Financial Wellness For Women: An Interview with Betty Wang, Founder of a Wealth Management Firm & Certified Financial Planner™
By: Suzanne Kvilhaug
As someone who didn’t grow up with wealth, Betty Wang was always fascinated by personal finances and wealth accumulation. After graduating college with a degree in finance, she gained corporate experience in a management program at Northern Trust’s corporate headquarters in Chicago. Betty spent most of her career working with institutional clients at Dodge & Cox in San Francisco, where she was promoted to Vice President and a Shareholder. Due to her child having health issues, she left San Francisco and career to be a stay-at-home parent. When her youngest entered kindergarten, she was a consultant to a hedge fund and private equity firm. Then Betty began her financial planning business in 2018 to focus on women and women-led households.
When it comes to talking about money, I could ask a financial expert an endless amount of questions. My bachelor’s degree is in finance and I’ve worked within the financial space for several years now yet I feel like I’ve just started to scratch the surface of understanding money, investing, and everything wealth related. So you can imagine how happy I was to get the opportunity to interview Betty Wang to learn more about her journey, how to work with a Certified Financial Planner™, and get her insight on ways women can achieve financial wellness.
What led you to opening your own wealth management firm?
I’m a reluctant entrepreneur. I spoke with many firms before deciding it was best for me to open my own wealth management firm. There were few non-negotiables that I wasn’t willing to compromise on:
Flexibility
I needed control of my work schedule because I had young kids with health issues that were annoyingly unpredictable. I was in their schools often. I was constantly on-call for the school nurse.
I also wanted to work from home, going to the office only when needed. Because, after years as a stay-at-home mom, the idea of putting on make-up and pants that buttoned every day sounded terrible.
No sales. Period.
Knowing myself, I knew that I could only recommend actions or investments to clients when I had complete conviction that it was truly the best option for the client. The role I wanted was to be a client’s biggest cheerleader, a trusted financial guide to help her use her money as a tool to create the life she wanted. I felt that role got too muddy when you worked for a firm that incentivized you to promote and sell their products. Also, I was pretty sure I’d be awful at sales!
Female Focused
There are so many reasons why I wanted to focus on women. The top reason is that I had heard one too many instances when women were sold investments that weren’t appropriate for them. One too many stories of women who were made to feel stupid by a male financial advisor for asking reasonable questions that deserved responses. I wanted to create a little world where women felt welcomed and heard. Somewhere that she received support and education rather than judgement and condescension.
My hope was/is for women to stop saying “I’m bad at money” to themselves. For women to start saying “I’m learning about money. I’m getting better at money!”
A Seat at the Table
As a woman in a white male-dominated industry for over 20 years, I was well aware that I could nicely add diversity by adding an Asian woman’s face to their firm’s bio page. Cringe. I also knew that I had very relevant experience and paid plenty of dues. I wanted to work in an environment where my perspective would be valued, and my professional growth would not be limited by the old boys club.
Surprisingly, several firms said they could offer me all these things. But my gut didn’t believe them. And that’s how BW Financial Planning was born.
You're a Certified Financial Planner™ (CFP®). Not many financial advisors are also CFPs. What's the advantage of working with a CFP®?
As you mentioned, “financial advisor” is a very general term. Literally, anyone can call themselves a financial advisor without any financial education, technical skills, or actual experience. I think that’s downright scary.
To earn the right to be a Certified Financial Planner™, a person must complete certification coursework that focuses on Financial Planning, Investments, Tax Planning, Insurance, Estate Planning and how they all work together. Really important topics that are critical to your financial success!
Then, a person must pass the CFP® Exam, meet the ethics requirement, and have 3 years of relevant experience to be able to use the CFP® designation. To maintain the credentials, education and ethics requirements must continue to be met.
The biggest advantage of working with a CFP® is that you KNOW you are working with a professional who has the technical education and expertise to help you. Your money is too important to trust with someone who may have relevant training and knowledge.
As a CFP®, what part of financial planning excites you the most?
Personally, I love when a woman feels that she will be ok financially and that she is excited and positive about her own future. Some clients verbalize this feeling. And with others, it’s a visible change in demeanor or the questions they ask. They feel open to the possibilities rather than the limits of money.
From a nerd standpoint, I love taxes. It’s weird, I know. I don’t love that the government keeps changing the rules.
Hiring a CFP® can be new territory for many women. What are the main advantages of working with one?
One reason women tend to avoid hiring a financial advisor is because they fear that they will trust the wrong person. By considering only Certified Financial Planners™, you know that the professionals you are interviewing have already met high educational, technical, and ethical requirements. It helps women start with a higher quality pool of potential candidates.
Are there ways to tell if a CFP® will be a right fit for you before you hire one?
After creating a short list of CFP® professionals, go to FINRA’s BrokerCheck and look up the names. Professionals who invest money will be registered here. You’ll get employment history and certification information. But importantly, you want to see if any of your potential advisors have any “disclosures.” Customer disputes, disciplinary events, and certain criminal and financial matters are reported here. You want to work with someone who has no disclosures.
Once you feel more confident that the professionals are qualified and trustworthy, then listen to your Spidey senses. Sometimes, I compare it to dating. There’s a chemistry. Do you like the person? Are you comfortable? Do you feel heard? Do you respect what they are saying? Do you feel like they are rooting for you?
Many women already feel vulnerable when seeking a financial advisor. They are ashamed that they don’t know more about personal finances or investing. There is a lot of self-judgement. And, as you can imagine, the words we tell ourselves aren’t always very nice. It can feel very vulnerable to showing your personal finances to someone else. You get financially naked. So, you want to feel safe, heard, and not judged.
If you’re in a time of your life when your Spidey senses are off, bring a trusted friend with you. And, if you get pushback from the financial advisor, move on.
Do most clients work with a CFP® one time or often? Can you describe how the process and relationship generally works?
This is totally dependent on the client. How much help do you want or need? Most CFP® professionals work with clients on an on-going basis with financial planning and investment management. There are some who offer project-based (on-time) or hourly planning.
Every CFP® advisor has a different process. It generally starts with a brief introductory call (15-30 minutes). In my process, if it seems like we might be a good fit, we schedule a second meeting. For this second meeting, I request financial information so we can have a more in-depth conversation about your situation and how we might work together. You only provide what you are comfortable providing. Then if we decide to work together, we move on to the “Information Gathering” part of the process. For advisors like me who offer comprehensive financial planning, we talk about your money values and goals. We ask for copies of your tax returns, investment account statements, mortgage statements, etc. Think of anything with an account number. This can be the most difficult part for people, having to dig up statement or passwords. If your advisor doesn’t ask you for this information, then you know that she is primarily concerned with only your investments.
After Information Gathering, the financial advisor will review and analyze all the data to formulate a personalized plan and recommended actions. You’ll review it together.
If you have opted for a one-time plan, you will be responsible for implementing the plan.
If you are working with someone on an on-going basis, they will implement what they can and keep you accountable for actions that only you can do. Your advisor will invest and monitor your investments. She’ll also be proactive with any regulatory or tax changes that may affect your finances. If you have any questions, you have a resource always available.
If a woman wants to take control of her financial health, what inspiration can you give them to begin if they feel overwhelmed?
You are not alone!! Your inner critic has taken over your brain and is catastrophizing! Everyone starts from somewhere. Give yourself grace. Do one easy, small thing. Maybe it is logging on to your investment account. Or maybe that is starting to read financial content on lifestyle sites. It’s an easy way to start to get exposed!
If you are feeling up to more, take free financial literacy courses that cater to women like Clever Girl Finance and Savvy Ladies that you can do in the privacy of your own home.
For women who feel completely overwhelmed, ask for help. Having a trusted financial guide and resource can make a big difference. You can ask questions that directly relate to your situation. Often blogs and classes can leave women wondering (worrying) if the information she just learned relates to her or not. For women, it’s important to find an advisor who welcomes and answers your questions, as many times as you need!
Budgeting can feel restrictive. Do you think it's imperative to budget to achieve financial security and freedom?
Let’s reframe budgeting to mindful spending. I encourage clients to think about their core values and what they value most in their lives. Then spend mindfully on those things or experiences that are important. I think learning the skill of mindful spending is imperative to achieving financial security and freedom.
Money is a tool to help us live our best lives. Unfortunately, for most of us, it’s a finite resource so we have to prioritize when and how we use it. We have to live with the fact that there are trade-offs. Maybe you wait on the Prada purse because you prefer to use the money to travel. Or maybe you buy the Prada purse and give up expensive dinners for a month. It’s very personal.
Budgeting feels restrictive. Mindful spending gives you the control to spend how you want while knowing that you are giving up something in return. And are you ok with that tradeoff? If not, pause. It’s retraining yourself from thinking “can’t have” to “Do I really want this? And at what cost?”
Do you believe having a "broke mindset" can cause women to have financial issues?
I do not know if having a “broke mindset” causes financial issues. But I believe they are interrelated and can create a vicious cycle that can be hard to break.
My favorite quote is money = feelings. To get control of one’s personal finances, understanding your own money stories are important. Research from behavioral economists, psychologists, and neurologists show that emotions steamroll logic and reason when it comes to making money decisions. It’s hard to make better decisions when our emotions are in control.
What is the biggest hurdle women face when it comes to money?
Fear of making an irreparable mistake.
Almost every money expert stresses investing in the stock market to make money. The stock market can get complicated even to an expert. Can women create wealth without investing in the stock market or do you feel it is a must?
I think it’s incredibly difficult to build wealth without investing.
Personal finance comes down to math.
YOUR MONEY = INCOME – EXPENSES + INVESTMENTS
If you take out investing, then you are relying solely on your ability to earn income while keeping your expenses really low. With inflation, the dollar you are saving today will buy less in the future.
The stock market is not the only place you can invest your money. There are other options that you may feel more comfortable with like the bond market or real estate. You want your money working for you somehow, not taking a nap. This is where an CFP® professional can be helpful.
There's a lot of different information about personal finance online. What are your favorite sources for authentic, accurate, and helpful information?
I read information from different sources in the search for unbiased and accurate information. For me, Wall Street Journal and the New York Times are solid choices. Investopedia does a good job too.
More lifestyle sites like Goop, Refinery29, Theeverygirl, etc. are posting more personal finance content for women because there is a true need and interest. I’ve not read anything flagrantly inaccurate. My caution to women is that there is not just one right way to build wealth. It’s unique to you.
What books do you recommend on personal finance?
Simple Path to Wealth
The Psychology of Money
Your Money or Your Life
The Behavior Gap
What's your favorite quote about money?
Money = Feelings
Are there any common misconceptions with clients that you've witnessed around building wealth that you'd love to clear up?
A common misconception is that there is only one right way to build wealth. Each woman’s path to wealth is different. There is no right or wrong. There is just what is right for you.
How has helping women create financial security impacted your own life?
Women who feel more financially secure are more confident to live their lives and have more emotional and mental bandwidth to share their special gifts with the world. This makes the world a little better. I feel like what I do is my way of making the world a little better. It takes a village, right?
You're based in Denver, Colorado. Can people work with you from Colorado or all over the U.S.? How do people begin working with you?
I work with clients in Denver and virtually across the U.S.
If someone is interested in working with me, we start with a conversation.
To learn more about Betty Wang and BW Financial Planning, check out her website bwfinancialplanning.com.
Connect with her on Linkedin, Facebook, or Instagram.
The content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice.
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