Adapting to Changing Dynamics in Financial Services Recruitment

So, how do you stay ahead, attract top talent, and ensure you’re not left wondering why your best people are suddenly ‘exploring new opportunities’ on LinkedIn? Let’s dive in…

Hybrid Work Models

Even before the Covid pandemic upended traditional office life, flexible working was creeping onto the scene. Now? It’s not a ‘nice to have’ – it’s desired. Many employees want autonomy over their hours, remote work options, job sharing and yes, the ability to occasionally work in pyjamas.

• The good news? Most firms have already absorbed the costs of hybrid setups during lockdown
• The challenge? Keeping up with future investments in secure, scalable tech to support this new way of working without breaking the bank

As let’s face it, not many top Financial Planners are leaving their home office setup (or their dog) unless they absolutely have to, other than going to see clients (when not on video).

Demand for New Skills – The Rise of Digital Transformation

Fintechs are shaking up the sector, rolling out innovations like AI-driven robo-advisors and seamless digital banking experiences that can make some traditional financial advice companies look positively medieval. This means firms need tech-savvy professionals who can navigate data analytics, cybersecurity, and automation, without looking like they’ve just been asked to explain TikTok to their grandparents.

For companies, this isn’t just about investing in flashy new tech, it’s about ensuring employees and clients actually know how to use it. The demand for digital literacy isn’t slowing down, and if you’re not already hiring for these skills (or training your existing workforce), you’re handing a competitive edge to someone who is.

Want more on this? Check out our article: Wealth Technology: Reshaping Wealth Management Recruitment.

It’s one thing to know what employees want; it’s another to actually get them through the door and keep them there. So, with this industry now facing a shortage of skilled professionals and many retiring IFAs selling their businesses, creating an even bigger hole, what does a company need to offer to ensure they obtain and retain top talent?

Making sure you offer over and above what others are, is essential. It isn’t simply the competitive salary you offer, but that extra sparkle – aspects you may not have even thought about highlighting:

• Clear career progression
  • Where can advisers expect to be in five years?
  • What training and development opportunities do you actually offer (beyond the ‘we totally support CPD’ line)?
• Managers who do more than delegate: People don’t leave jobs, they leave bad bosses. Listen, acknowledge, and more importantly, act – so simple, but so effective
• A culture that isn’t just a corporate buzzword: Candidates see through ‘we value diversity’ statements that aren’t backed by real action. Build an inclusive culture where people genuinely feel they belong and aren’t afraid to be themselves

Thinking about and honing your EVP, your Employer Value Proposition, is a must!  It should be robust and attractive enough to create interest in your firm, but it should also really truly show off what is great about working for you, your unique values and ethos – that way you will attract those who share those values.  Check out our article on this very subject: Employer Value Proposition in Wealth Management Recruitment

With a great EVP you will ensure:

• Your wealth management firm is the place where people want to work
• Your financial services company is attractive to those who share the same values as you
• It will be a place that people choose, stay and thrive

A great EVP will ensure that you are showing people you understand what they want from a role, and then finding the best ways give it to them!

The broad strokes sound easy, don’t they!? So how do you adapt to the changes that are already happening and those heading your way?

If you thought keeping employees happy was a challenge, let’s talk about clients. Many want personalisation, seamless digital experiences, and 24/7 access to their financial information (because why wouldn’t they want to check their pension balance at 2 AM?). They want education and empowerment so they can actively participate in their financial decisions.

Obviously, there are some clients that aren’t that interested in technology and require a more personalised service.  However, that’s not to say, you can’t use technology behind the scenes and for onboarding so that you have more time to spend with them in person.

So, technology and personalisation it seems, is the way forward in all scenarios. What does this mean for recruitment?

It means hiring advisers who:

• Actually listen: Not just nod while waiting to speak – actively listen to what the client has to say
• Have empathy: Because clients don’t just want numbers; they want someone who understands their goals, fears, and occasionally, their obsession with vintage cars
• Operate with integrity: As we know, trust is everything – long-term partnerships are based on it, and in the era of Consumer Duty, lip service won’t cut it.  Genuinely put the client first…

Wealth management firms are drowning in a sea of compliance, with tighter rules around data protection, anti-money laundering, and ever-expanding oversight from the FCA. The solution?

• More paraplanners and administrative support to take the load off Financial Advisers
• Smarter use of RegTech (Regulatory Technology) to simplify compliance reporting – because manually trawling through paperwork is no one’s idea of a good time!
• Recruiting Financial Advisers who actually care about compliance – cutting corners now can mean FCA headaches later

There must be a greater emphasis on Financial Advisers caring about staying compliant for their clients from day one, and ensuring their administration is spot on.

Financial advice firms are prime targets for cyber threats, and with clients demanding remote access to their accounts, security risks are multiplying. This isn’t just an IT problem; it’s a hiring priority. Firms need professionals who can navigate the balance between accessibility and security.  No client wants their data stolen, but they also don’t want to go through a 12-step verification process every time they log in.

IFA firms will need to allow more time for assessing risk and threat in order to enhance resilience and keep client data safe.

The financial services industry isn’t just changing, it’s accelerating. The firms that embrace these shifts will attract the best talent, win over and retain clients, and future-proof their business. The ones that don’t? Well, let’s just say ignoring these trends is a fast track to becoming the Blockbusters of wealth management.

Financial services recruitment is no longer just about filling roles; it’s about finding people who can thrive in this evolving landscape. If you need help doing that, partnering with the right recruitment partner to actively advocate for you can make all the difference.

If you want to chat about hiring strategies that actually work, you know where to find us.  TheTeam here at Truestar Talent has on average 35+ years within financial services, and we’re here to help!