The recent stock market volatility spurred by President Trump’s new tariffs has caused concern among many Americans, especially those nearing retirement. Women, in particular, face unique challenges regarding their financial future. Due to the persistent gender pay gap, women often earn less than men over their lifetimes.
Women are more likely to work in low-wage jobs that lack robust retirement benefits. They also tend to spend more time out of the workforce for caregiving responsibilities. These factors contribute to women’s retirement account balances being typically 30% lower than men’s, according to research from BlackRock.
The current market instability adds even more uncertainty to their financial planning. When women have lower account balances and less wealth overall, they are more vulnerable when the value of their investment drops — more so, the closer they are to retirement,” said Amy Matsui from the National Women’s Law Center. A recent survey found that 40% of women lack confidence in their retirement planning, and 71% feel stressed about preparing for it, compared to 56% of men.
Women’s financial future in jeopardy
Julie, a partially retired Wisconsin resident, shared her worries:
I’m worried about Social Security, too, because nobody can predict what the president will do. I’m having a meeting with my financial adviser in about two weeks.
I can’t wait to meet with him to find out what I should do.”
The stock market isn’t the only area experiencing volatility. The U.S. 10-year Treasury yield briefly exceeded 4.5%, the biggest spike since the 2008 financial crisis. Experts attribute this unusual bond selloff to the new tariffs, weak demand, and fears of foreign investors offloading U.S. debt.
Fixed-income strategist Amar Reganti noted, “This is inconsistent with how the government securities market should trade.” Author Laurence McDonald warned that wealth destruction “could be worse than COVID, worse than Lehman Brothers.”
Mariah, 37, expressed her concerns about saving for retirement in the current economic climate. “It’s so fluid, and it’s changing every day,” she said. “I just hope we can turn it around.”
As women face an uncertain financial future, seeking guidance from trusted advisors and making informed decisions to protect their retirement savings is more important than ever.
The challenges are significant, but women can work towards a more secure financial future with careful planning and perseverance.
Photo by sk on Unsplash