Research on Women Angel Investors

If you look at the startup and angel investing arena over time, you’ll find that it truly has been a man’s world. In many cases — it’s been a White man’s world.

The research on female angels isn’t one to please the feminist. According to the Center for Venture Research, one third of respondents to a research study [pdf] believe women investors are at a disadvantage because their sources of wealth are more often inherited than earned. Such individuals, then, might not have the professional experience or credibility of investors who created their own wealth.

The Social Science Research Network has also found evidence that female angels have lower levels of confidence compared to men. Also, women tend to be more risk adverse by nature, which can lead to missed opportunities in riskier deals.

The Future Can Be Bright for Female Investors

While findings throughout the industry support the assumptions that women are indeed the weaker sex when it comes to investing, it doesn’t mean that the future isn’t bright for female angels. It simply means they need to get a little money, nerve, and experience to play in the game.

As Dr. Hardaway so eloquently expressed, “I’ve been in about 50 real estate deals and about fifteen tech deals. I am actually a deal junkie. Most of the men I talk to don’t have my stomach for roller coaster rides. But guess what? I’m a woman. They are SMALL deals. I’ve never lost everything, and I have had a fabulous time. I will obviously do this until I completely lose my senses.”