Financial Advisor Recruiting Best Practices – Why Should I Join You?

Today’s environment for financial advisor recruiting is far different when I started 25 years ago. Information is far more available; financial advisors have many more choices; the regulatory environment makes it much more difficult to move; and everyone is after the same assets. Financial Advisors with assets are in demand and following Financial Advisor recruiting best practices will get the best results.

Financial Advisor Recruiting Best Practices

In order to attract financial advisors to your firm you have to do two things:
1) You have to have a value proposition for FINANCIAL ADVISORS, not just your clients and prospects.
2) You have to make your offer compelling. Financial Advisors are not interested in moving to another Broker Dealer or RIA unless there is a COMPELLING reason to do so.

What do we mean by compelling? The dictionary defines compelling as a) forceful b) demanding attention and c) convincing. So what is compelling in today’s financial services environment? Here are some components that have been successful in attracting financial advisors to other firms:
1) Show me the MONEY$$$$$. It could be cash. It could be a higher payout over an extended period of time. It could be an allowance that helps them set up a business without coming out of pocket. But it is hard dollars.
2) It could be some type of EQUITY OWNERSHIP. Allowing financial advisors to have an ownership component has proved to be very effective because of the long term payoff down the line and the CONTROL that they want.
3) A STRONG NICHE MARKET. Companies that have a strong presence and prestige in a particular horizontal, vertical or geographic market and can deliver new prospects to the advisors on their team have a distinct advantage. Examples might include unions, CPAs, medical/dental professionals, qualified plans, 401K, banks, credit unions, group benefits.
4) Having a STRONG MARKETING PROGRAM in place can help leverage a financial advisor’s time and drastically increase his appointments and sales. Radio, TV, seminars, webinars, websites and social media as allowed by your Broker Dealer.
5) A set of UNIQUE RESOURCES (i.e. your fixed income capabilities etc) can make a big difference: a Paraplanner, an in-house attorney, CPA, or insurance expert, a qualified plan expert, a financial planning department, or anything else that can significantly help leverage a financial advisor’s time.
6) A strong position, reputation, or other recognition in the community that can open doors for the financial advisor can be very attractive.
7) A strong career path and/or succession plan to provide for the continuity of the business and future ownership for the financial advisor. For older financial advisors, the opportunity to join a firm that will take care of their clients after they exit and pay them a reasonable price for their assets can be very attractive.

Do you have a written value proposition for the Financial Advisors you seek to recruit and is it compelling?

Compliments of Mitch Vigeveno, Turning Point Inc, 813-475-5525,
Copyright © 2013 Turning Point Inc. All rights reserved

One Response so far.

  1. christine says:

    your best practices are what my co is having but as a manager i still find hard to recruit.they prefer to work in banks and love one dont see this career for them.
    would appreciate your advice.

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