More than four in every five financial advisers (84%) believe that a coordinated effort by trade bodies and financial services providers is needed to attract more advisers into the industry, new research has suggested.

Findings published by Canada Life have suggested that sustainable growth for advice firms hinges on their ability to “acquire and retain top-tier talent”.

A new research paper, State of Flux, was sponsored by Canada Life and conducted by financial services consultancy, AKG, and explored the current market conditions that advisers are experiencing, and what the possible implications are for the future of the advice market.

According to the adviser research, which was based on a study of 100 advisers, three quarters (75%) think the Government should consider sponsoring an initiative to help recruit advisers into the industry, while 58% agree that more should be done by schools and universities to educate and inform students about a career in the financial advice industry.

“For financial advisers, acquiring and retaining top-tier talent not only offers a competitive advantage, but it’s a fundamental pillar for sustainable growth,” said managing director of retirement at Canada Life, Tom Evans. “The future of the advice industry hinges on firms’ ability to attract, nurture and retain the best and brightest minds.”

Canada Life also revealed that 71% of advisers felt the onus is on them to attract talent and suggested that the entire financial services industry – including providers, advice firms and trade bodies – needs to develop its own programme.

Similarly, 66% of respondents thought they should expand their apprenticeship programmes to attract and train potential future talent.

Evans added: “As the complexities of the market continue to evolve, and younger clients start coming through, a skilled and diverse team is essential to meet their needs. Alongside this, advisers told us through the research that technology, and increasingly AI, will have a role to play in helping drive efficiency and therefore create capacity to service a wider client base.

“In a dynamic and fast-moving market, by investing in talent development and training, alongside the tech stack, firms will not only ensure their own sustainability, but are also contributing to a robust and resilient financial ecosystem.”

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