Since 2001 the number of female traders openening an account with an online broker has risen by over 1400%, with the number of traders being placed rising by 194% in the years 2006 to 2011 alone. In many publications ‘traders‘ are mostly referred to as male. But aren’t there any female traders? It seems like there are more women traders than you would think. Since 2001 the number is increasing and still is growing.
A Men’s World?
Studies back up the fact that men trade more often. It is stated that a high level of testosterone (The Telegraph, April 2008) equals more money. But it also showed that mood swings behind a market bubble or crash may be influenced by testosterone along with the hormone cortisol, linked with uncertainty markets and profits.
The lead author of the study, Dr. John Coates, said that time: “The new work suggests that a better way to lower extreme levels of testosterone or increase oestrogenic effect on a trading floor is to hire more older men and more women.”
In my opinion men are more capable to make a short term decision. And especially that characteristic is one a day trader should have. Making short term trades are usually the ones to gain profit. One has to be on top of the market to keep two eyes open for trading opportunities.
Only 2% (Visa, November 2012) of all women invest in shares directly according to a report surveyed 2000 women from all income groups who have household decision making responsibilities. As a result of their scepticism towards the stock market, many women choose to rather keep their savings in cash, which is maybe even riskier.
Do we need more female traders?
Options trading for women
As stated women are more averse in taking risk than men. If we identify excessive risk taking as being one of the core problems with the current crises we could say we should swap all men for women, according to Tim Worstall (Forbes, June 2006).
Female Traders Survival Guide
For those women to whom the stock market appeals, here are some points to survive the men’s trading floor. Of course the tips are not solely for women.
- Avoid unnecessary attentions – outfits should always be classy so they won’t draw unwanted attention from the male users.
- Watch what you say – traders are 10 to 12 hours a day on the trading floor. Always keep the conversation strictly professional and monitor the reactions of the people sitting around you. Hopefully you can get to know them and maybe after a while you can even read them like a book. A way to know your ‘competitor’.
- Professional attitude – the stock market doesn’t care for a bad hair day. Remain calm and cool during all possible situations, keep the personal life off the trading floor.
- Put the market on your number 1 spot – the market waits for no one. Every millisecond a trade is made and there is no time for a sit down lunch. Everything is secondary. It is a trader’s job to be constantly on alert for moving positions and opportunities.
- Your only friend is… – coffee. If you don’t drink coffee, start now. Caffeine is your best and only friend.
Female Traders made Visual
Directors, managers and owners are the most popular occupations in female traders. In an infographic is shown what the youngest and eldest female traders option traders profit is and what the top female trader is. Check out the infographic and learn about female traders.
On the the Rise of the Female Traders infographic the key data in the past decade is shown. You can share this across the social media using the the buttons on the right side of the site. The most popular occupation of top female traders include housewives, teachers, secretaries and those working in administration. Do you know who are the traders with the most profit: men or women? Feel free to comment on this blog.
Female Traders sources