Modern Australian
The Times Real Estate

.

Is it a surprise women aren't keen on investing when the stock market language is so male oriented?

  • Written by Jose Sanders, Professor of Narrative Communication, Radboud University
Is it a surprise women aren't keen on investing when the stock market language is so male oriented?

The language used to describe investing in the stock market is skewed towards masculinity. It is full of metaphors that come from domains traditionally associated with, occupied by, or deemed appropriate for men.

Examples are “beating” the market (war, combat, physical fight), “level playing field” (soccer), and “building” your portfolio (construction). This is the case for different languages and for both websites targeting beginning retail investors and stock market reporting in national and financial newspapers.

People use conceptual metaphors like this in their language, often without realising it, to make abstract concepts (such as financial events and objects) more “imagineable”. A conceptual metaphor is a word or combination of words taken from the concrete, physical world to describe a concept from an abstract world.

Read more: Targeting hidden roots of workplace harassment is key to fulfilling Oprah's promise to girls

Importantly, our use of these sorts of metaphors is not random; we borrow words from a limited number of familiar domains in the physical world. And this is indeed what we found for the language used in investing.

“Building” in building your portfolio is a metaphor for putting together elements for future safety and comfort. So in theory you could equally well use phrases such as “growing”, “cooking”, “sewing” or “weaving” your portfolio. These activities also involve an effort in putting together elements to make your future life safe and comfortable.

But we don’t, and in fact if you used “knitting” in a discussion or presentation about investing, it would probably make the audience smile, giggle or even laugh out loud. This illustrates that these metaphors are not neutral.

They make certain aspects salient, while hiding others. In investing, for instance, “beating” the market highlights the aspect of competition, not that of making a return in order to have sufficient retirement income. However, you can find some investors that pay no attention to others and trade within the stock market using one of the best investment app platforms available, solely in an effort to increase their financial standings.

Is it a surprise women aren't keen on investing when the stock market language is so male oriented?

Changing the language in the stock market to be less gendered could encourage women to participate more. Justin Lane/EPA

Research in marketing shows that words used to describe products and services may have a different impact on consumers depending on whether the they identify with the domain the word belongs to or is associated with.

One example is a study on Diet Coke, which showed it did not appeal to men. When Diet Coke was replaced by Coke Zero, men did buy it. Evidently, the word “diet” called to mind a world men did not feel comfortable with: fitting clothes, standing in front of the mirror. But “zero” did appeal to men: zero tolerance, all or nothing, quantitative rigour.

So it’s not surprising that women are discouraged by metaphors that bring to mind a world they are traditionally not associated with: war and combat, construction and heavy physical activity. The use of such metaphors is hardly likely to create positive affect among women; in fact it could even create negative affect.

Research in social psychology finds that positive feelings towards a concept or product leads to people perceiving lower risk and having higher expectations of returns, people are therefore more willing to invest and trade. In finance, evidence suggests that due to “home bias”, people invest way too much in what is locally, habitually or culturally close to them because it feels familiar.

Familiarity is influenced by imagery and metaphors are an example of this. If the metaphors of investing create a positive affect among men and a negative affect among women, it may trigger stock market participation and risk taking by men, not women.

This may, in part, explain the difference in stock market participation and financial risk taking by men and women. For example, in the Netherlands, still only one in seven investors is female.

This so-called gender gap in investing is often explained by lower levels of financial literacy and risk tolerance among women. However, this explanation is flawed in two respects.

There is little evidence for a beneficial effect of financial education on financial behaviour. Research also reveals that there is no biological difference in risk attitude of men and women.

Read more: Email culture to blame for workplace failure on #MeToo

Stressing the “need for creating financial awareness among women and girls” is therefore not only belittling to women, it also misses the point when it comes to explaining the gender difference in investment attitudes and behaviour.

If policymakers, regulators and the financial industry wish to reduce this difference, they could start by paying careful attention to their financial language use which reflects their traditionally gendered culture. Adapting and changing this language might not only contribute to lowering women’s psychological barriers when it comes to the stock market, it could also reduce the male tendency of trading excessively and taking on too much risk in the stock market.

Olga Leonhard, communication specialist at Framer Framed, contributed to this article.

Authors: Jose Sanders, Professor of Narrative Communication, Radboud University

Read more http://theconversation.com/is-it-a-surprise-women-arent-keen-on-investing-when-the-stock-market-language-is-so-male-oriented-93578


Commercial Plastering Can Boost Your Business Appeal

In business, appearances matter. The way your space looks sets the tone for how clients, customers, and even your staff perceive your brand. A well-...

How to Transfer Registration When You Buy a Used Car in Brisbane

Purchasing a second-hand car can be a thrilling experience, but there's more to it than simply handing over the cash and driving off. One very impor...

Expert Tips for Comparing Budget Movers and Energy Providers For a Modern Apartment

Starting a new life in a modern apartment can be a challenging yet exciting step. While moving into a modern apartment, people always need reliable ...

Slowing Down in Nature: My Experience on Orchid Classic Cruise in Lan Ha Bay

Why Orchid Classic is a Top Choice for Lan Ha Bay Lan Ha Bay, a hidden gem adjacent to the more famous Ha Long Bay, offers travelers a quieter and ...

Your Next Travel Essential? Why Aussies Love Lightweight Electric Wheelchairs

Planning for a trip or just getting around town? A lightweight electric wheelchair could be your perfect travel mate. Whether it’s a stroll throug...

Australian Study Woes – What is a Confirmation of Enrolment?

Recent changes to Australian study visas are altering the landscape for international students who want to learn and work on our shores.  To secur...

Metal lockers vs. wooden lockers: which is better?

Lockers—the ultimate background hero of the workplace. They might not have the flashiness of that overpriced espresso machine in the break room, b...

Invisalign Treatment: What Your Dentist Wants You to Know

When straightening the teeth, out-of-date metal braces are no longer the only option. Nowadays, Invisalign is among the most highly sought-after alt...

The Best Nail Art for Short Nails

Short nails often get overlooked in the world of nail art, but they’re actually the perfect canvas for stylish, sophisticated designs. Whether you...

How Much Does a Skip Bin Cost? Skip Bin Prices, Sizes & What Influences the Price

Regardless of whether you're renovating a house. You are tidying up your backyard, or running a construction site. Chances are you'll require a skip...

Panoramic Elevators: Combining Functionality with Aesthetic Appeal

In the evolving world of building design, the demand for architectural features that are both practical and visually striking continues to rise. One...

No Dig, No Drama: Sydney Pipe Relining Explained

You know that feeling when water starts pooling where it shouldn't? Or received a quote for pipe repairs that made your eyes water? Let's chat about...

The SEO Benefits of AI-Optimized Landing Pages: Smarter Metadata, Faster Load Times

Landing pages are integral to the conversion funnel in digital marketing. Yet, when SEO works well to drive traffic to the landing page, it's just a...

How to Reduce Turbo Lag with an Upgraded Mazda BT-50 Exhaust System

Are you struggling with turbo lag affecting your driving experience?  Did you know upgrading your Mazda BT-50 exhaust system could be the key to u...

How to Segment Email Lists Based on Content Engagement (Not Just Demographics)

Email segmentation generally refers to age, location, gender demographic, and conventional elements. While this could be helpful information, it doe...

6 Qualities to Look for in Local Caravan Dealers

If you're searching for reliable caravan dealers in Campbellfield, it's essential to choose a dealer that offers quality products, excellent custome...

How to Repair a Faema Coffee Machine: A Practical Guide for Coffee Lovers

Introduction If you’re the proud owner of a Faema coffee machine, you already know that it’s more than just a kitchen appliance — it’s a vi...

Smart Health Decisions in Your 30s, 40s, and 50s: The Ultimate Prevention Guide

Making informed health decisions becomes increasingly important as we navigate through different life stages. What may have seemed unimportant in our ...