Confidence is Essential in Investing
One path to confidence is through emotional detachment. Emotional detachment is the ability to separate emotions from the outcome you are trying to reach, and that makes it easier to make decisions and act on them in uncertain situations, like in investing. Try out our tool.Start
We interviewed highly successful women in various fields where confidence is critical to career success. We extracted many important insights about what makes them confident in their work and lives. One persistent theme was about following your intuition during decision making.
Drawing on existing behavioral research and the interviews, we have found that emotional state matters when making decisions. Emotional attachment to an issue, in turn, can be a roadblock to following intuition and being confident about making decisions. We created a detachment tool to help people remove that roadblock. Detachment enhances decision making which can help improve investment outcomes. And, of course, detachment can be also applied to other areas of life where you have unnecessary emotional attachments or you have to make important decisions.
The purpose of Girl Funds is to help women follow intuition, establish a higher and appropriate level of confidence, and thus improve their chances of successful investing behavior.
Women & Finance
The problem: women who have money and “know how” invest in the stock market less than they should, according to economic studies. Why? Research has shown one important reason: women are less confident than they ought to be about their ability to make investing decisions, given what they know about finance. That lack of confidence is one reason why they invest at lower rates than men, and lower rates than they should. This puts them in a financially vulnerable position, which gets even worse during retirement.
Many services focus on educating women and creating awareness about investing as a way to fix this problem. We take a different and complementary approach. Our objective is to boost the confidence part of the equation. We define confidence as the ability to trust yourself, your understanding, and your knowledge such that you can act with conviction in an uncertain situation. Of course, to enhance confidence is a huge behavioral challenge. No one can solve this problem in one go, but we can help with incremental change.