New Insights for Future Financial Planners
Executive brief highlights emerging trends, motivations, and challenges shaping the profession's talent pipeline
In today's rapidly evolving financial landscape, the industry is facing significant challenges, especially as many seasoned professionals retire. As a response to this urgent need for talent, Amplified Planning, in collaboration with Schwab Advisor Services, has introduced a vital executive brief titled "Building the Future of Advice: Data-Driven Talent Strategies." This guide is aimed at wealth management firms that are committed to recruiting, developing, and retaining top-notch talent.
The research presented in this brief comes from insights gathered through surveys administered during a recent Externship, where over 2,000 aspiring and new planners participated. With close to 1,800 respondents providing feedback, the research offers a unique perspective on what motivates this new generation to enter—and remain in—the financial planning profession. It also highlights the various hurdles that these planners encounter, along with practical advice for firms to create effective retention, recruitment, and talent development programs.
Hannah Moore, CFP®, the Founder of Amplified Planning, emphasizes the connection between a firm's growth and its ability to attract and nurture talent. According to Moore, while discussions often center around generational differences, it’s critical to focus on how individuals enter the profession. Students, career changers, and existing financial service professionals exhibit unique motivations and expectations; understanding this allows firms to build stronger, more sustainable teams.
Three Distinct Pathways into Financial Planning
The research delineates three primary pathways that aspiring planners typically take as they enter the profession. Surprisingly, a planner's entry point is a stronger indicator of their motivations and what they value in their employers than their age or generational identity.
1. College Students: Many college students discover financial planning through their studies or peer networks, often looking for mentorship, structured support, and clear career trajectories.
2. Career Changers: Those transitioning from other careers often come into financial planning due to personal financial experiences or significant life changes.
3. Financial Service Professionals: Individuals already in related fields are generally seeking greater meaning in their work, along with opportunities for holistic advice.
While all three groups are essential for the future viability of the profession, career changers represent a particularly significant talent pool, a trend that has been growing since 2022.
What Drives the Next Generation of Financial Planners?
Across all demographics, a common theme emerges: the desire for purpose and making a meaningful impact is what attracts new talent to financial planning.
Many newcomers to the field view their role as a way to assist clients and enhance their lives through education and empowerment. Numerous new planners aspire to break generational financial cycles and uplift underserved communities.
A participant from the Externship shared, "I always look forward to the relationships I build. It's not just about managing assets—it's about walking alongside clients and helping them shape their lives." This reflects the deep connections that many new planners wish to forge as they enter the profession.
A Shift Towards Holistic Financial Planning
While the fundamental motivation of helping others persistently remains strong, an overwhelming 94% of surveyed Externship participants expressed a keen interest in embracing holistic financial planning over traditional investment management.
This indicates a transformative shift in how aspiring planners view their roles. Rather than merely focusing on portfolio management, many aim to guide clients in navigating all aspects of their finances, including retirement planning, debt management, tax considerations, and estate planning.
As Suzanne Siracuse, an industry consultant who contributed to the research, noted, "This new generation of talent wants to help clients holistically, not just manage money." This perspective presents a unique opportunity for firms to redefine their advice delivery models and strategically attract suitable talent.
Barriers to Entry for Aspiring Financial Planners
Despite the enthusiasm surrounding this new wave of planners, the research indicates that many face significant barriers to entering the profession. These include:
- Difficulty in finding job opportunities that align with their values or experience.
- Limited starting salaries that do not reflect the skills and potential they possess.
- A lack of defined career paths, which can leave aspiring planners feeling lost.
- Inadequate technical training and support for client-facing roles.
Career changers, in particular, often feel their previous experiences are underappreciated, while students often struggle to find genuine entry-level positions that provide a path into the field.
Strategic Advice for Firm Leaders
The 2025 Schwab RIA Benchmarking Study reveals that most Registered Investment Advisors (RIAs) typically draw their new talent from personal networks, educational institutions, or fellow advisory firms. However, with nearly 70% of new entrants to The Externship coming from non-traditional backgrounds, there is a clear call for firms to rethink their recruitment strategies and broaden their horizons.
Understanding how candidates discover the profession can provide deeper insights beyond just their age and experience. Moore suggests that entry points shape how individuals define success within the profession, evaluate potential employers, and ultimately decide whether to remain.
According to Leslie Tabor, Director of Advisor Services Business Consulting & Education at Charles Schwab, recognizing that different candidates have varied focal points—some being more client and relationship-driven while others focus on investment analysis—will enhance recruiting efforts. By clearly defining advisor roles and aligning them with potential hires' aspirations, firms can improve retention rates and workforce cohesion.
In conclusion, the research findings highlight the importance of tailored recruiting and retention strategies. A "one-size-fits-all" approach to hiring and talent management is outdated. Firms that proactively understand the motivations and challenges faced by various talent segments can develop intentional strategies that promote defined career pathways for students, re-entry programs for career changers, and meaningful roles for industry professionals.
The research reinforces a compelling truth: firms positioned to lead the next decade of growth are the ones that prioritize investing in people as strongly as they do in performance.
Ensuring the Next Generation of Planners Stays in the Profession
Retaining new financial planners is about more than just offering competitive salaries. The research indicates that mentorship, firm culture, structured training, and clear career progression are deemed paramount by many participants.
New planners want clarity regarding their career trajectories and reassurance that someone cares about their advancement. Firms that genuinely embody their cultural values—by providing robust coaching, collaboration, and transparency—will foster loyalty and longevity among their teams.
About the Research
The executive brief titled "Building the Future of Advice" incorporates both quantitative and qualitative research initiatives conducted by Amplified Planning, including:
- A nationwide survey featuring nearly 1,800 responses from Externship participants.
- Focus groups consisting of students, career changers, and professionals within the financial services sector.
- A comparative analysis of industry trends from previous years leading up to the present.
This comprehensive report identifies precise opportunities for firms to modernize their recruitment practices, enhance retention rates, and align workplace culture with the values and motivations of the incoming talent pool. It also outlines actionable recommendations along with success stories from firms that have effectively embraced innovative strategies in talent development.
About Amplified Planning
Amplified Planning is dedicated to equipping aspiring and new financial planners with hands-on experience, mentorship, and essential tools for success. The organization facilitates scalable and sustainable talent pipelines for firms through initiatives like The Externship, which is recognized as the largest virtual training program in financial planning. Each year, it provides thousands of participants with direct exposure to client interactions and the financial planning process.
Amplified Planning also offers specialized training solutions, including The Accelerator program, a concentrated three-month cohort, and CORE, an ongoing monthly training experience, to further cultivate expertise among financial professionals.
Frequently Asked Questions
What is the main focus of the new research released by Amplified Planning?
The research emphasizes trends, motivations, and challenges in attracting and retaining the next generation of financial planners.
Who can benefit from the guide "Building the Future of Advice"?
Wealth management firms looking to enhance their recruitment and retention strategies can significantly benefit from this guide.
What are the three primary pathways into financial planning identified in the research?
The three pathways are college students, career changers, and current financial service professionals seeking more meaningful work.
What motivates the next generation of financial planners?
The new generation is largely motivated by the desire to make a meaningful impact and help clients improve their financial lives.
How can firms improve their recruitment strategies based on the research findings?
Firms should focus on understanding the candidates' entry points into the profession and tailor their recruiting efforts to attract diverse talent from beyond traditional sources.
