Do the Advisors of Tomorrow Want to Work for You?

Dear Advisors,

At some point, you will be looking to add a younger advisor to your team. The typical career path starts with a short stint in an Associate Advisor role helping with plans, insurance, and investments. You want them to really get to know your firm and your philosophy before they start giving advice. What are these young, hungry advisors looking for in an employer? How can you attract and retain that millennial talent? Here’s the inside-scoop on what young advisors are looking for when they interview with you!

• Building the Book - Traditionally successful advisors are responsible for bringing on clients. These days, more firms are hiring a marketing person and a Servicing Advisor. The Servicing Advisor isn’t responsible for driving new business. They maintain current client relationships, and are crucial to the success of a business transition. Before drafting the job description, you need to know if you are looking for aTraditional Advisor or a Servicing Advisor.

  Serious candidates will need to know if you want them to drive business, and if so, what kind of online marketing your firm allows. Do you have a compliance person look over all content before it’s posted? Young advisors may find success building their brand via their own podcast, blog, or YouTube channel. Are you okay with that? Would you prefer that they focus on building the brand of your business? If so, what is your “niche”? Be prepared to describe your ideal client in detail.

• Culture - Young advisors want to work for firms that have a great team culture, but that’s easier said than done. Do you take regular pulse-checks of your culture? Can your team describe several reasons why they love working in your firm? This includes everything from your benefits package, to how you leverage technology in your firm. Young advisors also want to know your firm’s long-term goals and how your firm would be “changing the world” to feel a part of something meaningful.

  Serious candidates ask questions like, “How many clients would I be expected to service when at capacity?” to learn if your firm values the quality or quantity of client relationships. What is your firm doing to support diversity and giving back to the community? Do you have regular, structured performance reviews conducted by an unbiased third-party? What criteria are you using to measure success or failure in this role?

• Compensation - Of course this varies based on location, years of experience, and which designations your job candidates have earned. One of my favorite pricing cheat sheets lists the following ranges for total compensation package based on criteria:

  • $45,000-$50,000 ~ Associate Advisor / New College Grad

  • $50,000-$60,000 ~ Associate Advisor with 2 years of experience but no CFP®

  • $70,000-$80,000 ~ Servicing Advisor with 3-5 years of experience and the CFP®

  • $95,000+ ~ Servicing Advisor with more than 5 years of experience and the CFP®

• Part Ownership - If a candidate has a few years of experience under their belt, they are looking to land somewhere long-term and they want to build something valuable. Income is nice, but working towards a partnership provides a greater opportunity for growth. They want to develop their own personal business leadership skills, and feel invested in growing a valuable company.

  Serious candidates will expect a written career track & list of requirements to work on to be “up for partnership”. You should be prepared to talk about your own exit plan for the company because that will dictate their career track. You can work towards bringing on a partner without retiring, but it’s better to be clear about that up-front. It’s easier for everyone to stay committed to the company when exit strategy is clearly communicated.

It can take a lot of time and elbow-grease to get your firm ready to attract and retain qualified young advisors. But this is what it takes to build a firm that lasts for generations. Don’t be surprised if you get more female advisors interviewing for your job. The industry is becoming more diverse, and both men and women will get excited about working for your firm if you can answer the questions above!

Warm regards,

Brooklyn

P.S.

At Ellevate Advisors, we believe that advisors deserve to retire too. What does that look like for you, your family, and your business? Let’s figure it out together! Click here to schedule an initial phone call with our team today.