Morgan Stanley’s Ellen Zentner: Women are reshaping the economy. Markets haven’t caught up

Far less attention goes to a structural shift in economic power: the growing wealth women are building and inheriting, and the businesses and services that stand to benefit.

Women's homeownership has risen from roughly 25% to 50% over four decades, reflecting their ability to accumulate assets independently. That trend is likely to continue: Cerulli Associates projects $124 trillion in U.S. wealth transfers through 2048, including $54 trillion passing between spouses, more than 95% of it to women.

Traditional advisory relationships often center on the primary earner, overlooking the spouse who may ultimately inherit and manage the assets. That creates an opening for firms that engage spouses earlier and build longevity and lifetime income planning into their advice.

A new class of financial decision-makers

Inheritance will add to a shift already underway: more women are earning and accumulating assets in their own right.

Cerulli estimates that nearly $40 trillion will flow to widowed women, mostly from Baby Boomer and older households, and that younger women will receive about $47 trillion through 2048. The two figures overlap, because some of the money passed to widows later passes to children, so they should not be added together.

Most inherited money has been managed by men, and the firms holding it have often been slow to adapt to women's preferences. Research indicates women investors often focus on long-term goals and pay close attention to risk, though preferences vary widely. For advisors, an inheritance can also trigger a reassessment of a financial relationship built primarily around the husband.

The power behind everyday spending

Women are the principal shoppers in roughly 72% of households, according to consumer surveys conducted by MRI-Simmons. In many households, women decide how money is spent on groceries and healthcare, and on education and care for aging parents. Yet many companies still design and sell products without them in mind.

For investors, the test is whether a company understands who is making the decision to buy, whether or not the product is aimed at women.

The growth market still waiting for capital

Funding for women-owned businesses has lagged. According to PitchBook, startups founded exclusively by women accounted for 5.2% of U.S. venture capital deals in 2025 but received just 1.1% of the funding.

Research links gender-diverse leadership with stronger financial performance, though results vary and correlation does not establish causation.