Women play a key role in the next phase of the financial services industry, both as potential clients and as financial advisers helping the next generation manage their wealth.
According to Boston College’s Center on Wealth and Philanthropy, it’s estimated that women will inherit 70% of the great wealth transfer and will possess two-thirds of the nation’s wealth by 2030. Additionally, with about 40% of financial advisers planning to retire within the next 10 years, according to Cerulli Associates, the industry is opportune to be filled, in part, by women.
Increasingly, wealth strategy leaders see attracting female advisers as a top priority to best serve a more diverse client base. However, bringing women into the field is only step one. How we support their development and continued growth to ensure their career success is equally important. This year at Edward Jones’ seventh annual Women’s Conference, we engaged in active dialogue around best practices for attracting, retaining and championing female advisers and concluded these three points are most critical.
Women in leadership
Visibility of women at the top is critical to attracting and retaining the best talent. In a recent survey of Edward Jones’ female financial advisers, almost half stated that clear visibility of women in executive leadership positions would be most impactful for financial services firms to help attract women to the industry.
As Geena Davis once said, “if she can see it, she can be it," which not only applies to firm leadership but also leadership within the community and social circles as well.
Leaders set the tone for an organization, so having women in positions where they can have a noticeable impact and a visible seat at the table will empower others within the organization.
Networking and development
Professional networking can be a huge aid in women’s career development and sense of belonging within our industry. Firms should offer opportunities for women to improve their professional networks, such as annual conferences, educational workshops and social events, that bring women together to share best practices and business-building ideas.
At Edward Jones, our Women Helping Other Women (WHOW) network has been instrumental in convening our female advisers to learn from one another. We strive to create a culture where women feel comfortable bringing their whole selves to work and know they have the support of a strong network of like-minded individuals.
Female adviser networks are for more than just morale boosting. They encourage current financial advisers to serve as sponsors and attract other women to the industry.
Further, these networks encourage a growth mindset within financial advisers, who are constantly looking to improve their practice and the value they bring to clients.
[More: Her Mentorship Matters podcast]
Mentorship
Mentorship and coaching are effective ways for retaining female financial advisers and ensuring they have the support and guidance needed through all stages of their careers. One in three in our survey noted that beyond building their practices, seeking out a mentor and focusing on that relationship was critical for female financial advisers early in their careers.
Firms can encourage on-going mentorship by convening women through networking strategies as well as by developing robust internal programs. Consider early success coaching programs where experienced financial advisers work one-on-one with female financial advisers to offer advice and guidance as they begin their careers.
Coaches can help women navigate early career challenges such as, how to build client and community relationships, achieving work-life balance and strategies for best serving clients. These early lessons can jumpstart professional development and start female financial advisers' careers off on strong footing.
Our industry still has a ways to go to level the playing field for women, though I am optimistic on what is possible if we prioritize these strategies, because I’ve seen it firsthand. Half of the survey respondents said they feel the barrier to career progression for women in financial services is improving, and that women have an equal opportunity to succeed in the industry. This sentiment hints that maybe our industry is beginning to understand the critical role women will play in the future of our business, and that in championing the female financial adviser, firms will better unlock the potential of their organizations.
Patty Carter is a principal in branch team talent acquisition at Edward Jones.
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