The following article discusses the career path of Financial Advisor. Learn about how to become one, education requirements, job duties, traits and qualities, national salary outlook as well as top national employers of Financial Advisors.
Financial advisors usually work for private financial institutions, including mutual fund companies, banks, and insurance companies. Often, they work with individual clients to ensure their financial needs are properly understood and to help them meet their goals. They help make investments such as bonds, stocks, real estate, and the money market, ensure taxes are paid properly, and help to make insurance decisions.
Financial advisors are planners. They understand long and short term goals, including such things as a child’s potential educational expenses, but also retirements. Based on that, they make recommendations based on what a client’s personal goals are.
Other job duties of a financial advisor are:
- To speak to individuals in order to gain information about their goals and capabilities
- To maintain existing clients and attract new clientele
- To advertise financial products and plans that ensure their financial goals are being met
Where We Work
According to the U.S. Bureau of Labor Statistics, there were 271,900 personal financial advisors in 2016. The largest employers of these professionals were:
- Securities, commodity contracts, and other financial investments and related activities: 51%
- Self-employed workers: 24%
- Credit intermediation and related activities: 13%
- Insurance carriers and related activities: 5%
- Management of companies and enterprises: 3%
How to Become
It is usually recommended to have a bachelor’s degree in finance, business, accounting, or a related field. Often, work experience is also required. In some cases, applicants must pass Series 6 and Series 7 depending on their role. They also have to gain an understanding of all relevant local, state, and federal laws and keep up to date with those.
Typically, a bachelor’s degree is the minimum requirement for a personal financial advisor although a Finance MBA or Master’s degree will have you earning more. The major is of lesser importance, although most do prefer law, mathematics, business, accounting, economics, or finance. They should also complete courses in risk management, estate planning, taxes, and investments. It is becoming increasingly common for colleges to offer financial planning courses.
Once on the job, these professionals also complete further training. They start by being supervised by senior advisors. Slowly but surely, they will work their way up to more senior positions, taking on more complex cases.
If a financial advisor wants to sell or buy bonds, stocks, or insurance policies, or if they want to provide more specific investment advice, they have to be licensed to do so, with each product requiring its own license. They may also have to register with the Securities and Exchange Commission (SEC) or with their state regulators. Most certifications and licenses are available through the North American Securities Administrators Association.
The Certified Financial Planner (CFP) certification is a particularly popular certification. However, someone must have been employed in the field for at least three years before they can become certified. It also requires an examination and a commitment to adhere to a code of ethics. Those who also complete a master’s degree, and particularly the master’s in business administration (MBA) have the greatest chance of career advancement.
Traits & Qualities
The most effective financial advisors have the following traits to some degree or other:
- Excellent analytical skills
- Strong interpersonal skills
- Great mathematical skills
- Excellent sales skills
- Strong communication skills, and particularly speaking skills
The national average salary estimate for Financial Advisor was $64,188. This number is estimated from over 1,427,324 employees, users past and present job advertisements from Indeed.com. This equates to an hourly salary of $33.43 and monthly of $5,349.
- Most Reported
Salary by State
The following section lists Financial Advisor salaries in each state around the country. The figures are based on the total number of job postings through Indeed.com. For example, Alaska had the largest quoted salary of $108,800 while Mississippi had the smallest quoted salary of $25,656.
Top 20 National Employers
According to Indeed.com, the following states had employers looking to hire a Financial Advisor. The quoted salary figure represents the average salary from all job postings by this employer.
|Employer Name||Location||Average Salary|
|Shingold Financial Advisor||Texas||$250,000|
|Willis Consulting, Inc. Financial Advisor||Connecticut||$250,000|
|Hamilton Mayer Financial Advisor||New York||$229,783|
|Conserva Resources, Inc. Financial Advisor||New Jersey||$225,000|
|Quiet Professionals LLC Financial Advisor||Virginia||$201,898|
|Career Solutions, LLC (placing for firm described) Financial Advisor||Michigan||$200,000|
|Royce Ashland Group, Inc. Financial Advisor||New York||$200,000|
|Camarda Wealth Advisory Group Financial Advisor||Florida||$200,000|
|CUNA Mutual Group Financial Advisor||Indiana||$200,000|
|Multinational Company Financial Advisor||Maryland||$200,000|
|Network. Houston Financial Advisor||Texas||$194,029|
|360eMed Financial Advisor||New York||$194,029|
|BTG PACTUAL US CAPITAL LLC Financial Advisor||New York||$186,694|
|SC Career Search Financial Advisor||Georgia||$183,859|
|Cube Management Financial Advisor||New York||$179,240|
|National Securities Financial Advisor||New York||$173,209|
|Accounting Career Network Financial Advisor||Georgia||$167,020|
- Financial adviser – Wikipedia
- Personal Financial Advisors : Occupational Outlook …
- NAPFA – The National Association of Personal Financial …
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|Supply Chain Analyst||$66,387|