BY REAGAN DARRAH | Read Original Article Here
Cary Carbonaro, the director of women and wealth services at ACM Wealth, talks woman-centric financial planning and the challenges faced by women working in the financial services industry.
In 2024’s first Niche of the Week, ACM Wealth senior vice president and director of women and wealth services Cary Carbonaro outlines the complexities associated with managing the wealth of women.
Throughout her career, Carbonaro has developed a focus on improving financial literacy and empowerment among women, both as clients and more broadly within the financial services industry. In the following interview, Carbonaro shares her perspective on how advisors can best address needs specific to women clients, and urges the importance of increasing retention among women working in wealth management.
Cary Carbonaro
Senior vice president, director of women and wealth services
ACM Wealth
HQ: Ridgewood, N.J.
AUM: $5.6bn
As a planner, how do you address life events that disproportionately impact women, such as career breaks or caregiving responsibilities?
The significance of financial planning is heightened for women due to various reasons. Women often exit the workforce for caregiving roles, earn less, and consequently face a wealth gap, retiring with only two-thirds of what men accumulate on average. Major life events such as divorce further exacerbate this financial challenge, leaving women responsible for managing reduced portfolios. The comprehensive nature of financial planning addresses these obstacles.
How does your firm contribute to the broader community in terms of financial education and empowerment for women?
Managing this aspect can be challenging since it’s not a primary focus of my firm, but rather a personal commitment I’ve taken on. Holding the title of director of women and wealth services, I envision a future where every wealth management firm recognizes the significance of this role. My firm has a section on its website dedicated to women clients which features all my content, including a breakdown of different life stage events faced by most women.
How do you as an individual work towards the advancement of women in finance?
First, I am a CFP Board ambassador, which teaches the media about the importance of working with a certified financial planner. My niche I speak on is women. I also work with the Center for Financial Planning — the nonprofit arm of the CFP Board — to raise money for women’s scholarships, and am myself in the ‘benefactors circle’ as an individual donor.
At the collegiate level, I have endowed an annual scholarship for a woman in business at my undergraduate alma mater, State University of New York at Cortland. I also have organized a mastermind group to work on the retention issue among women in financial services. We are in the process of starting a mentorship/sponsorship program or nonprofit group to that end.
What excites you when thinking about the future of women in the financial services industry?
An exciting shift is on the horizon, as women are projected to control over two-thirds of the nation’s wealth by 2030, doubling from the current 33% within seven years. With only 20% of advisors being women and a growing preference for female advisors among women clients, there’s a tremendous opportunity for firms that successfully cater to women. A well-known statistic underscores the need for change: 70% of women change their male advisors after their husband’s demise. The financial industry must evolve to become more female-friendly to capitalize on this impending shift.
