Why the rise of the ‘financial matriarch’ is a real positive

Women are increasingly driving decisions around household budgets, pensions, investments, gifting and succession. While not always the main earner, they are often the person joining the dots – understanding what the family can afford, planning for children and later life and deciding when wealth could be put to better use by the next generation.

That change is reflected in our profession, too. Women now account for almost 30 per cent of new entrants to financial advice and investment management in Scotland, compared with around 8-10 per cent historically. This broader mix of advisers matters as clients should be able to work with people who understand their circumstances and communicate in a way that gives them confidence.

The rise of this ‘financial matriarch’ is a positive development. It means more women are informed, engaged and comfortable making significant financial decisions. For example, we have seen an increase in daughters helping older parents navigate complex choices; similarly, widows often choose to bring their daughters to meetings rather than their sons. We also see wives encouraging partners who have managed investments alone for years to seek advice on retirement income or succession planning.

Women can bring a different perspective to intergenerational wealth. I frequently see mothers keen to pass money to adult children sooner, to ease the pressure of buying a home or raising a family, rather than passing it on via inheritance years later. That instinct can start useful conversations about what parents genuinely need for their own futures and what they can afford to give away.

Yet at the heart of this shift is a major contradiction: the woman organising the family’s financial future may still be neglecting her own.

Career breaks, reduced hours and caring responsibilities can limit pension savings and long-term earning power. A woman may be managing every detail of the household finances while building up fewer assets in her own name and if the relationship ends or circumstances change, the imbalance can become painfully clear.

The growing preference among younger couples to keep money separate adds another dimension.

Financial independence can be healthy, but arrangements made in your late twenties may no longer feel fair after children, illness or caring responsibilities alter what each partner contributes. Unpaid care may never appear on payslips or pension statements, but it has real economic value.

To that end, honest conversations are a must. Couples should understand what each person owns, earns, owes and is contributing towards retirement so that, if one partner steps back from work, they know how pension contributions and savings will continue. Both should know where important documents are held, how investments are arranged and who to contact if illness or bereavement leaves one of them having to take control.

Financial plans should evolve as careers, relationships and caring responsibilities change. It's vital these conversations are not postponed until retirement or triggered by a crisis, when it may be too late.

And while the rise of the financial matriarch is positive, she should not be a replacement for a male financial gatekeeper – when all the financial knowledge sits with one person, a household remains exposed.

The healthiest arrangements are shared strategies. One partner may naturally take the lead, but both should understand the plan, contribute to the decisions and be protected by the outcome. The real progress will come when the financial matriarch is not only looking after everyone else but is equally secure herself.

Anna Gratwick, Head of Financial Planning, Anderson Strathern Asset Management