This opens up a new segment of the market - younger, ambitious individuals striving to overcome: low wage growth; stringent housing regulations; and education during a pandemic.
These people need financial advisers who display empathy and tolerance.
But if fear of being shamed for a Netflix subscription or the occasional barista coffee is indeed the deterrent for young people for seeking financial advice, that brings us to another question: are young people even equipped to give it in the first place?
Learning opportunities
This is where fostering great work culture with adequate training and learning opportunities comes in.
As reported by job review site Glassdoor, much of the high attrition rates at big financial advice firms were attributed to a poor work life/balance or lack of mentorship opportunities, with some reporting job satisfaction as low as 31 per cent.
A few methods to work around this include:
- Creation of structured mentorship opportunities with built-in incentives for both parties. One way this could happen is to institutionalise the learning, such as through company-wide mentorship schemes and funding qualifications for new asset classes and technology. Otherwise, young advisers can take the initiative to seek mentorship – by reaching out to interesting people on LinkedIn, networking events or colleagues you admire.
- Exposure to various client types and knowledge about asset classes through personal experience, professional qualifications, on-the-job training and personal research.
- Old is not always gold – young people bring new perspectives and may find other ways to engage with clients. Be open-minded about integrating this into an existing work culture.
Digital natives
Young people, who are often branded as 'digital natives' have widely benefitted from wielding social media platforms from a young age, making us uniquely positioned for freelance and remote work, which is characteristic of a large segment of the financial advisory and planning industry.
Mike Foy, a senior director of wealth and lending intelligence at J.D. Power, draws upon the concept of “brand evangelists”, which many content creators have leveraged to build a personal brand on social media. It is useful for talent acquisition teams to emulate such methods in order to stay top of mind for young, talented individuals looking for jobs in financial services.
One way of doing this might include hiring a social media strategist to post informative, career focused content on TikTok, LinkedIn and Instagram. Add a touch of humour and incorporate trending content (audio, challenges, influencers) to increase the chances of going viral.
Another way is to partner with organisations such as trade bodies and accrediting bodies, as well as working with university and college careers teams by hosting events and using their platform to promote various career opportunities.
This may include via mailing lists, sponsorships or brand ambassadors at places of education, who would be responsible for signposting opportunities about the career.
Budding young financial advisers can also strive for a similar approach, leveraging platforms such as LinkedIn to become thought leaders in the space, and directing online traffic to their services. Being able to resonate with and draw an audience saves the hassle of having to explain yourself when generating leads.
Other content styles include podcasts, newsletters and short form content such as reels/shorts - as long as these are in line with regulatory guidelines, of course.
