A Queensland-based financial planning firm has launched an ‘adoption programme’ to boost the number of younger entrants into the industry.
Kris Martin, managing director of KDM Financial and Estate Planning, in Lutwyche, Queensland, was concerned about the number of adviser exits and the reputation of the industry.
Only 163 new and provisional advisers had entered the market since 2019, according to research by Wealth Data.
To combat this, the firm had launched an ‘adoption program’ where a senior adviser gave an information seminar at local education providers. This was aimed at those studying finance or economics and covered why it made a rewarding career choice.
It also looked to employ university graduates in its intern programme where they were placed into a training program for 12 months with a senior adviser.
“Because of these stringent educational requirements, many financial planners are leaving the industry, because they are unwilling or unable to adhere to them,” Martin said.
“I am concerned we are in big trouble and see it as the time to make changes in order to ensure longevity of the financial planning sector in Australia.”
He said planners had previously been “treated with contempt” but that the higher educational standards that had come about as a result of the Royal Commission meant this would change in the future.