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Are you interested in becoming a financial advisor? Or determining which avenue you want to pursue in your career? Financial advising is a lucrative and rewarding career choice. They help clients manage their money, investments, and assets to achieve their financial goals. In addition to being financially rewarding, a career as a financial advisor also provides the opportunity to make a meaningful impact in people’s lives. What could be better? So which financial advisors make the most money?
But not all financial advisor jobs are created equal. Different certifications, degrees, and qualifications demand different salaries. So, which financial advisors make the most?
The Top 5 Highest Paying Financial Advisor Jobs
Wealth management is one of the highest-paying financial advisor jobs. They work with high-net-worth individuals and families to manage their investments and assets. Plus, they provide personalized investment strategies and financial planning services to help clients achieve their long-term financial goals. Wealth managers typically earn a percentage of the assets under management, which can result in a high salary for successful advisors.
Investment banking is another high-paying financial advisor job. Investment bankers help companies and organizations raise capital by underwriting and selling securities like stocks and bonds. They also provide advisory services on mergers and acquisitions, debt and equity offerings, and other financial transactions. Investment bankers typically earn a combination of base salary and performance-based bonuses.
Certified Financial Planner
Next on our list is Certified Financial Planners (CFPs). These are financial advisors who have earned the CFP certification. They provide comprehensive financial planning services, including retirement planning, tax planning, estate planning, and investment management. Instead of corporations, CFPs typically work with individuals and families to help them achieve their financial goals. Salary is earned through commissions on products they sell, service fees, or a combination.
Insurance Sales Agent
Insurance sales agents sell insurance policies to individuals and businesses. They help clients understand their insurance needs and recommend policies that meet their requirements. Insurance sales agents can earn a high salary through commissions on the policies they sell. Successful agents can earn even more by building a large client base and selling high-value policies.
Lastly, some financial advisors work for brokerage firms. They provide investment advice and recommendations and help them buy and sell securities. Successful financial advisors at brokerage firms can earn a high salary by building a large client base and selling high-value investment products.
Financial Advisor Jobs Salary Comparison
Just as the jobs of financial advisors can vary, so can the salary. Which financial advisors make the most money? It depends. And, it’s important to note that salaries can vary depending on location, experience, and the company’s size.
The below figures are the current estimated salaries for the top 5 highest paying financial consulting jobs, according to Comparably.
- Wealth Management: $100,000 – $300,000+
- Investment Banking: $100,000 – $300,000+
- Certified Financial Planner: $60,000 – $150,000+
- Insurance Sales Agent: $30,000 – $150,000+
- Brokerage Firms: $50,000 – $150,000+
Skills Needed to Become a Successful Financial Advisor
To become a successful financial advisor, specific skills and traits are essential:
- Strong communication skills: Financial advisors must communicate complex financial concepts clearly and understandably to their clients.
- Analytical skills: Next, financial advisors need to be able to analyze financial data and make informed investment recommendations.
- Sales skills: Financial advisors must be able to sell clients their services and investment products and handle objections.
- Time management skills: Financial advisors must manage their time effectively to meet with clients, research investment opportunities, and stay up-to-date on industry trends.
- Relationship-building skills: Lastly, financial advisors must build and maintain strong client relationships.
Financial advisors can take courses, attend industry conferences and seminars, and participate in networking events to develop and enhance these skills.
How to Start a Career as a Financial Advisor
Ready to start a career in finance as a financial advisor? Here are the steps you should take:
- Get an education: Most financial advisors have a bachelor’s degree in finance, accounting, economics, or a related field. Some financial advisors also have a master’s degree in finance or a related field.
- Gain experience: Many financial advisors start their careers by working in entry-level positions in finance or related fields, such as banking or accounting. This can help them gain the necessary skills and experience.
- Obtain licenses and certifications: Financial advisors must have specific licenses and certifications to practice, depending on their services. These could include a Series 7 license, Series 65 or 66 license, state insurance license, Certified Financial Planner (CFP) certification, or the Chartered Financial Analyst (CFA) designation, depending on their career and specialty.
- Build a client base: Financial advisors need clients to succeed. This can be done through networking, referrals, and marketing efforts. Marketing efforts can include financial seminars, educational workshops, and webinars.
- Stay up-to-date on industry trends: The financial industry is constantly changing, so financial advisors must stay updated on industry trends, new products, and regulations. The best way to do this is through reading industry publications, attending conferences and seminars, and participating in continuing education courses.
The Final Figures
In conclusion, several financial advisor jobs can lead to high salaries. To become a successful financial advisor, it’s essential to have strong communication, analytical, sales, time management, and relationship-building skills.