Tips for advisors-in-transition in a talent squeezed market: Part II of II

By Cynthia Stephens, VP of Marketing, ByAllAccounts on Monday, January 13th, 2014

Last week (see blog: Tips for advisors-in-transition in a talent squeezed market: Part I of II) I recounted three tips from Mindy Diamond, President and CEO of Diamond Consultants, for advisors-in-transition:

Tip #1 for Would-be successors:
Once you have defined your goal as being the successor, be open all the time to new opportunities.

Tip #2 for Advisors-in-training:
All firms acknowledge they need to groom and nurture trainees.  Find a very successful advisor who knows how to train someone.

Tip #3 for Emerging Advisors (with 0 – 5 years experience in wealth management):
It’s harder to build a business today than it was 30 years ago.  Get into a wirehouse training program to get a solid foundation.

I also asked Mindy about female advisors.  Considering that women are often the primary financial decision-marker for their household (see Financial Experience and Behaviors among Women) and control much of the wealth, it’s surprising to me that less than 15% of all advisors are women (see 2012 Fidelity Broker and Advisor Sentiment survey).  Does this present a specific opportunity for women advisors in transition?

Tip #4 for Female Advisors:
Every firm has a mandate around increasing diversity hires. 

“Women are so uniquely suited for this business”, says Mindy.  “Developing relationships is where it all starts and women are naturally good at that.  They can be relationship geniuses.”

She adds that “The top women in this business are really tops.  They are spectacular.  They are bright, well educated and many are from different fields that have moved to wealth management.”

Mindy has worked with one advisor for years that is now probably managing north of $1 billion. This advisor transitioned into this business after a career as a teacher.  Another highly successful female advisor started her professional career as a social worker.  Often, financial success takes a back-seat to the other rewards of this business for women.  It’s a career that allows for a lot of flexibility during the workday and often good work-life balance.   

When there is a shortage of talent in wealth management, why, I wondered, don’t we concentrate recruiting and training efforts at the talented women in other careers that are looking for a mid-career transition?  They have the people, quantitative, analytical, and managerial skills to be successful in this business.

Tip #5 for All Advisors:
Technology is a big motivator.  Understand how you can be free to do more of what you love to do.

Understanding the technology that a new employer offers is part-and-parcel of any due diligence process for advisors.  “Tech is a big motivator”, says Mindy. “It is all about how I can make my experience more effective and efficient. How can I be free to do more of what I love to do?  When an advisor is deciding whether to go or stay tech is one of the things s/he looks at.”

Highly Successful Advisors, defined as having “Extremely Satisfied” clients spend more time on client-related activities (see national survey results, Traits of successful financial advisors) than all other advisors.  It’s no surprise that one in four of these Highly Successful Advisors report having an “Extremely efficient” back office, more than 2X compared to all advisors.

To do your homework on how much a firm has innovated and invested in technology, Mindy says;

  1. Read about it in trade publications

  2. Ask your colleagues.

  3. Do additional due diligence

Whether you are an advisor in-transition, or a firm that will be hiring in 2014, finding the right firm or talent will shape the industry for the next generation.  It’s an important subject that we’ll be highlighting during the next few months.

Stay tuned for details of our February webinar on how to position your firm in the war for talent.  Email marketing@byallaccounts with the subject “Hiring webinar” and we’ll make sure to send you an invite.

Mindy Diamond is President and CEO of Diamond Consultants which she founded in 1997. In partnership with her husband, Howard, they have developed an organization that focuses on smart talent recruiting and strategic business consulting that employs a unique relationship driven approach. Nationally recognized as an industry thought leader, Mindy works with the nation’s top advisors and firms and consults with, trains and coaches individuals, small and large groups on state-of-the-art practices with regard to helping them reach their full potential through a Total Growth® approach.

You may also be interested in:
Tips for advisors-in-transition in a talent squeezed market: Part I of II (Blog post by Cynthia Stephens, VP of Marketing, ByAllAccounts)
Tips for Making Your RIA Succession Plan a Success (Complimentary Whitepaper) 
How to Drive More Word-of-Mouth Referrals (Webinar Replay)

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