How wealth management firms are attracting advisors

To gain an edge, firms tout such things as their advisor-focused cultures, flexible work environments and entrepreneurial spirit. They’ve also established business development teams and roles with titles such as “chief experience officer” to support their recruitment and retention strategies.

IG Wealth Management, for example, launched a business development team last year to get the word out about opportunities at the firm. Lamba leads the team, which he said consists of well-connected industry leaders including Stéphane Dulude and Matt Andrews, who are vice-presidents of business development, as well as Neil Klempner, who is director of business development.

The team typically meets with interested advisors one on one to discuss what their vision and goals are for their practices, what is working well, and what their pain points are, Lamba said. During these conversations, the business development team shares information about IG, including its vision.

IG offers candidates in-person or virtual “test drives” of its products and technology, along with a chance to speak to advisors at the firm about how they do financial planning.

“For example, we will take them through a 45-minute technology demo showing them all of our systems … and how you use the tools to create efficiencies in their practice,” Lamba said.

“It’s saying, ‘Why don’t you go through a discovery and actually feel what it’s like to be here before you’re in here?’”

IG’s own advisors — who are given a financial incentive for referring other advisors — and regional offices also help recruit talent across the country.

As of Sept. 30, IG had $136.4 billion in assets under advisement (AUA). The firm doesn’t have specific growth targets, Lamba said, as it’s more focused on finding advisors who are “deeply committed” to planning and delivering client outcomes connected to their goals.

Another focus for the firm is recruiting more women, Lamba said. Women make up approximately 49% of IG’s new hires this year.

More than 16,000 financial advisors are expected to retire in the next decade, with close to 40% being 55 years or older, according to Fidelity research.

Lamba said he sees demographics as both a recruiting opportunity and challenge — older advisors may be looking to switch to a firm where they receive greater support for succession planning, and firms have to fill gaps left by baby boomers exiting the industry.

To get ahead of this issue, IG has an internship program, he said, which educates post-secondary students and graduates about working in wealth management.

“We still have to attract people who are not in the industry because we don’t have the volume to meet the demand,” Lamba said. “When I started, I was a student coming right out of university. I didn’t have a clue about the industry until somebody pulled me aside and brought it to life.”

IG also has a succession planning program, which gives retiring advisors “a guaranteed value of their book” based on a formula, with the transition administered internally, Lamba said.

Raymond James Ltd. brought in succession planning expertise to help its aging advisors ensure they’re “finding the right partners, [the plan is] structured appropriately and [they can] have the exit they want,” said Scott Hudson, executive vice-president and head of wealth management with the firm in Toronto.

The firm also offers independence, Hudson noted, saying Raymond James will be hiring 19 advisors and growing by $1.8 billion in assets this fiscal year. The firm currently has 515 advisors and $83 billion in assets under management (AUM), and aims to reach 550 advisors by 2027 and $100 billion in AUM in the next few years.

“The key for us is … talking about what’s unique” about the firm, Hudson said. “We put in advisor contracts that they own their books and they own their clients, and we respect that. It’s a strong advisor-focused culture.”

Listening to and responding to advisors’ needs is another part of that culture, Hudson said, because advisors at the firm are “free to leave at any time and take their clients with them.”

For smaller and newer players in the wealth management space, it can be tough to stand out among the big banks and legacy firms.

Designed Wealth Management co-founders Gillian Kunza and Michael Konopaski have experienced this first-hand.

“It’s definitely harder to somehow convince somebody to join a startup firm that’s only been around for a couple of years,” said Konopaski, Designed’s chief financial officer. “Really, we do many of the same things as TD Wealth and Raymond James, but we don’t have 150 years of history. We don’t have the tallest buildings in downtown Toronto.”

The independent dealer grew to more than 100 advisors and 40 head-office employees over the past three years, leveraging its LinkedIn presence and growing network of industry professionals to spread the word about opportunities.

Konopaski and Kunza, the firm’s CEO, attributed this growth to the fact that the firm encourages prospective employees to try new things and is thinking about how to keep people around from day one. They give candidates a snapshot of the long-term growth they can have working for the firm and the ability to explore working in different areas of the business they’re interested in.

“Rather than focusing on stock options or highest salary and those kinds of things, we really look at showing them the big picture of a growing company,” Konopaski said.

Designed provides flexible working arrangements for staff too. For example, Konopaski said in the past they tailored arrangements to support newer parents and other employees.

“When we talk about flexibility, it really is specific to employee A versus B versus C,” he said.

Diversity is another one of the firm’s strengths, Kunza said, noting “lots of people see themselves as part of and in our firm,” as the team is made up of a mix of gender, ages and talents. The firm especially resonates with up-and-coming professionals, Konopaski noted, with the average age of employees being between late 20s and early 30s.

Tech is another focus for Designed.

“I wouldn’t call us a fintech, but we have so many fintech components to what we do,” Konopaski said. For example, “With minimal human interaction, we can open an account in between five and 10 minutes.”

At Wellington-Altus Financial Inc., Steph Condra joined in January as executive vice-president and chief experience officer in Toronto, a role that sees her supporting Wellington-Altus advisors across the country and recruiting talent.

“When I’m thinking about finding talent, I’m often looking for those who are attracted to … being part of building, rolling up [their] sleeves,” Condra said, noting that the firm, founded in 2017, is relatively new.

Wellington-Altus, which recently established a debt partnership with Ares Management Corp. to fuel its growth goals, has $35 billion in AUA, and aims to reach $50 billion by November 2026.

Presenting Wellington-Altus’ image as one of growth and entrepreneurship has allowed the firm to resonate with advisors, Condra said. The firm has grown from 89 advisors teams in 2022 to more than 110 in 2024.

Advisors have “built their business from scratch, and so they are often very attracted to this idea of working in a company where everyone else is growing,” Condra said.

Wellington-Altus also gives its advisors a chance to weigh in on important issues at the firm, such as its strategy, budget and room for improvement, which Condra said gives them a greater sense of control and belonging.

When speaking to prospects, Condra shares stories of how the firm supports its advisors and helps them transition to the firm.

For example, she tells the story of a newly recruited advisor in Victoria who was greeted at their doorstep by a team of colleagues, offering to help them in their transition while they focused on connecting with clients.

“Culture is something that can be hard to articulate,” Condra said. “I think advisors need to see it, and they need to feel it.”