The life of a financial advisor is an influential and rewarding one. You assess the financial needs of clients and provide recommendations that significantly affect their abilities to navigate through major life decisions. But with great power does come great responsibility, and this job certainly does not come without its share of hardships:
· You must be prepared for the cyclical and highly reactive nature of the financial services industry. There is high demand when the economy is booming but increased layoffs during economic down cycles.
· You must acquire a good sales mentality to create valuable contacts and close sales to meet quotas.
· You must be highly motivated to put in the years for training, licensing and certification, as well as continually complying with regulation. ·
· You must handle the stress of difficult clients who may be financially misguided and shift blame on you as a result of their bad financial practices.
In spite of these obstacles, more and more people are selecting financial advisory as their career of choice. According to the Financial Planning Association of Australia (FPA), the demand for financial advisors is set to increase by 55% within five years. Here are top 10 reasons why people are choosing financial advising and loving it:
1. Rewarding partnerships. You will have the opportunity to build strong relationships with your clients and make a positive impact on their lives.
2. Work flexibility. After establishing a client base you can enjoy regular work hours of less than 40 hours a week, allowing you to maintain a healthy work/life balance.
3. Career choices. You have the option of working for an existing advice practice or starting your own business.
4. Limitless earning potential. With the majority of advisors employed on a commission basis, advisors are able to earn as much as they take on.
5. Teamwork mentality. Whether working with colleagues in a firm or independently, financial advisors work closely together with other professionals such as lawyers and accountants to ensure that clients accomplish their goals.
6. Continued learning. Financial advisors learn to cultivate innovation to keep up with the constantly changing rules, regulations and planning techniques in the field.
7. Investment specialist opportunities. For those who are passionate about investments, you can become a specialist investment adviser.
8. Selective cliental base. You may decide to serve a type of client that you are more familiar with or have sales skills which are more relevant to you.
9. Social value. Financial advisors have skills and knowledge which are vital in making life decisions – something which is not taught at school. These skills can be used to help the financially disadvantaged, and teach others to become money smart.
10. Constant change. Every case is different - this keeps you on your toes and means the job never becomes monotonous. In the words of wealth advisor Amy Merrill, “Every day is an adventure” and “Variety is the spice of life! “
So you think you’re ready for the long journey ahead? Find out if you have the makings of a successful advisor.