How One Advisor Lures Millennials to His Staff (and Keeps Them)

The millennial generation, now aged 19 to 35, is rapidly transitioning from being "the future" to being "the present." Milennials will comprise half the work force by 2020, according to a study cited in this Wall Street Journal article.

Managing Parter Jim Meehan, 50, of 1847Financial has made it his mission to grab those fresh-faced young advisors, build their skills and keep them on board.

The firm's three-year training program boasts a 60% retention rate, about twice the graduation rate of Merrill Lynch trainees. Meehan emphasizes mentorship, teaming younger advisors with older ones.

To ensure they feel listened to, there's a millennial board of directors that makes recommendations to the firm's partners (one that has been implemented: Apple TVs for client meetings). The firm also holds happy hours to facilitate team bonding and encourages volunteering and charity work, which the younger advisors are passionate about.

Investing in the next generation of advisors is critical to the continued life of an industry where so many of the practitioners are aging. Merrill, as another example, also understands this. Its new training program adds advisor trainees to teams of older advisors, a strategy that critics point out makes it harder for advisors to leave the wirehouse and take their clients with them.

While the younger generation of advisors may still be relatively short on skills, connections and credibility with clients, they won't stay that way. Advisors who fail to invest in them — before they take their human capital elsewhere — do so at their peril.
—Katie Rass, ThinkAdvisor
When Jim Meehan joined 1847Financial as managing partner in 2011, he started a mission to ramp up the firm's life-insurance production. As of the end of last year, that production was up threefold--a success factor he credits partly to the nearly 40 millennial-aged financial advisers he hired. "They bring incredible energy and...
Reprints Discuss this story
This is where the comments go.