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Women Move Toward Financial Empowerment
NEWARK, N.J.-- A study released today by Prudential Financial shows that nearly half of the women polled expect to save or invest more money over the next 12 months.In addition, the study by Prudential Financial Inc.reveals that the majority of those polled are more involved in personal and household financial decisions, including purchasing or managing various products that help grow and protect wealth. In fact, among baby boom women, a prominent demographic represented in the study, at least 88% of those polled indicate they have sole or joint responsibility for products like investment accounts, annuities and life insurance. "American women are more hands-on when it comes to handling today's financial products," said Vivian Banta, vice chairman of Prudential Financial. "Their influence on household decisions has grown markedly since 2000, and we expect that trend will continue in the coming years." According to the study, women also want education on financial matters -- with more than 80% indicating that knowledge could potentially improve their financial outlook -- and financial professionals are their preferred source. "Women in 2004 must continue to empower themselves financially," noted Cindy Hounsell, executive director of Women's Institute for a Secure Retirement. "One of the biggest ways they will reach their goals is through education, and if they don't know what to do, now is the time to ask for help." Yet with all the positive strides women have made, the survey also reveals troubling gaps that serve as a wake-up call to millions of American women. For instance, even though women will take action in the short term, just one in 10 indicate they will "definitely" follow through with specific actions that could lead to their own long-term financial security, including opening an IRA and meeting with a financial professional to develop a formal financial plan. "The fact that women say they intend to save and invest more is a testament to their willingness to take charge of their financial futures," added Banta. "However, it is troubling that so many lack confidence in their ability to maintain their lifestyle as they age. When you consider that only 10% of the women surveyed are confident they know how much money they'll need in the future, many women will face financial hardships during their mature or golden years." Prudential's 2004-2005 Study on the Financial Experience and Behaviors Among Women was conducted in February 2004 and it polled 1,134 American women about their financial goals, knowledge and confidence in attaining these goals. Survey respondents are panelists in the Harris Interactive Poll Online. Survey respondents are a national sample of female sole and joint head of households born between 1936 and 1979 (age 25 - 68) and use the Internet. The margin of error is plus or minus 2.9 percentage points at a 95% confidence level. Prudential Financial companies, with approximately $454 billion in total assets under management as of March 31, serve individual and institutional customers worldwide and include The Prudential Insurance Company of America, one of the largest life insurance companies in the United States. These companies offer a variety of products and services, including life insurance, mutual funds, annuities, pension and retirement related services and administration, asset management, securities brokerage, banking and trust services, real estate brokerage franchises and relocation services. For more information, visit www.prudential.com."