The global landscape of wealth is changing as women are increasingly becoming billionaires. Currently, women make up 13% of the world's billionaires, totaling 431 individuals. This increase reflects a growing share of global wealth among women and a shift in their goals and philanthropic endeavors.
About 75% of female billionaires have inherited at least some of their wealth, with 38% inheriting their entire fortune. This is in contrast to male billionaires, of whom only 5% can claim the same. Examples of wealthy women who have inherited their fortunes include Alice Walton, Julia Flesher Koch, and Françoise Bettencourt Meyers, each with fortunes exceeding $70 billion. The anticipated Great Wealth Transfer, which is projected to see women inherit up to $30 trillion in the next decade, may further contribute to this shift.
Women billionaires also tend to prioritize nonprofit and social organizations more than their male counterparts. Nearly 20% of female billionaires dedicate most of their professional time to nonprofit work, compared to just 5% of men. This inclination towards charitable engagement is often attributed to the prevalence of inherited wealth among women, which allows them to have fewer commercial commitments. There is a strong correlation between inherited wealth and early involvement in philanthropy, welfare, and social justice initiatives.
In terms of financial portfolios, women billionaires have distinct characteristics. They are more likely to hold wealth in private companies, with 35% of their assets in private holdings compared to 28% for men. Additionally, women maintain a higher proportion of liquid assets and cash, at 39% versus 30% for their male counterparts. On the other hand, men tend to have a greater share of their wealth in stocks, with 40% allocated to this asset class, largely due to the influence of tech-focused billionaires who have launched public companies.
When it comes to luxury assets, female billionaires are more likely to invest in real estate and art. They are 1.5 times more likely to own properties valued at over $10 million. In contrast, male billionaires are more prone to indulge in high-value "toys," such as private jets, yachts, and luxury cars. Men are 3.8 times more likely to own a car worth over $1 million and more than twice as likely to possess a yacht.
The hobbies of billionaire women also differ significantly from those of their male peers. Philanthropy is the most common hobby among female billionaires, with 71% citing it as a primary interest. In contrast, sports dominate the leisure activities of male billionaires, also at 71%. Other hobbies for women include art, education, and travel, while men show a preference for aviation, outdoor activities, and political engagement. These differences in interests not only highlight the various ways in which wealth is utilized but also underscore the broader societal implications of these spending and giving patterns. The growing presence of women billionaires is reshaping not only the financial world but also the philanthropic landscape, paving the way for new priorities and approaches to wealth management.