It seems that, in the past couple of years, everyone became an investor. Huge numbers of Americans are buying stocks, investing in real estate, and taking their financial futures more seriously.
All of this is indicative of a major shift towards wealth, with many of us now dedicating serious resources to building a secure financial future. This is where financial advisors come in.
A financial advisor is a professional who helps clients build their wealth and make their money work for them. It is also a highly rewarding career path. Read on to find out how to become a financial advisor.
1. The Numbers
First off, let’s break down the numbers behind the financial advisor industry. For starters, the median financial advisor salary is high, clocking in at over $89,000 a year.
Meanwhile, the best financial advisors in the top 25% of the profession earn a median salary of $157,000 a year.
Meanwhile, there are more than 218,000 financial advisors currently offering their services in the US. Growth is also set to be strong, the number of financial advisor jobs in America increasing by 5% over the next decade.
2. How to Become a Financial Advisor: Qualifications
To become a financial advisor, you need the right qualifications. First and foremost, you will require a bachelor’s degree. It does not need to be in a subject such as economics or business, but should not be totally unrelated.
Nearly all financial advisors possess a bachelor’s degree in America, and you may struggle to get your licenses and certifications without one. Ideally, you should also consider a more specialized master’s degree in finance or business, to really set yourself apart.
3. Get Your Licenses
On top of your degree, there are certain licenses and certifications that will make you more qualified and help you attract high-value clients. There are also licenses that you might legally need to have, depending on your services.
For example, if you plan to sell securities and bonds to clients, you must pass a Securities Industry Essentials (SIE) exam. Always obtain the correct licenses beforehand so that you do not get caught short.
4. Get Real-World Experience
You will struggle to attract clients if you do not have bonafide experience working with people to build their wealth. This is why you should pursue internship opportunities as soon as possible.
A completed internship at a major wealth management company such as Blackrock or Prudential, which take on thousands of interns every year, will have a dramatic positive impact on your future prospects.
5. Build Your Practice
Once you have the experience and the credentials, it’s time to build your financial planning practice. The most important ingredient for success is clients, which means you will have to master the art of marketing yourself and your skills.
You can find dedicated resources on industry marketing for financial advisors that will teach you how to attract the high-value clients you deserve.
Launch Your Career in 2022
Learning how to become a financial advisor could be the best thing you ever do. You can boost your salary, be your own boss, and help people in your community build a prosperous future for their families. In 2022, we are no longer wasting our time on jobs that don’t matter to us.
If you’re ready to jumpstart your dream career, you have come to the right place. Our Business & Finance section contains actionable, expert advice on how to build the career you want, no matter your starting point.