Seeking Career Advice

LCareerdecisions on 18/12/2020 - 12:23
Last edited 18/12/2020 - 12:53

Hi guys,

I've been working in the financial planning/advice industry for nearly 6 years (now an junior financial adviser). Been slogging through the education requirements and questioning whether I should stay in this industry or make a career change.

I have been increasingly concerned about the industry as a whole. Even before the royal commission, I've been thinking about changing my career.

The reasons are:

  1. Lesser need for ongoing advice

The service we provide is simply to help clients make informed decisions. In this day and age, information is readily available for clients to make ongoing decisions after maybe the first year with an adviser.

  1. Transferability of skill

This is a very niche industry. I feel that the industry's image and the way it is heading, I may be left with skillsets that are not transferrable to another field.

  1. Low growth

This links with other points above. I don't see any growth happening in this industry. Banks are selling their wealth arms, lots of advice practices are merging or being sold. The old advisers have it good with ongoing commissions and dividends from their businesses, but for the new entrants I don't see any upside.

I am reaching out to this forum because I've come across really good tips from others in different topics. I'm hoping there's someone who can provide some sort of direction.

I feel that I need to look elsewhere and really consider a change if I am not confident in this industry as a whole. Especially as I've seen friends change their careers and it's been the best decision of their life.

A bit about me:

Age - 29 (30 next month)

Qualifications - Bachelor of Commerce, Dip of Financial Planning, Adv Dip of Financial Planning, FASEA qualified.

Work experience - 6 years in FP, 2 years in consulting (international firm).

What I am looking for - Honestly, a career with more positive prospects. Would love to stay in finance as I am quite confident with numbers and like the concept of modelling for some degree of certainty. A bigger company so I can meet more professionals would be a huge plus.

Let me know if you need more info and thank you in advance.

Education & Work

closed Comments

  • mskeggs on 18/12/2020 - 12:33
    +5

    You probably need to give us a bit about what you like and are interested in.
    What do hope for?
    If you value intrinsic rewards, volunteering in Africa might be an option, but not if you want to drive a high yield investment.

    • Careerdecisions on 18/12/2020 - 12:57

      Volunteering is great, done some in the passed.

      My hope is to be in a job that has a career progression, in an industry that is growing and interesting. I know it's broad but given where I am I didn't have much 'exposure' to other areas in the occupation list..

      • pharkurnell on 18/12/2020 - 14:03

        My hope is to be in a job that has a career progression, in an industry that is growing and interesting.

        We all hope(d) for that.. Most never find it.

  • Seraphin7 on 18/12/2020 - 12:56

    In terms of a change you could probably make relatively easily and without a massive adjustment, it would be to shift onto the product manufacture side in either a sales or product role.

    • Careerdecisions on 18/12/2020 - 12:58

      Could you go in more detail about this?

      • Seraphin7 on 18/12/2020 - 13:03

        How much more/what sort of detail are you after?

        I'm assuming you're providing financial advice across a relatively broad spectrum, that ultimately sees you writing people into various platforms with attaching risk products.

        The platforms you're writing onto have staff (BDMs, etc.) who provide sales and support to advisers such as yourself (or who work on the employer side for MySuper business). Equally, there are obviously the people who manage and maintain those platforms day-to-day. These are the sorts of roles I'm referring to.

        Is there some specific information you're looking for?

        • Careerdecisions on 18/12/2020 - 13:14

          That's good information, thank you!

          I did think about this, since I speak to these BDM's quite often. Most of the time their job seems to evolve around ensuring we offer their products, which is fair since they believe their products are the best on offer.

          Hoping for something with more structural/analytical work?

          • Seraphin7 on 18/12/2020 - 13:31

            @Careerdecisions:

            Hoping for something with more structural/analytical work?

            There are some elements of this on the platform/product management side … depending on how you think of "structural/analytical work". It certainly has some of these activities, but not to the same extent one might be involved in from an investment analysis perspective (as an example).

  • Drakesy on 18/12/2020 - 12:58
    +2

    My mate was in a similar situation, about 3 years ago pre-commission he was concerned with the industry and lack of knowledge/education that those in it had, meanwhile they're handing out advice on how to handle $10 million+ portfolios.

    Basically he cracked the shits because they were just fleecing these people for literally no advice and set up his own company.

    Now 1 year into starting, the Royal commission starts to crack down on AMP and the like and naturally there's a mass exodus.

    He's now heading up his own business, making way more and working less strenuous hours.
    Strongly recommend now that you need a tertiary degree to be a financial planner/advisors, with most of the existing ones on the verge of retirement/having to upskill that you capitalise in a once in a generation opportunity.
    Learn to code/automate tedious processes, do a marketing campaign aimed at richer demographics. Profit

    People with money will always need advice on how to handle it.

    • Careerdecisions on 18/12/2020 - 13:02

      I just feel like i'm cheating a lot the clients. Yes there are those who need it for the sake of having a 'peace of mind' which is really important to some people.

      However, for many clients I often think that they could do a better job in cost savings and wealth growth with some research. For example, passive investing doesn't require someone to tell you it's a great way to invest - that's the point of passive investing.

      You're right in saying those with money will need advice. Those with a lot of money might I add.

      • mskeggs on 18/12/2020 - 13:14
        +3

        People could do better mowing their own lawns, getting a bit of exercise and saving paying somebody else, but Jim's Mowing is a thing.

        Many people don't like finance stuff, others are uncertain of their capabilities or plagued by self doubt. Helping these people isn't bad.

        But you will bring the most help to those with the most finances, so if that doesn't sit well with you, a change might be good.

        • SF3 on 18/12/2020 - 13:28
          +4

          Agree with this. I think because OP has been doing this as career the subject is pretty much "common sense", but that's because OP has accumulated over the years in study and career to have the knowhow and know where to look and comprehend what is out there to research to guide decisions.

          Most "layman" wouldn't know where to look and if they did, may not comprehend the sea of information out there and being able to tell what maybe the "right" direction they ought to take.

          Otherwise a sea change might be in order…

          OP, it sounds like you may like to help people, but just not in a profession that is fulfilling?

      • AustriaBargain on 18/12/2020 - 16:56

        If you feel like you're cheating clients that's got to be bad for your mental health over time. I've turned down work because I knew it would be scummy. You can have money or no money, but you need to live with yourself either way.

  • johndowy on 18/12/2020 - 12:58

    How well are your finances going?

    • Careerdecisions on 18/12/2020 - 13:03

      If I were to be cut from work tomorrow we will be okay. Wifey is (has been) the bread winner in our household.

      • mskeggs on 18/12/2020 - 13:14
        +3

        Maybe you should be a dating/marriage advisor!

      • AustriaBargain on 18/12/2020 - 16:54

        Maybe you should be asking her for advice for career changes. She might have some kind of insight into your situation a bunch of random strangers online don't.

  • [Deactivated] on 18/12/2020 - 14:14

    You seem over educated for a financial planner. Especially a junior financial planner. Why don't you start your own business up?

  • tsunamisurfer on 18/12/2020 - 14:21

    I have worked in Superannuation, Investments and Pensions for over 10 years.

    Stay a financial planner, most of the (good) ones I know are rich!

    Some have suggested there is a huge amount to be made just on retirement planning.

    You have done the hard yards to get there already don't give it up.

  • mousie on 18/12/2020 - 14:59

    There's a huge growth in Demand Planning, and quite possibly transferrable skills. Just a thought (supply chain guy) + you work with predicative analytics.

    Every company that manufacturers or distributers products needs planners, and also this translates into work force scheduling too.
    Growth leads to senior management quite easily if you're good.

  • AustriaBargain on 18/12/2020 - 16:53

    Why don't you do something you enjoy, then whether or not the industry is shaky or it's hard work won't even matter because you'll enjoy it anyway. Or at least choose something you don't mind doing, so you don't mind putting up with the ins and outs.

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