In the rapidly evolving world of financial planning and advice, ambitious and highly motivated women have made strides in advancing their practices. For some, the profession has been a gateway for women to improve the financial well-being of individuals and families in their communities. Yet, the challenges of finding mentors and new clients have often hindered their progress.
Career progress is key to retaining and onboarding women advisors. The need to bring more women into the industry is critical—in 2021, Cerulli Associates noted that women and minorities remain “drastically underrepresented among financial advisors,” with women accounting for 18.1% of the financial advisor headcount, although they are about 50% of the U.S. population. Progress would close the gender pay gap: A 2024 Forbes Advisor/Embed survey showed that advisors have one of the largest gender pay gaps, and men earn 58% more than women in the same role. Furthermore, factors such as race, ethnicity, and socioeconomic background intersect with gender to create unique challenges for minority as well as underrepresented women advisors.
The solution, in our experience, is to support women by building programs that provide opportunities for mutual support. Giving women a chance to work in groups or teams enables them to move further, faster, and thrive in their careers. Teaming with another advisor has been a proven driver of success, and it should be deployed as a program across our industry if women and other underrepresented advisors are to succeed.
Why Teaming, Why Now
Time Constraints. The demand on women's time remains relentless, with many still shouldering the role of primary caregivers while navigating the demands of the office, even after the pandemic. Teaming emerges as a beacon for women advisors, offering flexibility beyond solo practices: Not surprisingly, the approach has received high marks among women advisors, and clients benefit from a continuous support system, ensuring there's always an advisor available to assist them. To make this system work, however, it’s important to encourage team members to establish clear communication channels, define the roles and responsibilities of each team member to avoid confusion and ensure accountability.
Prospecting Challenges. Many women advisors have experienced remarkable progress by transitioning from solo practices to team environments. Previously, they hustled alone, building a client base over a decade. Joining trade associations, such as the Financial Planning Association, helped them network, build new skills, but attending conferences cost time and money. Teaming not only accelerates business growth, but sharing the work can provide a normal workweek, marking a significant shift from the nights-and-weekends grind, because the initiative seamlessly blends with an advisor’s regular schedule. Through Teaming, advisors and planners can level up, provide holistic service—from managing money, investment and financial planning—and leverage the skills of a team. Clients benefit too, with more services on offer. However, it’s important to remember to break down larger team objectives into smaller, achievable tasks, and track progress regularly to stay on course. Celebrate milestones and achievements along the way.
Teaming Is About Nurturing New Talent. Team structures provide avenues for bringing young women into the industry, creating a nurturing environment for their growth. Rather than a sink-or-swim approach, Teaming allows young women to learn by working side-to-side with experienced advisors. For those advisors, bringing on new talent creates succession opportunities. Mentorship only works however, when there is reciprocity between mentor and mentee, a commitment to collaboration, even creating a supportive environment for sharing and learning complementary skill sets. Without mutual respect and support, building strong working relationships remain unrealized as a goal.
Efficient Engagement. In today's tech-savvy world, web-based platforms and technology integration enhance productivity and connectivity: A woman advisor at my firm, who has worked for three decades, tells me she has integrated more technology and app-based communications into her workday, thanks to support that’s structured to connect remote advisors and foster a culture that counters isolation. She also finds her clients are more efficient and engaged when both advisor and client are using the same apps and technology to meet the client’s needs.
Historically, women in the financial advice industry have faced obstacles in accessing networking and team-building opportunities, slowing down their progress. Despite challenges, the best women advisors have persevered, fueled by a genuine concern for the people they serve. Teaming emerges as a powerful tool to support women throughout their careers, enabling them to pay it forward and reach new heights. By fostering collaboration and support, we can empower more women of all backgrounds to overcome obstacles and continue making meaningful contributions to financial planning.
Patrick Hynes is head of field sales for Prudential Advisors and leads strategy for a group that includes roughly 3,000 financial professionals.