In recent years, there has been growing recognition that financial freedom is not simply a by-product of earning income; it is a deliberate, strategic outcome that must be planned, especially for women. The maxim “financial freedom is personal” highlights something critical: each woman’s circumstances, risks, goals, and social context are different, and thus the wealth plan must be customized. Drawing on recent empirical data and policy initiatives, this essay argues that women in India require their own wealth plans for reasons of empowerment, security, and equality.
The Case: Gaps and Needs
Empirical surveys repeatedly show that although more women are entering the savings-investment sphere, many still report uncertainty about whether they have saved enough for personal goals. According to a 2025 Finsafe survey, over 60% of Indian women feel unsure whether they have saved sufficiently for emergencies or personal goals, even as many continue to place money in low-return modes like fixed deposits and basic insurance. (The Economic Times)
Financial literacy is lower among women. In India, several studies suggest that only about 20–27% of women are financially literate, compared to higher rates among men. (Smile Foundation) Also, RBI-led reports on financial inclusion show that while many more women have bank accounts than before, usage, active engagement, and access to formal financial products remain weak. (Reserve Bank Innovation Hub)
Investment behaviour is changing but still has room to grow. As of March 2024, women represent about 25.1% of unique mutual fund investors, and their share of assets under management (AUM) among individual investors is about 33.2%. (AMFI India) However, many women in smaller towns (the “B30” cities) are only recently coming into this space, and often with shorter investment horizons or more conservative allocations. (AMFI India)
Further, SEBI is now planning incentives for mutual fund distributors and fund houses to attract first-time women investors—including by simplifying entry requirements and enabling low-ticket SIPs (Systematic Investment Plans) from about ₹250. (Reuters)
Why a Personal Wealth Plan Matters for Women
Given this backdrop, several key arguments support why women need their own wealth plans (not “one size fits all,” not merely piggy-backing on family decisions):
- Life Course Variations: Women often face career breaks (e.g., due to childbirth, caregiving), longer life expectancy, and possibly gaps in pension coverage. These make liquidity, risk diversification, and longevity planning more important.
- Risk of Dependency and Vulnerability: Without independent financial resources, women may be financially dependent, which can amplify vulnerability—corporally, domestically, or socially.
- Goal-Setting Must Be Self-Defined: Goals like retirement, travel, education (for self or children), emergency funds must align with a woman’s own aspirations, not only family or societal expectations.
- Behavioral and Social Barriers: Women may have lower confidence in investment markets, lesser familiarity with financial products, or less access to advice. A personal plan allows for gradual learning, tailored risk-profile, and stepping stones.
- Policy and Regulatory Environment: With SEBI, AMFI, RBI, and other regulatory bodies recognizing gaps, there are increasing resources (financial education programmes, incentives) which women can harness—if they have their own plan to plug these into.
Building the Wealth Plan: Key Components
As an academic or educator might teach, the wealth plan for women should have the following pillars:
Pillar | What it Means | Why It Is Crucial |
Financial Literacy & Education | Understanding basics: inflation, compound interest, risk vs return, tax rules. Using credible resources, workshops, formal financial education. | To reduce uncertainty, build confidence, avoid exploitation or ineffective products. |
Goal Setting & Time Horizon | Define short (1-2 yrs), medium (3-7 yrs), long-term (10+ yrs) goals: emergency fund, children’s education, retirement, etc. | Helps in choosing investment vehicles aligned with risk & liquidity. |
Diversification & Risk Management | Balancing asset classes (equity, debt, hybrid), having insurance, contingency planning. | To withstand economic shocks, income breaks, market volatilities. |
Access and Use of Financial Products | Utilizing formal channels: bank accounts, mutual funds, pension schemes, digital financial services. Choosing low-cost SIPs etc. | SEBI/AMFI data show low-ticket SIPs and incentives to bring women in. Products must be affordable and accessible. |
Regular Review & Adjustment | Revisiting the plan as income, expenses, life priorities change (marriage, children, aging parents etc.). | Because personal circumstances shift; rigidity can lead to plan mismatch or abandonment. |
Conclusion: Toward Financial Freedom
In conclusion, financial freedom is personal not just as a slogan but as a practical, necessary orientation for women. A wealth plan that is tailored to her goals, informed by data and policy, responsive to risks and life changes, and supported by enabling regulatory and social structures, can transform uncertainty into agency.
For educators, policymakers, financial institutions, and women themselves, the task is to move from awareness to action: from knowing that the gap exists, to building, owning, and maintaining a wealth plan. Only then will financial freedom cease to be a luxury or abstraction, and become a tool for equality, dignity, and self-determination.
References
- Finsafe Women & Finances Survey, 2025 – Over 60% Indian women unsure of saving enough for personal goals. (The Economic Times)
- AMFI & CRISIL intelligence data, Mar 2024 – Women’s participation in mutual funds: ~25.1% unique investors, ~33.2% of individual AUM. (AMFI India)
- SEBI proposals for encouraging first-time women investors, low-ticket SIPs etc. (2025) (Reuters)
- Reserve Bank Innovation Hub / RBI whitepaper: Gender and Finance in India – gender gaps in financial inclusion. (Reserve Bank Innovation Hub)
- Money control / financial planning reports: “Women now prioritise retirement and travel…” – shift in women’s financial goals. (Moneycontrol)
Disclaimer:
This article is for educational and informational purposes only and does not constitute investment advice or a recommendation. The views expressed are based on the author’s personal research and expertise in behavioral finance and wealth management, and are not affiliated with or endorsed by any mutual fund house or financial product provider. Professor (Dr.) Meghna Dangi is not a SEBI-registered investment advisor. These are not promotional endorsements of any specific brand or financial institution.