careers and reach leadership positions.
According to a study shared by MIT Management, “Women have to hit a higher threshold of future performance in order to justify the same potential [evaluation].” Mentorship is key to bringing women up in the banking industry.
Leadership Programs Build Future Female Leaders
To address this issue, some financial institutions have implemented programs to support the advancement of women in the industry.
Navy Federal Credit Union has a Women in Leadership program that provides professional development and networking opportunities for female employees.
Google has also implemented a number of initiatives to support the advancement of women in finance, including a program that pairs high-potential female employees with executive mentors.
Hurdles That Make It Harder
In addition to the lack of female role models and mentors, there are also cultural barriers that can make it more difficult for women to succeed in finance.
The industry has traditionally been male-dominated, and some women may feel that they do not fit in or that they are not taken seriously by their colleagues. To address these issues, it is important for financial institutions to create a culture of inclusivity and support for all employees, regardless of gender.
Success Stories Certainly Exist
Despite these challenges, there are many successful women in finance who are breaking down barriers and paving the way for future generations.
Jane Fraser, who recently became the first woman to lead a major Wall Street bank as the new CEO of Citigroup, is an inspiration to women in the industry. There are also many women in top leadership positions at other financial institutions, including Bank of America, JPMorgan Chase, and Wells Fargo.
For women looking to break into the finance industry or advance their careers, it is important to seek out mentors and networking opportunities, and to be proactive in seeking out leadership roles. It is also important to be resilient and persevere in the face of challenges and setbacks.
As more women achieve success in finance, it will become increasingly clear that diversity and inclusion are not just the right thing to do, but also the smart thing to do for business.
Do you have what it takes to be a banking leader? Are you interested in hiring for this role? If so, then connect with us here.
