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Industry Spotlight > Women in Wealth

3 Pieces of Career Advice From One Female Advisor to Another

By Kate Redden

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What You Need to Know

  • Some women might hesitate to enter the wealth management field because of a negative perception of the industry.
  • Wealth management careers can offer women stable, rewarding environments in which they can grow.
  • Seeking out mentors and being upfront and honest with colleagues and spouses can help women create and walk an intentional career path.

Last year, women comprised less than a quarter — 23.6% — of all certified financial planners. The 23% figure has been a ceiling for years, even as the overall number of women within the profession rose in 2022.

What is keeping more women from entering the profession? Beyond lack of representation, we know that long-held stereotypes like the “Wolf of Wall Street” trope are still a major problem, leading many women to paint the entire industry with a broad brush.

This is unfortunate. Unlike the clubby, hard-driving world of investment banking, we all know that the wealth management industry is about cultivating stable, long-term relationships and helping people. Financial advisors must master softer skills such as effective communication, critical thinking, problem-solving and empathy — traits often associated with women.

What’s more, since the pandemic, banking and finance have been far more likely to prioritize flexible work environments. Throughout my career, I’ve been fortunate to work at a firm that has allowed me to carve out my own path, one that didn’t force me to make the impossible choice between work and family. And this is increasingly becoming the norm within our industry.

Are you are looking to find and draw women to your registered investment advisor firm? Or are you reentering the workforce or considering changing careers? I’ve found that wealth management offers women a stable, rewarding environment in which they can grow, both personally and professionally. Here are some tips to help female advisors navigate their career journey:

1. Find a Strong Mentor

Whether you work in finance, medicine or any other profession, having a mentor to guide you can make a huge difference in the long arc of your career — and it’s also good for the mentor. One study found that 87% of mentors and mentees feel empowered by the relationship, reporting greater confidence and career satisfaction.

Additionally, both mentees and mentors were promoted more than their counterparts without mentors. When interviewing for roles, consider whether your prospective manager is willing to support you in your work and family life. If not, it might not be the right environment for you.

Early in my career, I told my boss that though I was single and not even dating, I wanted to eventually get married and start a family and needed to make sure my career would be able to fit with my life goals. Not only was he fully supportive; he encouraged me to create a plan that would allow me to achieve that flexibility.

Years later, after my oldest son was born, I was the first person at the firm to work remotely. I reduced my book of business by giving half my clients to a younger advisor and temporarily stepped away from new business development. But seven years later, when my youngest started kindergarten, I was able to gradually increase my responsibilities.

Fortunately, my boss had the foresight to see my value. Though I decreased my workload to work with fewer clients, he knew that those clients would be in good hands. Further, he understood that the shift to part-time work wouldn’t be forever, and that by allowing me to live my best life, I could give even more back to my work and clients.

2. Have a Support System at Home

To succeed on the job, it’s important to have strong partnerships at home. Statistics show that women still bear the brunt of domestic work. According to Deloitte’s Women @ Work 2023: A Global Outlook, 46% of women who live with a partner and have children say they do most of the child care, while 34% say that it is an equal split. Further, 37% of respondents say they prioritize their partner’s career — typically because their partners earn more.

Often, in dual-income households, men expect their wives to cover unexpected situations — if, for example, a child is sick. It’s important to have open and honest dialogue with your partner. Discuss who has more capacity on any given day. Relationships are about give and take, and women with supportive partners are far more likely to be able to advance in their careers.

3. Rethink Work-Life Balance

From “leaning in” to “having it all,” we’re constantly resetting expectations for working mothers.

While work-life balance has become the buzzword of choice over the past few years, I see it as a misnomer that pits work and family against one another rather than seeing them as parts of a whole. I prefer to think of it as work-life mix — more like a pie chart, with individual slices getting bigger or smaller based on your stage of life.

When kids are young, the family slice is bigger, but the picture changes as kids grow older, leaving more time not only for work, but for friends, community and other passions.

Wealth management is an extremely rewarding industry, one where women can build lifelong relationships, problem-solve and help clients through the most important moments in their lives. Since the start of the pandemic, women at all stages of their careers have been reevaluating their priorities and changing career paths. And many have made their way into the wealth management industry.

In addition to considering a career in wealth management, women should be intentional about their futures, thinking carefully about their career goals, seeking out mentors and being upfront and honest with both colleagues and spouses. If you have a clear picture of what you want and understand the sacrifices you must make along the way, you can create a rich life that allows you to fulfill your full potential, both personally and professionally.

Kate Redden, CFP ChFC and CKA, is a regional director and financial advisor at Merit Financial Advisors.

Photo: Shutterstock

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