Though some advice firms have expressed reluctance to take on professional year (PY) advisers, industry academic and consultant Dr Katherine Hunt said that those who do should carefully weigh the benefits of taking on young talent versus a mature career changer.
“We’re so lucky in financial advice that we have so many mature age students who change into financial advice as a profession,” Hunt said on The ifa Show.
“We all know that a mature age student, they already can talk to other humans. Almost certainly they’ve got a bit of life experience that means that they can sit down in front of a client and really properly connect and that the client is going to be comfortable, potentially, as well with that, with the less experienced but also more life experience kind of advisers.”
While there are clear benefits to hiring mature-aged staff, depending on the needs of the business, Hunt said others may need to look at acquiring younger talent.
“So, do we want someone like that or do we want a junior who’s got the tech skills and while they’re not actually being in front of clients, that they can run our digital marketing strategy and make sure that we’re posting lots of videos,” she said.
Furthermore, Hunt suggested that having new talent on the team could help signify to clients that a business is doing well.
“Everyone in the community recognises the value of bringing on youngsters, shall we call them, or fresh out of uni people,” she said.
Hunt noted that, while it is generally understood that advisers will work best with clients who are no more than 10 years older or younger than themselves, there are exceptions to this, though firms should be mindful of their clients’ age group when considering a new hire.
Speaking with ifa last year, Jodie Lane of Rise Financial said that choosing to pursue a career in financial advice after more than 20 years as an accountant was somewhat daunting, however, her life experiences and years spent in professional spaces meant she had the confidence to interact with clients more easily.
“I’ve spent a long, long time in client-facing roles. So, through life experience and work experience, just talking to people a lot, that is really useful, and even though it’s a slightly different setting, there’s still a lot of crossover,” Lane said at the time.
Meanwhile, Ishwa Pandya, a recent university graduate and now associate adviser at Bravium, recently told ifa that it can be difficult to communicate with clients that are so much older than herself.
“Sometimes, when you are sitting in front of a client and you are 25, some clients might take it as, ‘Oh, the person is 25 and they have no life experience. What kind of advice would that person bring to the table?’” Pandya said.
To hear more from Katherine Hunt, tune in here.
…meanwhile, in the real world, we advisers have higher priorities than babysitting a new advisers, never mind having our clients left exposed.
Neither…not worth the risk.
Super funds are likely to tap into a global talent pool, including FAAA-qualified advisers from places like India, allowing them to deliver cost-effective, high-quality advice to everyday Australians looking for affordable guidance—much like economy class serving budget-conscious travelers.
At the same time, business-class clients will likely be referred to experienced Australian advisers, who bring not only strong qualifications but also the interpersonal skills and real-world experience to meet the needs of this demographic.
First-class clients, on the other hand, will continue to be cared for exclusively by private bankers, by invitation only.