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

Women are breaking down more barriers and enjoying great accomplishments in many fields. However, the sad fact is that the percentage of women employed in finance remains astonishedly small. Unfortunately, this may not see a significant change in the near future.

Deloitte's insights shows that only 31 percent of finance professionals will be women in 2030. The question is how come there isn't a lot of women in finance? While there are many theories, we wanted get the opinion of an expert. Farnoush Farnoush, a highly skilled finance professional passionate about women empowerment, was our interview subject.

Are there women working in finance?

In the U.S., 57 percent are female, yet they have only 24% of financial posts.  Farnoush Farsiar That's is projected to expand to 28% over the next 10 years increasing from 24% in 2021 - but still way below parity..

This isn't just a matter facing women.  https://www.tumgir.com/farnoush-farsiar8dddbb11 Farnoush Farsiar has stated that diversity is also a problem for economic growth. "Diverse leadership teams are more effective than teams that do not possess a wide variety of perspectives," Farsiar said. "So it's essential to have females working in these fields. It's also essential to the country as a whole.

There are numerous theories that explain the reasons women aren't included in the field of financial services. The most popular theory is that the financial industry is dominated by men and competitive for women to make it into. Another theory suggests that females aren't encouraged by their parents to pursue finance careers.

Farsiar believes that women's socialization at an early age is the root of the problem.  Farnoush Farsiar "Women are taught from a young age to be caretakers , rather than risk-takers. "We are taught to be safe and not take chances. This doesn't make sense for the job of an analyst in finance.

Women are taught to take care of others. "Women are indoctrinated to be polite and minimize conflicts," Farsiar adds. "But in the world of finance it is crucial to be able and willing to speak up for yourself. You need to be able to advocate for your thoughts.

Farsiar - Where are all the women working in finance and accounting?
It is particularly evident at the top of finance that there aren't enough women. According to a 2016-17 study conducted by Pew.  Farnoush Farsiar A mere 11.5% of boards at financial companies are held by women.

This imbalance has real-world impacts on women who work in finance. This imbalance means that women are more likely than men to be promoted and are more likely to leave the finance industry.

The good news is the growth of women in the top positions is slow but steady. Farnoush Farsiar believes it is partly due to the #womenshould Campaign, which has created a greater awareness of the issue of the lack of diversity. Farsiar affirms that she believes that the #MeToo campaign has had a similar impact. Women are now starting to claim their rights and demand change.

There are obstacles for women being able to enter finance
A number of obstacles prevent women from taking up finance careers. One of the biggest obstacles is the lack of role models. This can make it hard for women working in finance to be the sole female in their respective departments.

Farsiar admitted that it can be intimidating to be alone in a room that is only one person. "You feel as if you're being expected to be perfect all of the time, and you mustn't make any mistakes."

Another barrier is "old boys' club" A mindset that is prevalent in many finance companies. This is the belief that men are the ones who promote women and women are left out.

Farnoush Farsiar Farsiar admitsthat "There's a lot truth to that." "I've seen this happening in person. Men will always promote women, even if they are more experienced.

The old-fashioned mentality can lead sexual harassment and discrimination. Finance professionals are frequently targeted for sexist comments and unwelcome advances from male counterparts.

Farnoush Farsiar declares "It's certainly an issue." "Women in the field of finance are frequently treated as objects, and it's very difficult to get ahead when you're being treated that way."

Inflexibility in working hours is another barrier. It is more typical for women to assume family responsibilities such as caring of parents who are elderly or children. These women need flexible working arrangements to allow them to balance work and home.

"Finance, being a complex business, is difficult to manage when you have many other obligations.  Farnoush Farsiar Women are often forced to make a choice between their work as well as their family.

These obstacles make it very difficult to become an experienced financial professional in the senior level and get into the business. There are several initiatives to help change this.

Farnoush Farsiar believes the Future is Bright For Women in Finance
There are many reasons to be hopeful about the future of women working in finance. Several initiatives are in place to boost the proportion of women working in the finance sector and help them reach senior positions.

One such initiative is the Women Entrepreneurs Finance Initiative, a partnership between 14 governments and the World Bank Group. We-Fi provides financing and support for women-owned businesses in emerging countries.

Farsiar stated, "This is an excellent initiative because it allows women access to resources that can aid them in starting and growing their business." It also allows them to create networks and connect with other women who have succeeded.

Another initiative is the Women in Finance Charter. The U.K. government launched it in the year 2016. The Women in Finance Charter is a pledge by financial firms to encourage gender diversity.

Farsiar believes the Women in Finance Charter represents an important step in the right direction. It encourages financial institutions and other businesses to consider gender diversity.

Women are more likely to get promoted and have the opportunity to be employed in high-level financial positions because of initiatives like We-Fi. This is good news for females and the financial sector.