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.