WOMEN in the Philippines believe they are now more financially secure compared to the previous generation, but low literacy and family dynamics continue to hamper their stability, a study by Sun Life Asia showed.
Some 60% of Filipinas feel their financial security has improved compared to their mothers’ generation, but traditional family dynamics and responsibilities held by women at home prevent them from achieving financial stability, according to a study by Sun Life Asia titled “Women’s Wealth in Focus: Building Confidence and Security.”
This was lower than the regional average of 65%. The country with the highest rate of financial security from women was Vietnam (75%), followed by Indonesia (71%) and Singapore (66%). Trailing the Philippines were Hong Kong (59%) and Malaysia (59%).
The company interviewed over 3,000 female respondents in the Philippines, Hong Kong, Indonesia, Malaysia, Singapore, and Vietnam.
“The survey highlights the Filipinas’ growing focus on savings and financial independence. While women are committed to their financial futures, there’s a clear knowledge gap regarding available resources and the importance of early financial planning,” Sun Life of Canada (Philippines), Inc. (Sun Life Philippines) Chief Client Experience and Marketing Officer Maria Carla Gonzalez-Chong said in a statement on Monday.
“Seeking expert advice can help address concerns about unforeseen financial risks. This approach not only helps protect against unexpected costs but also ensures that women can maintain their desired lifestyles while working towards long-term financial security,” Ms. Gonzalez-Chong said.
The findings showed that 36% of mothers said they are stressed about managing the needs of their children and parents, which Sun Life Philippines said shows the multi-generational responsibilities that many women carry.
“While 52% of women are saving for their parents’ current or future elderly care, only 16% of women with children expect full support from their children as they age. This may reflect a growing desire among women to cultivate their own financial resilience, opting to prepare for their future care needs independently rather than relying on their children,” it said.
The study also showed that 71% of Filipina respondents said their knowledge of financial and investment products is at the basic or beginner level, reflecting the lack of financial literacy, Sun Life Philippines said.
“When asked to give estimates on key financial knowledge points, majority are able to share the exchange rate between their local currency and the US dollar (79%), balance of credit card debt (66%), and current interest rates in the Philippines (57%),” it said.
“However, there are still some gaps in financial literacy, particularly seeing that 53% with mortgages are unable to estimate their remaining balance and 53% are not able to share the average annual return of their investments. Moreover, 68% face challenges in finding financial products tailored to their unique needs.” — Aaron Michael C. Sy
