Finance Recruit: Careers in Banking
Financial Planner / Investment Advisor (from CMC’s “Careers in Business” Guide)
Financial Planning and Investing
The terms “Financial Planner” and “Financial Advisor” will be used interchangeably, although the meaning of these titles can vary somewhat from one financial services setting to another. Financial Planners work with clients to plan and achieve certain financial goals. Financial Planners offer a variety of services such as analyzing client assets, liabilities and cash flow, current insurance coverage, investments, or tax strategies. After recommendations have been set by the planner they will either follow through or coordinate the process between the client and other professionals like attorneys. Depending how long the relationship lasts, Financial Planners usually meet with clients yearly or after any life changes like marriage, disability, or retirement. Much of a personal financial advisor’s time is taken up by marketing, as it is very important to build a strong client base by word of mouth referrals. Planners have to make sales calls, and some even give seminars or lectures to potential clients to market their services and expertise.
Financial Advisors can either work for financial services firms or independently. They can also specialize in a number of areas such as retirement and estate planning or risk management. To work as a Financial Advisor, a bachelor’s degree in accounting, finance, economics, business, mathematics, or law is recommended. In Canada, Financial Planners also need certain credentials such as the Canadian Securities Course (CSC) and Personal Financial Planner (PFP), which are administered through the Canadian Securities Institute. Another useful credential is the Certified Financial Planner (CFP), which is administered by the Certified Financial Planner Board of Standards, and requires a bachelor’s degree, three years of relevant experience, passing an examination, and adherence to the organization’s code of ethics.
There are also Investment Advisors, who advise clients about which individual securities to invest in. They earn their fees on a commission basis: for every purchase or sale they make, the brokerage house with which they work charges a fee and pays them part of that fee. Given that Investment Advisors work on commission, people sometimes fear that they put "making the sale" above the client's best interest (of course, if they "churn" clients' accounts - that is, make trades for no good reason - they are in violation of provincial securities regulations and are operating against their long-term interests since they depend on referrals for new business).
Given that Financial Planners and Investment Advisors are in a position to either help or hurt clients dramatically, and they labour against the suspicion that they may really be serving their own interests first, they need exceptionally good interpersonal skills. Gaining clients' trust is critical for retaining them as customers and obtaining new referrals from them. Because their clients are not highly skilled investors with whom institutional securities salespeople interact, it is particularly important that Financial Planners and Investment Advisors know how to communicate information well. Also, given that clients can sometimes become very emotional when it comes to their own money, Financial Planners and Investment Advisors must be able to navigate their relationships with customers in a sensitive and diplomatic manner.
Finance Recruit: Careers in Banking
Financial Planner / Investment Advisor (from CareerLeader)
Careers in financial planning and stock brokerage cover a wide range of activities. Professionals in these arenas include:
retail stock brokers who sell stocks, bonds, and other investment instruments to individual clients independent financial planners who help clients decide how much life insurance they should have, what kinds of mutual funds they should invest in, how much they should save for retirement and their children's education, etc. personal investment managers who make investment decisions on behalf of clients whose funds they manage (including trust-fund accounts) private bankers, or private client-services providers
Financial planning and stock brokerage differ in:
the training and legal licensing they require the breadth and depth of their responsibilities their compensation methods
However, they share a focus on managing the finances of individual clients. This focus contrasts with that of investment fund managers, who make investment decisions for entire groups of people (such as investors in a mutual fund, or employees who have retirement funds). As such, financial planning and stock brokerage are professional service businesses, like medicine or law.
Financial planners help clients make decisions about long-term financial issues. They typically charge an hourly or flat fee -- though some who offer advice regarding mutual funds charge a percentage of the assets a client has invested.
Stock brokers advise clients about which individual stocks and bonds to invest in. They earn their fees on a commission basis. For every purchase or sale they make, the brokerage house they work with charges a fee and pays them part of that fee. Because brokers work on commission, people sometimes fear that they put "the sale" above their clients' best interest. Of course, if brokers "churn" client accounts -- that is, make trades for no good reason other than to earn commissions -- they violate Securities and Exchange Commission regulations. They also operate against their own long-term interests, since they depend on referrals for new business.
Personal investment managers are compensated based on the amount of money they manage (their "assets under management"). As a result, they have no reason to make trades that might not be in their clients' best interest. On the other hand, since they earn a percentage of client assets regardless of how well they manage those investments, some clients worry that there's no incentive for these managers to work as hard as they can.
Financial planners and stock brokers need extraordinary interpersonal skills for several reasons:
They're in a position to help or hurt clients dramatically. Their clients are always suspicious that they may be serving their own interests first. Their clients aren't highly skilled investors, and may become very emotional when making decisions about their own money. Finance Recruit: Careers in Banking
Therefore, to keep existing customers and get new referrals from them, professionals in this field have to win their clients' trust. They can do so by communicating complex information clearly to clients, and by using sensitivity and diplomacy in navigating their relationships with customers.
INTERESTS
The key factor for a career in Financial Planning and Stock Brokerage is a high interest in Quantitative Analysis (compared to other Business Core Interests). Most satisfied, successful business professionals working in this career hold this as a very strong interest. If your interest is relatively weak, this is likely to present a problem. One of the reasons these professionals chose this career -- and are successful and satisfied in it -- is precisely because it matches their interests.
Financial planners and stockbrokers will also have an interest in Influencing Others. In working with individual investors, these professionals have to constantly focus on building and maintaining relationships with their clients. In some careers, becoming a "rainmaker" and bringing in new clients is the key to success at more senior levels (for example, management consulting and law). But, to succeed in a career in Financial Planning and Stock Brokerage, you have to be a rainmaker from the beginning. If this is a strong interest, this is a part of the career you will enjoy. If it is not, you have to be willing to do it anyway. People who underestimate the importance of "sales" in this career, or who are simply not willing to accept that it is a critically important part of their job, will not succeed.
Enterprise Control will be an interest for some people in this career -- specifically, people who are drawn to it out of a sense that as financial planners and stock brokers, they are essentially entrepreneurs running their own businesses.
Finally, Coaching and Mentoring is a strong interest for some. In their role as trusted advisors, these professionals learn a great deal about their clients' lives, concerns, ambitions, dreams, and fears, and tailor their recommendations to each clients' unique needs.
MOTIVATORS
The ways people are rewarded in this, or any other career, can vary greatly from company to company, group (within the organization) to group, even manager to manager. Like what is required of you, the rewards you are likely to get early in your career are likely to be different in your mid- or later career years (and not only in pure compensation).
In addition, how people define rewards differs - and sometimes dramatically, from person to person. One person's "exceptional financial reward" (Financial Gain) may make another cringe, and turn away. One person's good Lifestyle means no travel, no weekends, and no evenings. While another's good Lifestyle means no travel on weekends, home by 10:00, and weekend work mostly being done from home.
These are the rewards that are, by most people's definition, generally found in this career. But, remember to take into account how you define each of the motivators CareerLeader assessed:
Altruism: As noted in the discussion of interests, this career can allow for a feeling of helping other people. Autonomy: Financial planners and stock brokers are free agents. No one watches over them. So, as long as they bring in assets or commissions, they can operate in any way they please. In this sense, they enjoy even more independence than many salespeople do. Lifestyle: Because of the independence this career offers, and because the work involves little travel and manageable hours (based on the financial markets' hours of operation), these professionals generally have time for non-work activities, as well as control over their time. In fact, since financial Finance Recruit: Careers in Banking
planners and stock brokers often make client contacts through social activities (membership in country clubs, fraternal societies, health clubs, charitable organizations, etc.) as well as through family activities, this career even promotes a vibrant social life. Financial Gain: Although the early years may be somewhat difficult as these professionals work to establish a client base, they can eventually make in the multiple six-figure range in annual compensation. However, these numbers don't necessarily translate into Security, as market fluctuations can lead to boom and bust times for these individuals as well as for the economy. Recognition: Satisfied clients certainly recognize the value their brokers and planners bring. Unfortunately, in market downturns, they can also attribute their losses to those same brokers and planners, paying them unfortunate negative attention. Depending on the culture and compensation structure of the organization, bonuses provide another element of recognition. Variety and Intellectual Challenge: Financial planners and stock brokers, who enjoy analyzing individual securities and markets, find a great deal of these two rewards in their work. However, those who focus on the sales aspect may not experience these rewards to the same degree.
SKILLS
The skills listed below are most critical for success in this career. Of course, how important they are relative to each other may change over time, and skills not listed here may become important later in your career. Also, a skill not on this list can be important if it is a marked deficiency. For example, Openness to Criticism -- one of the skills not seen here -- may not be essential to success in this career. But, being virtually incapable of accepting critical feedback, in a non-defensive manner, will almost certainly result in failure.
Naturally, financial planners and stock brokers must be comfortable with financial issues and analysis. They must also have the competitive drive and "people skills" that are necessary for success in any sales-related position.
A successful career in Financial Planning and Stock Brokerage requires:
Ability to Teach: Clear and patient when explaining things; a good teacher. Comfort with Risk: Takes risks when appropriate, isn't afraid to innovate and experiment. Critical Thinking: Able to think critically (define a problem and determine the information needed to solve it; understand unspoken assumptions; form and test hypotheses; and judge the validity of conclusions). Gaining Trust: Inspires other people's trust. Influence: Can influence and persuade other people, even without direct authority. Listening Skills: Listens to other people in a way that they feel understood. Oral Communication: A skillful public speaker, good at presenting ideas and plans in a persuasive manner. Persistence: Doesn't get discouraged and give up on things easily. Projection of Confidence: Projects self-confidence, even in uncertain and difficult situations. Quantitative Analysis: Skillful in using quantitative analysis to understand business issues. Resilience: Handles pressure and psychological stress well. Sociability: Socially venturesome and self-assured; forms new relationships easily and works to maintain them.
Finance Recruit: Careers in Banking
Financial Planner / Investment Advisor (from CSI.ca’s “Career Planning Map”)
Financial Planner
The Financial Planner's job is to provide financial planning advice and services to clients. Financial planning is a key service provided through many sectors of the financial services industry. Some Financial Planners may also be licensed to sell insurance, mutual funds or other securities. Some may work on a commission-based basis while others work on a fee-only basis, and still others may have a combination of both. Banks and investment dealers also employ Financial Planners to provide financial planning advice and aid the work of their Investment Advisors and Representatives who deal directly with clients. Success requires strong technical competence in all areas of financial planning, as well as a good working knowledge of estate planning, tax and family law. Most importantly, a Financial Planner must be able to communicate effectively, particularly when dealing with the complex needs of high-net-worth individuals and businesses.
Responsibilities include:
. Consulting on financial planning strategies including securities, insurance, pension plans, and real estate and the development of financial plans for individuals and businesses . Establishing individual financial plans and helps customers build investment portfolios, including stocks, bonds, mutual funds, etc. based on their financial needs and objectives . Assisting customers with financial planning strategies and selecting the best products to support that strategy . Bundling banking services to meet clients day to day banking needs and counsels customers regarding a wide variety of financial matters . Expanding existing relationships and develops new customer relationships through prospecting, networking, and referrals
Alternate Name
Financial Advisor
Earning Potential
$60,000-$100,000/year Earning potential can potentially exceed the maximum stated based on commission and fees for the individual Investment Advisor performance and place of employment.
Finance Recruit: Careers in Banking
Investment Advisor
The Investment Advisor's job is to discover a client's personal, financial, and risk tolerance profiles to identify investments and strategies suitable to the unique needs of a client. Using an understanding of the capital markets and product knowledge, the Investment Advisor has an ability to connect the client profile to the development and implementation of a customized investment policy statement to accomplish the client's goals.
Responsibilities include:
. Monitoring stock market and industry trends likely to affect clients' investments . Meeting with clients, by phone or in person, to discuss these trends . Advising clients on the products or services that suit their needs and objectives . Arranging the purchase or sale of stocks, bonds and other investment products on behalf of investors within regulatory boundaries and firm policies . Prospecting, building and retaining a client base . Staying up-to-date on current investment products and markets
Alternate Name
Registered Representative, Financial Advisor, Wealth Advisor, Investment Executive
Earning Potential
$60,000-$250,000/year Earning potential can potentially exceed the maximum stated based on commission and fees for the individual Investment Advisor performance and place of employment.
Wealth Manager
The professional wealth adviser discovers a client's personal life-style choices, financial needs and risk management profile and connects them to the development and implementation of a customized wealth plan to nurture prosperity and security over the client's life cycle.
Responsibilities include:
. Building and managing client relationships that result in a successful partnership . Establishing realistic goals and making recommendations leading to the creation and implementation of an optimal comprehensive life-long wealth management plan . Establishing and implementing wealth accumulation and management strategies that may include sophisticated and complex approaches to achieve life goals . Collaborating with clients to preserve wealth and optimize the conversion of assets into income that will meet life long, life-style expectations Finance Recruit: Careers in Banking
. Developing and implementing a wealth transfer plan that reflects the wishes of the client and the needs of the family . Coordinating and monitoring a trusted and respected team of experts to provide a fully integrated, well- rounded wealth management service . Using advanced business marketing techniques for building a wealth management practice
Alternate Name
Wealth Advisor, Wealth Professional
Earning Potential
$100,000-$250,000/year
Finance Recruit: Careers in Banking
Sample Job Posting: Financial Advisor Trainee @ TD
Financial Advisor Trainee
TDBFG Description TD is a great organization powered by great people who want to make a difference every day. Our over 81,000 employees world-wide are a big part of what makes TD stand out from any other organization. Every day, we deliver legendary customer and client experiences to our approximately 19 million customers. We’re an award- winning organization that reinvests constantly to ensure future growth.
We’re recognized as an extraordinary place to work that embraces diversity, where everyone is respected and valued. TD is the sixth largest bank in North America by branches, with many exciting and challenging career opportunities in our four key businesses:
• Canadian Personal and Commercial Banking - including TD Canada Trust and TD Insurance • Wealth Management - including TD Waterhouse and an investment in TD Ameritrade • U.S. Personal and Commercial Banking - including TD Bank, America’s Most Convenient Bank • Wholesale Banking - including TD Securities
Department Overview TD Canada Trust is our TD Bank Financial Group business focused on Personal and Small Business banking serving more than 11 million customers nationally. TD Canada Trust provides financial products and services through its branch-banking network, telephone, internet banking, and “TD Green Machine” automated banking machines.
Job Description Your first 3 to 6 months will include on-site coaching in one or more of our retail branches, as well as several online courses to provide comprehensive training before assuming full responsibilities as a Financial Advisor.
As one of the senior advice providers in the branch, the Financial Advisor understands the banking and financial needs of customers, and provides appropriate advice and recommendations. The role will be the primary contact and resource for large/complex investment and credit needs, often dealing with high value customers, and will be responsible for meeting or exceeding specific individual and team based business goals. You will manage customers’ portfolios and use basic wealth management and debt management concepts to meet your customers' financial needs. You will also engage in proactive activities such as lead and participate in campaigns, foster relationships with external centres of influence and referrals to provide optimal sales and service results.
Job Requirements You have a university degree or community college diploma, hold mutual fund accreditation and are ready to complete the Certificate in Financial Services Advice (CFSA) program or have already completed an equivalent program. You also possess strong sales experience, great people skills and possess strong leadership skills.
Finance Recruit: Careers in Banking
Sample Job Posting: Investment Advisor @ RBC
Position Purpose:
RBC Dominion Securities is Canada’s leading full-service investment and wealth management firm, in both discretionary and non-discretionary assets.
More than 400,000 clients entrust us with more than $180 billion of their assets*. As a distinct and unique business within RBC, we benefit from our association with Canada’s largest and most trusted financial institution, while maintaining an independent focus that results in active decision-making and efficient delivery of our services.
RBC Dominion Securities is a part of RBC Wealth Management Canada.
RBC Dominion Securities is currently hiring both new and veteran Investment Advisors to build long-term advisory relationships with affluent and high net worth clients.
Our Investment Advisors are wealth managers who build trusted, often multi-generational, relationships with business owners, individuals, families, charities and foundations based on personalized service and advice. Our clients entrust us with their financial assets to help them realize their most cherished life goals. As an Investment Advisor, you will customize a wealth management and investment management plan to meet the individual needs of your client.
RBC Dominion Securities provides extensive support and resources to help you build a successful wealth management practice. Our industry-leading portfolio advisors, wealth management specialists and business development consultants are dedicated to supporting our Investment Advisors in creating a superior client experience. Working from the branch environment, our Investment Advisors have the freedom and flexibility to build a practice that fits their lifestyle and unique skill set. In addition, our highly competitive and comprehensive compensation program recognizes and rewards personal initiative.
This role is ideal for a high-performing sales professional who has a strong drive to succeed and who is comfortable in a commissioned sales role. If you have a strong entrepreneurial spirit and the networking skills to build long-term, professional advisory relationships, we would like to meet with you.
Key Accountabilities:
What we’re looking for:
You are sales-oriented, self-motivated/managed, disciplined and responsible with a strong work ethic. You have well-developed listening skills and an ability to interpret client needs. You have a talent for networking and enjoy seeking out new clients through referrals from professional advisors, working with community associations and asking for referrals from previously satisfied clients. You can foster relationships with other RBC partners (banking, insurance, capital markets) to bring the best of RBC to your clients. You are self-assured, outgoing and have a strong determination to succeed.
Finance Recruit: Careers in Banking
For individuals who want to build a career in wealth management, RBC Dominion Securities offers industry- leading support, including:
Continuous education and extensive training for new and veteran Investment Advisors. A dedicated management team that is focused on helping you grow and manage your business. Virtually unlimited investment solutions backed by top-ranked research, portfolio strategy that consistently outperforms the benchmark S&P/TSX, and Canada’s most accomplished Portfolio Advisory Group specializing in equity and fixed-income investments. North America’s largest team of wealth management specialists to provide one-on-one support to help you address your clients’ financial, retirement, tax, estate planning and charitable legacy needs.
Knowledge / Experience:
Must have entrepreneurial spirit to build a book of clients through networking, cold calling, prospecting, referrals, seminars, etc. Strong communication and presentation skills. Must be results-focused. Mandatory: Canadian Securities Course. Preferred: Proven success in sales and business development, regardless of industry/discipline. Preferred: Completion of Conduct & Practices Handbook, PFP, CIM.
Finance Recruit: Careers in Banking
Sample Job Posting: Investment Analyst @ iCube Capital Management
Investment Analyst Overview Multi-strategy multi-discipline growing investment advisory firm seeks a talented and ambitious Investment Analyst located at Vancouver HQ. This is a unique opportunity offering exposure to all facets of investment management process. Reporting directly to Chief Strategy Officer, the Investment Analyst will assume a key analytical role in the evaluation of investments in all asset classes. Responsibilities include research, analysis, and reporting.
Duties & Responsibilities
Due diligence and evaluation of safety, liquidity, risks, and potential return under various market scenarios; Advisory support to clients’ investment managers in execution of overall portfolio positioning; Maintaining close watch on the changing economic trends in markets and collection, analysis, and interpretation of market data; Development of sound and detailed recommendations and suggestions in selection of stocks, bonds, and other instruments; Portfolio stress testing and sensitivity analysis; Investment performance measurement using analytical techniques; Regular creation and generation of concise and accurate reports; Valuation of direct investment opportunities; Ad hoc analytical support.
Requirements & Qualifications
University degree in Business Management, Finance, Economics or related disciplines; MBA from a reputable business school, or CFA designation is an advantage; 3-5 years of experience in securities analysis and/or asset/portfolio management. Hands-on experience in technical trading is a plus; Thorough understanding of derivatives, portfolio construction techniques, and performance measurement; Ability to take initiative and to manage multiple priorities to timely and successful conclusion; Strong verbal and written communication skills; Exceptional attention to detail and thorough working practices with the ability to digest and process both qualitative and quantitative data to reach informed and logical decisions.
Finance Recruit: Careers in Banking
Sample Job Posting: Investment Advisor @ CIBC
CIBC Wealth Management is focused on providing excellence in relationship-based advice, service and product solutions that meet our clients’ needs. We have a comprehensive offer that addresses the full spectrum of wealth building clients, from self-directed investors to high net worth private wealth individuals to institutional clients.
CIBC Wealth Management is comprised of three areas — distribution, product and money management. Our distribution network includes our full-service brokerage, CIBC Wood Gundy, and CIBC Investor’s Edge, our online brokerage.
CIBC Wood Gundy offers in-depth investment expertise on a comprehensive range of investments including industry-leading managed solutions, securities (equities, bonds, trust units, mutual funds, alternative investments), as well as estate planning. CIBC Wood Gundy’s extensively trained and accredited Investment Advisors help clients build and preserve their investment portfolios.
Relevant Job Criteria: - You must have prior legal authorization to work in the location for which you are applying. - Relocation assistance is not available with this opportunity. - Travel to Toronto for the in-class training program is mandatory.
Job Overview:
CIBC Wood Gundy is a leading full-service brokerage firm. As a division of CIBC World Markets Inc., we offer Investment Advisors and clients unparalleled opportunities, research and strengths. As part of the CIBC Group of Companies, we provide a powerful brand name, access to skilled professionals throughout the organization and a host of other selling features to ensure success.
Investment Advisors are expected to build and maintain their own portfolio of high net worth clients through various prospecting methods, i.e., telemarketing, networking, seminars, trade shows and various other sales and marketing tools/methods. Drawing on the unified strengths of the CIBC Group of Companies, CIBC Wood Gundy provides Investments Advisors with the ability to present to clients a broad array of products and services. Through CIBC Wood Gundy, individual equities and fixed-income offerings of all types, a variety of managed products, third-party investments and insurance, and other comprehensive solutions to meet client’s financial needs are available.
This role is a unique opportunity for results oriented individuals who want to take their financial career to exciting new levels. CIBC Wood Gundy offers a comprehensive 6 month training program to effectively build an excellent foundation of skills to guarantee success. A competitive compensation package (annualized salary commensurate to knowledge and experience) provides support to incumbents during the training period and while they build their business.
Finance Recruit: Careers in Banking
Requirements:
- Proven track record of success with 5 to 10 years of work experience in finance, sales, or entrepreneurial ventures. - Working knowledge of Business/Finance/Economics acquired through the combination of a university degree within a related field, and/or related work experience. - Knowledge of investment products and services. - Superior levels of interpersonal/relationship building skills are required to effectively network, prospect and build strong, positive and trusting client relationships. - Excellent self-discipline, time management and organization skills sufficient to meet multiple/tight deadlines in a high-pressure environment. - Developed writing skills sufficient to prepare proposals and presentation/seminar material. - Well-developed interactive/presentation skills sufficient to convey both factual and conceptual information and ideas to clients. - Demonstrated learning agility. - Proficiency and working knowledge of PC software applications. - Fluency in other languages are considered an asset.
Required Industry Courses: - Successful completion of Canadian Securities Course is required prior to start date. - Additional financial accreditation or designations would be considered an asset (PFPC, CFP, CFA, CA, etc.)
Job Complexities/Challenges: - Ability to attract and develop a client base at a consistent pace over time. - Dealing with competing priorities in an unstructured environment. - Establishing client confidence and trust. - Keeping abreast of market conditions/trends and changes to legislation and product platforms in an area that is subject to frequent changes. This includes analyzing the information/trends and applying it to individual client circumstances.
Attributes: - Relationship Building - Results Orientation - Service Orientation - Initiative - Confident
Skills: Accountability Agile/Adaptable Building Trust Confident CSC - Canadian Securities Course Finance Initiative Investment Banking Services Organizational Skills Relationship Building Sales Service Orientation Teamwork & Partnering