One-third of female advisors may quit in next 12 months, feeling unsupported

investmentnews.com:

The wealth management industry’s efforts to attract and retain female professionals aren’t working fast enough for many women, who feel unsupported.

With CFP Board stats showing that the percentage of women CFP professionals has only increased by 0.2% to 23% over the last decade, Carson Group’s State of Women in Wealth Management considers what can be done to attract, retain and support female advisors.

The firm asked 276 financial advice professionals about the impact of female advisors on client relationships and how underrepresentation can be addressed.

Perception is perhaps the first place to start, as the survey found that men and women agree (59%) that there has been an increase in the representation of female financial advisors during their careers. But while 92% of women respondents said that underrepresentation is a problem, just 68% of men said this.  

Recently, Karen Altfest, executive vice president at Altfest Personal Wealth Management, shared with InvestmentNews her insights into the industry’s gender diversity challenge and the business case for a greater share of female advisors.

The Carson report confirms the opportunity that a more gender-balanced industry would bring, given the estimated $30 trillion in financial assets that women are set to control as a result of wealth transfers through 2030.

It found that many women executives prefer to work with a female advisor, and this enables a deeper connection and stronger client relationships.

How can the industry accelerate the share of women working in wealth management?

The report highlights several ways to move the needle, starting with making the industry more attractive to young people who are still figuring out what they want to do. It found that only