Research by Octopus Investments has found that the financial services industry has an urgent need to attract more people to work in the finance business.
A survey of 255 financial advisers found that in the past 12 months, 60% of advisers had turned clients away and 62% plan to retire within the next 10 years.
CEO of Octopus Investments Ruth Hancock said: “We need more advisers in the UK, more people are finding themselves in financial uncertainty due to the impact of the coronavirus pandemic and require financial advice, we need more people in the profession and concentrate on advertising to people that would like to get into the profession. Explaining the role, what is involved and how becoming a financial adviser offers a profitable and varied career”.
In additional research from Octupus, it found that 67% of advisers find it difficult to recuit suitable staff and only 22% of 1,000 students asked had considered a career in financial services.
Of the students who had considered a career in financial services, 39% suggested their personality was not suited to the role and 24% do not want an office based 'corporate' job. When given more information about the role of a financial adviser 45% said they would consider a career in the profession.
Whilst demand for financial advice is increasing, the industry workforce is ageing and career development opportunities for the next generation adviser are needed.
The report suggests financial advice firms have an opportunity to focus on bringing in young talent and over time their wealth of knowledge will grow, adding value to any financial services business as well as making sure help is there for the consumer in the years to come.
We have been thinking about a new age, new entrant mentorship programme for a number of years as has our professional body, the Chartered Insurance Institute.