Only 6% of advisers are under 30 years old (2024)

FAQs

Only 6% of advisers are under 30 years old? ›

Data published via a Freedom of Information request last week (April 1) showed that just 261 advisers are under 25, and 2,209 are under 30, making up 5.7 per cent of the total number of 43,326 advisers qualified to offer retail investment advice in the UK.

The financial advisory industry faces a significant demographic shift, with the average age of advisors in the U.S. at 56 and about 20% set to retire in the coming years.

Becoming a financial advisor in your mid-30s is a great idea since the average age of financial advisors is typically in the early 50s. This trend indicates that the profession accommodates those who enter later in life. Starting a financial career in your mid-30s is feasible and rewarding.

Across all channels, advisors 55 and older manage 56.7 percent of all assets despite representing only 42 percent of advisors.”

It suggests 80% of an outcome is often the result of just 20% of the effort you put into it. Often, by prioritizing the 20% of your efforts that make the biggest splash, you can reduce excess commotion. In that spirit, here are 3 financial best practices that pack a lot of value per “pound” of effort.

Level 1 Financial Advisor – earns $100K-$300K

At the higher end, $300,000, puts the advisor in the top 10% of household income in the United States, which is not bad at all. Many of these advisors have earned professional designations that allow them to offer more services and expertise to their clients.

While not often considered by young adults, financial planning's importance for those in their 20s can't be overstated. This phase usually brings a set of financial hurdles like dealing with student loan debt, landing a first job or planning for significant life milestones such as buying a home or starting a family.

Financial Advisor Career: An Overview

It also takes considerable time and effort to build a clientele and is considered a high-stress job by many, even in the best of times.

According to various studies and publications, the average age of financial advisors is somewhere between 51 and 55 years, with 38% expecting to retire in the next ten years.

What is the best age to become a financial advisor? ›

Think about it: Your best market is going to be people your own age, plus or minus five to ten years. Becoming a financial advisor at age 40 is optimal, because your bread-and-butter market is in or just about to enter their peak earning years.

Many Millennials feel overwhelmed by debt but still want to enjoy life experiences now, not just save for some distant future. Financial advisors can help by clearly showing how financial planning enables their envisioned lifestyle.

Clients often do not have the knowledge or expertise that their advisor has, and each client experiences different emotions about changes to their portfolio. Financial advisors must understand that their perspective is different from their clients, and bridging that gap is the responsibility of the advisor.

Bottom Line. On average, financial advisors charge between 0.59% and 1.18% of assets under management for their asset management. At 1%, an advisor's fee is well within the industry average.

Answer: From a regulatory perspective, it's usually prohibited to ever charge more than 2%, so it's common to see fees range from as low as 0.25% all the way up to 2%, says certified financial planner Taylor Jessee at Impact Financial.

Seek professional advice

Of high-net-worth individuals, 69 percent work with a financial advisor.

Financial Advisor Demographics

Approximately 70% of advisors are men. Whites account for 70-80% of the profession, with Asian, Latino and Black advisors each representing 5-10% of the workforce. Over 60% of advisors are 40 years or older.