Experts Weigh In On Current Job Market Trends
November 25, 2020
Given the change of course that has happened in the world, we wanted to provide expert opinions on what aspiring graduates can do to start off their careers in an uncertain economic climate. We wanted to know what skills will be more important, where the economy is doing relatively well, and if there will be any lasting effects on the job market.
Companies are looking for candidates that can handle the new responsibilities of the job market. Recent graduates actually have an advantage because they are comfortable using newer technologies and have been communicating virtually their whole lives. They can take what they've learned and apply it immediately.
We spoke to professors and experts from several universities and companies to get their opinions on where the job market for recent graduates is heading, as well as how young graduates entering the industry can be adequately prepared. Here are their thoughts.
Our Panel of Experts
Ohio Dominican University
CFA Institute
What are the biggest trends we'll see in the Wealth Management Advisor job market given the pandemic?
Dr. Douglas Karel Ruml: I believe that there will be continued home-based work, even after the pandemic is over: the need for time management and self-discipline. More analytics, science, technology, engineering, and math based majors will be needed.
What technology do you think will become more important and prevalent for Wealth Management Advisors in the next 3-5 years?
Dr. Douglas Karel Ruml: Fintech
Will there be an increase or decrease in demand for Wealth Management Advisors in the next 5 years?
Dr. Douglas Karel Ruml: An increase, as long as the financialization of the global economy continues.
What general advice would you give to a Wealth Management Advisor?
Margaret Franklin: To compete in the career race, new entrants need to sharpen not only their technical skills, but develop soft skills as well. A job in the investment management industry is much more than numbers. As an industry, we're becoming much better at capitalizing on diverse perspectives and skillsets to think about risk, return, and ultimately, what we're doing for clients more effectively.
Young professionals must also remain curious along their career path with a commitment to lifelong learning. In finance today, this is an absolute requirement. Our industry continues to evolve at a rapid pace, and none of us can afford to stand still. However, the basic tenants of hard work, professional learning, passion for what you do, and lateral skills are unchanged.
What technology do you think will become more important and prevalent for Wealth Management Advisors in the next 3-5 years?
Margaret Franklin: Artificial Intelligence will continue to enhance the investment process. There're two aspects that are important to the investment management industry: the first is making the business more efficient by democratizing financial advice and services to make them available to a wider array of audiences, the second is the ability to access more data to inform investment decisions to find greater risk-adjusted returns in the investment process.
Ultimately, the combination of human intelligence and artificial intelligence will add more value than either component can alone. This is the future of investment management.
How would you rate the starting salaries for Wealth Management Advisors, as well as the prospects for salary advancement?
Margaret Franklin: While starting salaries in financial services can vary quite significantly, based on a wide variety of factors, we know that: firms looking for a CFA charterholder are willing to pay an 8% premium, and CFA charterholders earn more than their peers by about 60%, according to our research.
