Although there is a huge presence of women in many industries nowadays, Wall Street is one that still lacks adequate female representation. According to John Coates, a neuroscientist at Cambridge University, “the trading world is 95% young males.”
Women are needed in this industry, not just because of fair job opportunities, but also because it is proven that they could significantly improve the market. There was a study done in 2010 by Alok Kumar at the University of Texas showing that females have an important quality, which is positive in a risk-taking based industry. The study examined records of every single projection made by all Wall Street analysts from 1983, and found that women were often more accurate than men (by a margin of 7.3%) when deciding when to take a risk and when not to. There were also more reported female “all star” analysts, again because of their success in the trading business. Women have 10% less testosterone than men and are not as quick to blindly take a risk, as men do. Women are more attentive to costs and benefits and only take a risk if they have a good chance in winning. This could really make a difference on Wall Street and overall improve our economy.
My father works in the trading field and has told me that he works with some women, although most of his colleagues are men. When I asked whether or not he sees any women doing a better job than men, he said that the few women in his firm have high positions. They are reliable and are hard workers, and although there are not many of them, their roles in the business are important and may even be more efficient than a male’s. More and more, women are becoming interested in business and wanting to become a part of the working world. Hopefully, in the next decade, women will become more involved on Wall Street and put their talent and unique capabilities to use.