Career Changers input needed for upcoming conf session

[Caleb Brown]

On Saturday morning October 10th from 11-12 at the FPA National Conference in Denver CO there is going to be a panel session entitled “Career Paths, Salaries and Internships in the Financial Services Industry.” Currently this program is being tailored to undergraduate registered degree program graduates, but I am working with FPA to make sure the career changer’s issues are addressed as well. I’d like to hear from the Career Changers who frequent this board on what their top questions about those topics in this industry are aside from the obvious ones that are addressed here over and over again. Even if you aren’t attending the conference, I’d like your input as to develop value added program for your fellow career changers who will be attending that I might not be able to reach in time.

What questions do you have?

Would you rather see more time devoted to one particular topic vs another?

Is there another topic that is of interest?

FPA is aware that 1 hour does not do these topics justice, but unfortunately that is all the time that is allotted and is why we are soliciting questions beforehand.

Caleb Brown

[Bradly T.]

Caleb - No criticism intended but inserting career change issues with entry level internships within an hour program seems off point and too insufficient to take away from primary topic....the two issues are fundamentally in opposition.


I was a career changer back in '88 at the age of 35 and do believe your issue and presentation are of vital importance to many and to the industry. I have worked as a recruiting and training manager over the years and the issues and priorities are completely different for first career and career changers...and so is training (or should be).



I like the idea of FPA developing recruiting materials for career changers which members can use....our profession requires so many skill sets to be integrated that many people don't realize how many professional skills they have which would apply. Our "craft" is really secondary and more easily learned than some of the other critical skills....business management, marketing and sales, technology apps, customer service, etc. There are many potential recruits in banking, real estate, mortgages, accounting, insurance, law, education, sales, business, etc. that could be successful in our profession, indeed are in the industry today.



Sorry you're not getting more feedback....best of luck!

[Caleb Brown]

Bradly,

Thanks for your comments. I am aware and generally agree with your concerns, however I am just trying to get the Career Changer group a seat at the table no matter how small it may be. I too am sorry we haven't gotten more feedback.
Caleb

[Bob H]

May not fit your need.... But as an owner looking to hire someone new, what kind of salaries or incentives are new grads looking for/expecting

[q187]

Question #1 :How can I find an opportunity with you? If you guys need help, how come I can't find you?

Those of us who want to be career changers want opportunity and a place to start. If we already understand that we will have to work hard, give a lot, and have this be our lives for the next few years, how can we get started?

Question #2 : How can I be unbiased and start out that way? Why do I have to sell insurance or sell my soul to Edward Jones to get started?

Question #3 : I've got a lot of useful marketing experience. What are you looking for? How can I help right out of the gate?

[John6426]

Along the same lines as q187:


(1) How can I find the right finanical planning opportunity without having to create a book of business as the main goal? I have had job interviews with Bank of America and Ameriprise, and I don't want to start may financial planning career in that capacity. My job as a financial planner is not to sell per se; I find too much conflict of interest in those types of "selling" jobs. I do understand that selling is part of the job (see my experience below).



(2) As career changers, we are professionals with years of robust work experience. Do I have to take a hit in salary to enter this profession even though my skill set and experience justifies more? To q187's point, we career changers bring a lot of experience to the table.



(3) If we want to take a stab at going at it alone, what are the lessons learned?



I am 35 as Bradly was when he changed careers. I have 10 years in finance, project management, and sales. I am currently a sales executive for a Fortune 500 company. I can sell, and I have no problem speaking and selling to people. I am also a CFP(R) certificant, but, because my family and I have moved quite a bit in the last few years, I haven't been able to focus on a career in financial planning until now.



Looking forward to any constructive advice.

[Bradly T.]

John and q - I have read here that things are different now or at least changing for those wanting into my career. I hope so but I fear it is still a small percentage of opportunities. Since I am the average age of practitioner (57), I can tell you that a very real issue for us old dogs is succession - even in a solo practice. I'm solo advisor in a solo CPA firm and both of us are intensly interested in practice continuity.....not selling out but continuity. We want to work less and less while others pick up the loads of process and expansion until we're dead or dangerous. This situation is NOT uncommon. I worked for AEFA/IDS in the 90's and happen to know that they and NYLife, PRU, and all BD's allow for branch's to grow through staff with no required retirement age or sellout by their codgers.


So, one solution and perhaps a very superior alternative to entry level mud-thrown-at-the-wall corporate new hire BS with their quotas and inexperienced and production driven "training" managers might be to consider finding successful and stable solo or partnered practitioners (without regard to THEIR affiliation) who are looking for any one of four staffing solutions:



1. Some of us are the best rainmakers we ever met or will ever need (you'll meet a few egos out here) but are bogged down by process and service demands. They/we prefer the initial contact, the engagement project and get bored by the systems and service administration. A true professional in that situation INCREASES firm revenue without "selling" anything but, rather, by freeing up the selling engine and allowing more capacity in-firm for new clients.



2. Some of us are master analyzers and planners or portfolio allocators/asset managers and have adequate support staff for current size but need a rainmaker to bring in new clients for billable time or asset management. We need growth but its not really our thing. A true professional in that situation INCREASES firm revenue by selling/marketing - rainmakers are always welcome and can be taught planning craft by outsourced education and para-planning, etc.



3. Some of us may be one or the other but need a growth manager/business manager. New business is not a problem and neither is process staffing BUT the greatest risk to all successful businesses or professional practices lies in the expansion phase. Real estate, equipment systems, 21st century office development, capacity and staff expansions, credit and leveraging - all bring new nightmares and failure risks to successful practitioners. A true professional in that situation INCREASES firm revenue by growing market share capabilities in-firm.



4. Many asset gatherers and managers who are already successful and have the above ingrediants in-hand may not be applying the "wallet-share" and "client-loyalty/value" miracle of true financial planning and wealth management services to their existing client base. Average wallet share for our industry is south of 30%. True planning can deliver much closer to 100%. Planning can create new revenue without new clients - but don't worry, it will also deliver new clients and new revenue too! Take an investment client and add tax planning, cash flow planning, benefit election help, insurance policy reviews, risk analysis, estate document review and stragic planning, charitable and family gift planning, elder care help for client parents, etc. and see what happens!! A true professional in that situation INCREASES firm revenue.......



Each of these four positions can deliver value alone or in some combination and every truly experienced and successful professional practitioner KNOWS THIS!!! Perhaps you may have noticed one constant in all four job descriptions? Unfortunately, few practices have "excess" capital looking to be spent on anyone who does not INCREASE firm revenue. For a corporate new-hire, the only way to measure your impact is by your own sales. It's an easy metric....you starve, you survive, or you get rich!! No brainer for corporate. But for small firms.....revenue growth drivers and impact players are more easily measured and rewarded as a function of and result of the impact of the position and the professional on total firm revenue and growth.



You career changers really need to reasses your professional skill set for this type of environment rather than the home office weenie recruiter looking for someone dumb enough to try or strong enough to survive the only game they offer - eat what you kill!! ONLY professional sales people can survive that game and many of us become very successful by also becoming very good at the professional craft....but we were already good at the people business. We knew the laws of large numbers and rejection survival and carrying a consultation and sales presentation, how to be compelling and convincing and how to close deals. Corporate hires NEVER fire a producer no matter how bad their craft and they never keep a craftsman who cannot sell. It's not evil, it's just the way it is. Anyway, wish you both the best.

[Bradly T.]

Maybe I should write a book on this - haha! But I have trained and mentored many career changers the past 20 years. Anyway, thought of a fifth way a career changer can bring impact to smaller firm....


5. Often, the best way to INCREASE firm revenue is not by expansion of current operations per se, but by dirersification or new market entry. Examples: your previous career comes with specialized knowledge or connections. The #1 producer at AEFA in the late 80's (and it takes a BIG number to be #1 over there) was a woman who left TWA's HR department to join her father's practice. She did one thing and one thing only: TWA employee rollovers and retirement planning seminars. Now, don't get me wrong....she was a consumate professional with plenty of skills and personality......and connections!! Professional fund raisers for nonprofits could open a whole new division in a small firm by adding charitable gifting consultation, planning, and strategic implementions. Small business owners face very real and unique risks, taxes, and challenges that requires very specialized solutions, skills, and excellent networks - often the more specialized the more effective. I worked a long time as a farm and ranch planner (I come from there and love the people - true salt of the earth and yes, they have cash flow and multi-million dollar estates with very specialized estate and income tax codes). What do you know about horse breeding and racing....or professional athletes? New DOL and ERISA challenges have driven out many from the defined contribution and benefit market and created huge growth and asset gathering opportunities, making this an exciting and NEW market for smaller firms.



So, there's 5 ways that a career changing professional with a unique skill set might enter our profession within a smaller firm....wait a minute.....



6. (I'm done with this one...promise.) Did you know that the entire CPA industry is rapidly expanding local firms revenue by adding financial planning (fee only) and financial services (BD or RIA or dual registration)? They especially prefer professionals of any kind that are NOT "salesie". And guess what....you will NEVER need to originate a new client. It took me 15 years of career development to get into that situation and three years after selling my original practice and relocating. Just think of it.....marketing and prospecting into an existing, loyal client base of hundreds, even thousands of families and all needing planning and financial services support. It's a wonder I tell you. Indeed, it is my firm belief (as a CFP) that as soon as the Board and the Coalition succeed in handing over our profession to the SEC, they will LOSE our profession to the AICPA ( those guys - CPAs - must be foaming at the mouth and laughing their heads off by the so called leaders of the planning profession as they attempt to flush the industry away by giving us over to the investment industry). I promise you CPA firms will always be able to provide professional financial planning WITHOUT SEC oversight. The question will be.....can anyone else when the CFP comes from the SEC?

[AAE]

I realize the conference has come and gone, but I thought I would post a question that I'm sure many career changers (or potential career changers, like me) have asked themselves and others: How quickly can I replace my current income?
I realize the answer most likely is, it depends... On your connections, work ethic, drive, sales skills, etc. I'd be interested in hearing from some career changers on how you planned your switch. Did you take the leap all at once? Did you try and hold your current job and make a slow transition? How many different types of planning firms did you talk to before deciding what to do?


I am a successful sales rep for a banking technology company. Well at least as successful as you can be trying to sell things to banks these days! I have so far spoken to a couple of independents and the Principal, while worrking on my CFP. All have an interest in my banking connections (community banks). As the sole income provider for a fairly young family, leaving my current income behind is a BIG risk, but I have been interested in making the change for several years now. I look forward to your comments and feedback.



Andy