Drastic shortage of financial advisers
Unprecedented demand for financial advice has led to a huge increase in workload for financial advisers, according to the Investment and Financial Services Association (IFSA).
Speaking at an industry conference last week, CEO Richard Gilbert said a combination of factors has led to high demand, primarily by people worried about retirement and planning.
Mr Gilbert says there has been a 10% net growth in financial adviser numbers in large dealer groups, but 10% of advisers are expected to retire in the near future. More than 1300 financial adviser positions were listed on seek.com.au on just one day last week.
“These figures suggest that the industry is unable to meet the needs of at least 1 million Australian investors and prospective retirees, and this is a conservative estimate,” he said.
IFSA aims to come up with solutions that boost adviser training and throughput, and the industry is urged to collaborate on the matter.
“There is a risk that under the age-old law of supply and demand, the wealthy will ‘cream off’ the best of the advisers at a higher price, and the less well off will ultimately be deprived of advice,” Mr Gilbert said.
Speaking at an industry conference last week, CEO Richard Gilbert said a combination of factors has led to high demand, primarily by people worried about retirement and planning.
Mr Gilbert says there has been a 10% net growth in financial adviser numbers in large dealer groups, but 10% of advisers are expected to retire in the near future. More than 1300 financial adviser positions were listed on seek.com.au on just one day last week.
“These figures suggest that the industry is unable to meet the needs of at least 1 million Australian investors and prospective retirees, and this is a conservative estimate,” he said.
IFSA aims to come up with solutions that boost adviser training and throughput, and the industry is urged to collaborate on the matter.
“There is a risk that under the age-old law of supply and demand, the wealthy will ‘cream off’ the best of the advisers at a higher price, and the less well off will ultimately be deprived of advice,” Mr Gilbert said.