The wealth management and advice industry is transforming as many firms acknowledging they need to more accurately reflect the clients they serve.
This is partly because the industry has a well recognised recruitment problem. The plurality of financial advisers (33.2 per cent) are aged between 50 and 59, according to the Financial Conduct Authority, while just 6 per cent of advisers are under the age of 30.
As a result, many firms in our sector are employing recruitment strategies to promote greater diversity and promote the benefits of working in our industry. And more than 75 per cent of financial services chief executives who have adopted such a strategy believe it is helping them to enhance innovation, customer satisfaction and overall business performance.
So, how can the industry encourage more younger people into such a career in wealth management and advice? It starts with breaking down the complexities and myths that surround our profession, tapping into language that resonates and is more modern in today’s world.
Leveraging technology and having a strong social media presence to get our messages across in a simple and meaningful way is also important. Meanwhile sharing relatable stories and experiences from those already in the industry across all job roles allows young people to see all parts of the advice chain and not necessarily just client facing roles.
How we recruit is equally important – broadening our searches, listening to needs and working with specialist partners to increase the awareness of opportunities available to those groups who are underrepresented or from different societal backgrounds. Truly levelling the playing field.
We also need to consider the recruitment journey itself by removing barriers that have previously discouraged applicants and catering for any prospect who may need additional support in one form or another.
As an industry we are continuing to come together to provide opportunities, particularly through the introduction of academies and apprenticeship programmes.
But importantly, we are also positively promoting the difference our profession makes, the peace of mind that we give to clients and the help we offer them to realise their dreams. That is our superpower!
We need to be honest about the hard work and dedication that this profession requires of us all but also make clear how fulfilling and rewarding it can be. It's down to the collective responsibility of all of us to change the narrative and do our bit.
University or college is not a pre-requisite to securing a job in financial servicesI joined the industry via a school leavers programme. The company came to my secondary school as part of a careers day and four months later, I walked through the door of one of the biggest assurance companies in Edinburgh. I had no idea what I was walking into, had very little life experience and knew nothing about pensions and investments.
My experience of financial products at that point, was simply my Bank of Scotland Squirrel savings account – I had only just turned 16. At that time, money and finance wasn’t on the curriculum at school and it wasn’t openly discussed at my home. It really was a steep learning curve both in terms of working in a city and understanding the role financial services plays in people’s lives.
But what a journey it has been so far. I enjoyed 18 years at my first company, growing into a young adult, working across various roles, and undertook professional qualifications to keep pushing forward. What cannot be overstated is the lifelong friends and inspirational mentors you encounter throughout, which has continued after I moved jobs externally.
I have had the fortune to have had the guidance and mentorship of some of the most influential industry titans of our time as well as working with Pimfa, both an honour and a privilege to have their ongoing support.
University or college is not a pre-requisite to securing a job in financial services. Passion, motivation and an appetite to learn all go a long way. For me personally, I’m hugely passionate about making a difference - helping change how the industry is perceived by the next generation, moving away from old fashioned views and language and embracing a more diverse and fairer sector that represents the clients we serve.
The sector recognises that encouraging young people into a career in financial advice is a challenge.It’s this drive and vision that gets me out of bed every morning, as well as working with many like-minded colleagues determined to make a real difference to peoples’ lives.
There are so many great things underway already that we do not shout loudly enough about. We are seeing an increasing number of academies, which provide a point of entry for new trainees. There are additional options around apprenticeships in financial advice, paraplanning and administration, which are really under-utilised.
There are further opportunities, supported by the Chartered Insurance Institute framework, that allow for clearly defined career paths, moving from administration to paraplanning to mortgage adviser to financial adviser and even risk. Career progression is supported and encouraged should you want it and there are many paths available.
There are multiple professional bodies which support training and development, with many businesses now providing qualification funding support as an employee benefit not to mention the ongoing training and development which the sector offers to provide CPD to trainees and experienced financial advisers.
The sector recognises that encouraging young people into a career in financial advice is a challenge. The great thing about this, however, is the opportunities are absolutely out there with significant initiatives already underway that are beginning to make an impact. It is incumbent on us all to keep this going and spread our reach as wide as possible.
Leanne Sawers is a business manager at M&G Wealth Advice and a member of Pimfa's Under 40 Leadership Committee
