According to a Fidelity report, “50% of advisors will retire in the next 14 years.” This new
data point is causing a stir within the Advisory firm community in particular with the lack of
recruiting options for new employees.
“Advisory firms also aren’t very happy with their recruiting results, according to the report, with 59% reporting that it’s a “challenge for my staff to find talent and staff that fits our needs” and 73 % being “dissatisfied with [their] own hiring and onboarding process with [their] current firm.””
The solution for the next generation of advisors may be a promotion of diversity and inclusion as, with a changing demographic, more diverse employees may bring in new clients. “By 2030, Gen XY together will have more assets than boomers, they’re more self-sufficient and likely to use technology, and their perception of value is changing in the advice industry.” This new customer profile explains a need for a new crop of advising personnel.
Where the advising industry goes is anyone’s guess but it is very well known that much has to change if advisors are to continue with their current market.