What You Need to Know
- Women are expected to hold $30 trillion in assets by end of the decade.
- Advisor firms need to be creative in hiring and developing female advisors.
- Providing a flexible career path can help keep female employees engaged and productive.
Women are expected to hold $30 trillion in assets by the end of the decade. They represent more than half the U.S. population and live longer.
Further, younger women are more likely than men to have earned a bachelor’s degree. Yet only about 31% of financial advisors are women, according to the Bureau of Labor Statistics.
It is clear that the financial services industry needs to get serious about attracting and retaining women if it wants to build future-proof businesses.
While there’s no one-size-fits-all strategy here, there are a few foundational actions all firms can take to start breaking down some of the most common barriers.
Look for talent in new and unexpected places.
It is time we challenge the status quo and get out of our comfort zones to hire candidates that don’t look like us, think like us, act like us.
This means expanding our recruiting channels to include new and unexpected sources such as online and offline groups dedicated to grooming next-generation female leaders, or professional groups for women in financial services or women in technology or connecting to colleges and universities with large, diverse populations.
It also means reevaluating job descriptions to ensure that the language used is applicable to a diverse group of candidates. Also, it requires ensuring a level playground for all applicants. For example, blind-screening resumes — by removing name and personal and educational information — as a way to remove any biases.
Hire for potential, not just technical skills.
We know that less than a quarter of CFPs are women. And more often than not women’s career paths differ distinctively from men’s — looking more like a zigzag than a hockey stick.