Finding and hiring top-tier talent is one of the biggest challenges facing advisory firms today — and it’s only getting more complex. Over the next 10 years, 37% of financial advisors — who collectively control 40% of total industry assets — are projected to retire. Firms are not only facing a potential loss of institutional knowledge but also seeing a growing number of books of business changing hands. At the same time, the pool of qualified professionals isn’t growing fast enough to meet demand. Whether you’re looking to expand your team or ensure continuity for your clients, you’ll need more than just a competitive salary—you’ll need a compelling story, a streamlined experience, and the right infrastructure to support success from day one. In this post, we’ll break down four key strategies to help you attract and retain the kind of talent that can truly move your firm forward.
What Does Your Firm Need for the Future?
Before you jump into hiring, consider what your firm needs and where you hope to go in the future. The financial industry is changing as technology advances, younger investors become clients, and advisors retire. This is a great time to re-evaluate your goals for growth and look for opportunities to innovate. As you consider the firm’s needs, don’t just plug people into empty roles — think strategically about your talent gaps and the types of people you’ll need to help your firm grow and thrive.
As you evaluate your workload and growth plan, create a succession plan for transitioning employees into leadership and other roles. One in four advisors nearing retirement lacks a succession plan. Don’t wait until the last minute. Consider the roles you’ll need for a smooth transition.
Share What Makes Your Firm Unique
Once you’ve narrowed down your firm’s needs, create a detailed job description. Taking time from the beginning to be specific about the responsibilities and requirements you are looking for can save you time you might otherwise spend sifting through candidates who aren’t qualified or a good fit for the job.
The more specific you can be about the work the person will be doing and the firm they are joining, the more you’ll stand out from the sea of generic job postings. Share what makes your firm unique, reasons job candidates would want to work with you, and what it’s like to work there. Be specific about the work they’ll be doing and any particular requirements, especially licenses or certifications.
Welcome New Types of Skills
A detailed job listing can help you find qualified candidates, but leave room for candidates with new skill sets. New employees don’t necessarily need the same skills as their predecessors. Determine which skills are essential at hiring and which skills you’re willing to help develop. Forward-focused employees with new skills may be well-equipped to handle an evolving industry.
This is especially true when hiring advisors who bring fresh perspectives. If they possess additional skills, such as technical expertise, they can help your firm adopt new technologies and better align with the evolving preferences of the next generation of investors. Your firm’s flexibility around required skills can help it adapt to a changing industry.
Deliver Purpose, Meaning, and Flexibility
The job market is different than it’s ever been. Firms can no longer simply provide a paycheck and expect to bring in hordes of job applicants. Today’s job seekers — not just in finance — want a sense of purpose and meaning in their work. In fact, nine out of 10 employees are willing to take a pay cut to do meaningful work. As you recruit new employees and showcase your firm, highlight the purpose and impact of your work. Are you improving communities? Helping small business owners? Assisting families to reach their financial goals? Find the meaning of the work and make that central to your recruitment efforts.
That’s not to say that pay and benefits don’t matter to employees. However, many job candidates are also looking for flexibility in their schedule, the ability to work from home, and a strong benefits package. They want to be treated like a person and contribute to a positive firm culture. Showcasing your culture and values can help bring in great talent.
Ask for Referrals
Instead of posting a job and waiting for great candidates to apply, proactively encourage employees to refer their qualified friends and colleagues. Candidates who are referrals often already know about the firm and are already vetted by an employee. 88% of employers say referrals are the largest source for above-average applicants. Referred candidates go further in the application process and, if hired, become strong employees.
As a new wave of employees and advisors enters the workforce, many firms are turning to recruiting college students and partnering with universities and programs to find the brightest new talent. Establishing an internship or mentoring program requires time and resources but could provide a strong pipeline of qualified applicants in the long run.
As your firm navigates advisor transitions and an evolving talent landscape, having the right technology in place can make all the difference. PreciseFP eliminates the need to rekey client data, reducing errors and saving valuable time for your team. Better yet, when a new book of business comes into your firm, PreciseFP makes it quick, simple, secure — and fully branded — to not just transfer the data, but to engage those clients from the start. Ready to see how PreciseFP can help you scale with confidence? Start your free trial today and experience the difference.
