The Advice Gap, Shrinking Youth Numbers — and My Perspective at 43
The FTAdviser published a concerning statistic on 12th March 2024 that stated that over the last 18 months, the number of young financial advisers has declined notably, while the ranks of older advisers have grown. This trend raises alarms about a potential “advice gap,”. If not many younger advisers are joining the industry, we’re going to feel the lack of new perspectives down the line and possible future issues with continuity.
As someone who is 43 years old and deeply invested in this industry, this story hits home for me personally. I’ve been in the financial services industry long enough to see cycles of optimism, regulatory shifts, technological disruption, and the changing expectations of clients. The decline in younger adviser numbers isn’t just a statistical curiosity — it’s a wake-up call for all of us who want this profession to endure and evolve.
Below, I explore what’s behind the drop, what it means for firms and clients, and how someone midway through their career (like me) can help shape the next generation.
Why Are Fewer Young Advisers Joining the Industry?
The above FTAdviser article outlines some of the factors commonly mentioned in industry conversations:
- Increased regulatory burden — The compliance, qualification, and oversight demands placed on financial advisers have intensified. For someone new just starting out, that barrier to entry can put people off. FT Adviser
- High cost of training and certification — The expense (both time and monetary) of obtaining credentials, passing exams, and staying current can deter people who are unsure whether the early years pay off.
- Financial pressure in early years — Starting advisers can often work for lower incomes whilst they face building a client base from scratch and may struggle with cash flow in their early journey.
- Changing career preferences — Younger generations value flexibility, work-life balance, and purpose. The traditional model (long hours, hierarchical firms, commission-driven growth) may appeal less than it once did.
- Lack of visibility or recruitment pathways — If young people don’t see advisers as relatable role models or clear entry points, the profession may simply feel inaccessible.
These challenges are real — but not insurmountable. As I reflect from my viewpoint at 43, there’s a role for mid-career professionals to act as bridges, mentors, and advocates for change.
What Does This Mean?
If the young adviser pipeline weakens, there are several risks:
- Succession risk: When older advisers retire, who steps up? A decrease of fresh talent can lead to gaps in service or client abandonment.
- Innovation stagnation: Younger entrants often bring new ideas, tech-savviness, fresh client-centric perspectives. Losing those voices may slow adaptation.
- Capacity constraints: Demand for financial advice continues to grow (e.g. as people live longer, face more complex retirement/wealth decisions). Fewer advisers means heavier workloads and less time per client.
- Diversity & inclusion challenges: Younger entrants tend to improve diversity in backgrounds, gender, ethnicity, perspectives. Shrinking numbers could exacerbate homogenization.
- Client trust and generational alignment: Younger clients may prefer advisers closer to their own age or those who understand modern life challenges. A profession dominated by older advisers may struggle to connect.
My Lens at 43: Where I Stand & What I Can Do
At 43, I’m neither in the “young adviser” bracket that’s shrinking nor in the “near-retirement” group. I sit in the middle — a stage of experience, optimism, and responsibility. Here’s how I view the situation and what I believe I (and others at this life stage) must do:
- Be a Mentor and Sponsor
Having navigated the early years, I can help newcomers shortcut mistakes, avoid burnout, and understand what works. Mentorship (formal or informal) is critical: introducing young people to the reality of the role, helping them network, providing support in regulatory or technical topics.
- Advocate for Better Entry Pathways
We need to lobby firms, trade bodies, and regulators to ease or phase in requirements, subsidize training, or create apprenticeship or trainee adviser tracks. Making entry more accessible keeps ambition from being stifled at the door.
- Modernize the Model
I can lean into technology, flexible working, digital client engagement, and new product/fee models to demonstrate that financial advice can be attractive and future-proof. Younger recruits are drawn to modern, mission-driven, adaptable work environments. If my firm (or mine) can model that, I can help prove its viability.
- Build Bridges Between Generations
Encouraging multigenerational teams — pairing experienced and younger staff — allows mutual exchange of wisdom and fresh thinking. Younger folks bring digital fluency; those with more experience bring judgment, emotional intelligence, and resilience.
- Lead by Example in Professionalism & Purpose
Part of what deters entrants is perception — that this is a commission-first, “salesy” industry. I can show that it can be ethical, client-first, meaningful. That framing can attract people who care about impact, not just income.
Call to Action: Strengthening the Future of Advice
As the FTAdviser article warns, the decline in younger adviser numbers is not just worrisome — it’s a structural issue for our industry’s sustainability. FT Adviser But it’s also an opportunity:
- For mid-career professionals (like me), to step up, mentor, advocate, modernize.
- For firms and regulators, to rethink recruitment, training, and barriers to entry.
- For prospective advisers, to see the challenges — and the possibilities — with eyes wide open.
If you’re reading this as someone in your 20s or 30s considering the adviser path: don’t be discouraged by headlines. Seek out supportive firms, get mentorship, push toward innovation.
If you’re in a firm or leadership role: consider how you can support adviser development, reduce friction, and make the profession more accessible — because the health of the entire industry depends on it.
At 43, I feel duty and optimism. The next generation deserves a profession that’s dynamic, trusted, and inclusive. Let’s rise to that together.