Sallie Krawcheck has led Merrill Lynch, Smith Barney, and Citi Private as CEO. She is now the co-founder and CEO of Ellevest, a digital financial advisor for women.
According to Krawcheck, the problem with many investment products designed for women is that only the marketing has changed. Sometimes in a condescending way, “Don’t buy shoes; invest in the market.”
Krawcheck says women invest differently than men. Women have different goals, financial needs, and lifespans than men. Ellevest’s impact investing portfolios invest in companies that advance women. Companies with greater diversity in leadership tend to have higher returns on equity, greater client and employee engagement, better long-term perspective, and more innovation.
Krawcheck says a lot of other great things happen when you get more money into the hands of women: Women are more likely to repay their loans, they are more likely to spend money in the community, and they are more likely to give to non-profits.
When asked what she thought was holding women back within corporations today, her answer was simply “Men.” She went on to explain that it is human nature to recognize talent in people that remind us of ourselves.