Industry gains one, loses one
The financial planning industry loses almost as many advisers as it gains each year, which explains the slow growth in adviser numbers over the past decade, according to recruitment specialist eJobs.
According to eJobs figures, there were around 1,000 financial planning roles advertised each month for the past 12 months, while the figures prior to the global financial crisis were significantly higher. Job numbers have also risen 18 per cent over the last quarter.
However, eJobs managing director and financial planning recruitment manager Trevor Punnett noted that while one would suspect the financial planning industry had grown massively over the past ten years, “the total number of advisers has only increased a flat 2 per cent a year.”
eJobs analysed published data from Money Management and other trade publications and found the number of advisers in the top 100 dealer groups has risen from around 13,000 in 2001 to about 16,000 last year.
“We’re not far off losing the same number of advisers through retirement or leaving the industry than we are in welcoming newcomers which is a worrying trend,” Punnett said.
He had also referred to the shallow talent pool, as the proposed Future of Financial Advice reforms would force practices to recruit more staff just to assist with additional administration work.
“We see a continuation of similar employment levels and increasing supply challenges,” Punnett added.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
