As we head into the final quarter of the year, when it comes to adviser recruitment things are looking up for IFAs. That’s the opinion of Steve Preston, Managing Director of Heat Recruitment, as he explains here.
With all the regulation updates and consultation papers coming from the FCA recently, advisory firms and advisers themselves are certainly being kept on their toes to stay up to date with major changes. This is surely good news for the end client.
As a specialist recruitment business, we have noticed that acquisitions seem to be becoming increasingly more common across the adviser landscape. There are a good number of retiring advisers laying the path of opportunity for other advisers to build their client base and further their careers.
Packages are changing
We are certainly seeing a rise in employed positions amongst many of the adviser vacancies which are coming through. Last year, self-employed packages were flooding the market but now employers seem to be recognising the benefits of hiring staff on an employed basis to work with clients.
There are also new bonus structures being advertised for ‘step up advisers’, these are people coming from a paraplanning background and who are looking to move into an advice role – or even newly qualified people. The typical validation seems to be round 3x salary but we have taken roles with packages for new starters from 2x.
When it comes to the packages and incentives which are made available to individuals when joining a company, ‘perks’ seem to be on the increase. Examples of the kinds of things on offer are more study days, bonuses for passing exams, pay rises in line with exam results and even promotions. Companies also seem to be more relaxed about flexible working patterns and even working from home. If your business is looking to recruit, then all these things should be borne in mind.
Most companies will always look at an IFA with transferable client base. I think that there are more companies which will now look beyond this and don’t need ‘x’ number of clients or ‘x’ amount of funds under management when recruiting. Refreshingly, they look at what the individual is capable of achieving, ask them to present a business plan and then look to assist them with achieving their goals once they find the right person.
Growing competence and professionalism
In terms of the regulated environment, in my opinion there will be more and more jobs becoming available as companies are growing, some at a rapid pace. We see more and more advisers working towards Chartered status and other advanced-level qualifications. People are continuously looking to further their qualifications and their technical knowledge. As more exams become available, I think this will only accelerate the learning curve. The question is how will people get their qualifications in the future and which syllabus will they choose to study?
More and more companies are recognising that using recruitment agencies is a great way to bring talented advisers, paraplanners and support staff into their business. They can negotiate the best deals and really listen to what an adviser or paraplanner actually wants and needs from a new position, hence creating that symbiotic relationship. As with all recruitment, it isn’t about pushing round pegs into square holes, it’s about creating that perfect fit for building a long-term and mutually rewarding professional relationship.
