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“Buy him some Tesla stocks for his baptism”: Gender differences among young savers

Author

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  • Carlsson Hauff, Jeanette

    (Department of Marketing, Gothenburg School of Business, Economics and Law, Gothenburg, Sweden)

  • Hermansson, Cecilia

    (Department of Real Estate and Construction Management, Royal Institute of Technology)

Abstract

This paper investigates gender roles in children’s savings, specifically defined as differences pertaining to age, capital invested, financial activity and portfolio composition, using a sample of 58,000 children. We observe gender differences between young female and male account holders. The average age and activity level of boys are significantly higher whereas girls hold more capital in their accounts. We note that activity interacts with both gender, age and capital, and is decisive in explaining financial behaviour, especially that of boys. We conclude that girls have a lower share of saving in direct-owned stock already before the age of one. This difference lingers throughout childhood and peaks for children aged 15-17. We discuss our findings applying structuration theory, differentiating between implicit and explicit parental impact prevailing among adolescents, and the definite caring regarding younger children. For policymakers and managers, awareness that gender differences regarding financial behaviour prevail is an important insight.

Suggested Citation

  • Carlsson Hauff, Jeanette & Hermansson, Cecilia, 2023. "“Buy him some Tesla stocks for his baptism”: Gender differences among young savers," Working Paper Series 23/12, Royal Institute of Technology, Department of Real Estate and Construction Management & Banking and Finance, revised 19 Sep 2024.
    • Handle: RePEc:hhs:kthrec:2023_012
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    References listed on IDEAS

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    More about this item

    Keywords

    saving; children; parents; gender; portfolio composition; activity; structuration theory;
    All these keywords.

    JEL classification:

    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • G51 - Financial Economics - - Household Finance - - - Household Savings, Borrowing, Debt, and Wealth

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