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TD Ameritrade Institutional Offers Registered Investment Advisors a Talent Pipeline for Tomorrow's ClientsGood help should get easier to find for independent registered investment advisors ("RIAs"), thanks in part to a series of next generation talent initiatives at TD Ameritrade Institutional1. One of the country's largest custodians for RIAs, TD Ameritrade Institutional has launched the RIA NextGen Career Exchange, the industry's first free job and resume posting site for RIAs and job seekers. The firm this year also is expanding its Next Generation Financial Planning Scholarship & Grants program to include two new awards focused on diversity, for a total of 12 scholarships per year. The latest initiatives are part of TD Ameritrade Institutional's larger effort to help RIAs nationwide attract and groom new talent to serve the next generation of investors, replace the thousands of baby boomers nearing retirement and meet the growing need among American investors for advice. The U.S. Bureau of Labor Statistics forecasts a 27 percent job growth rate for personal financial advisors through 2022, nearly three times the national average 11 percent rate for all occupations. Yet those born between 1981 and 1997 - the Millennials - have yet to find their way to this career path.2 Only 5 percent of advisors are under the age of 35,3 while fewer than 700 students completed bachelor's degrees in financial planning in 2013, not nearly enough to address a growing demand for financial advice.4 "As an industry, we need to do more to promote diversity and bring younger people into the mix," said Tom Nally, president, TD Ameritrade Institutional. "By creating a job posting hub for RIAs we can more efficiently connect students with career opportunities. And by expanding our scholarship program to include a focus on diversity, we can help identify talented young people who might not otherwise consider a career in financial services." Creating Pathways to Connect with New Talent In the past, students pursuing careers in financial planning, and RIAs with a need for new talent, had no go-to resource dedicated to bringing them together online. Through TD Ameritrade Institutional's new NextGen Career Exchange, students can post resumes and search for jobs and internships, while advisors can post job and internship openings and search for qualified candidates. After creating an account, both students and RIAs can use the site free of charge. Also new in 2015: two financial planning scholarships designated specifically for women and minority students, groups that have been historically underrepresented in the RIA profession. The lack of diversity in the RIA workforce could be a challenge for advisors hoping to serve a changing, younger client base. Roughly 40 percent of Millennials are ethnically diverse, compared to about 25 percent of Baby Boomers (1946-1964), according to the Pew (News - Alert) Research Center.5 TD Ameritrade's own research found that when it comes to financial matters, the wealthiest Millennials prefer to work with someone who is like them.6 "We need to forge new pathways for seeking out diverse talent, because our people are the future and face of the RIA industry," said Nally. "Younger investors are building their own nest eggs and stand to inherit trillions in wealth. If RIAs don't have the right people in place to engage them, someone else will." Starting in 2015, TD Ameritrae Institutional's expanded scholarship line up will provide 12 students with financial resources to help them pursue a career in financial services. Previously the firm had awarded 10 scholarships of $5,000 each annually to students pursuing a bachelor's degree in financial planning. Though students from all backgrounds have always been encouraged to apply, the additional two scholarships ensure that going forward, the winners will represent a diverse cross-section of talent. Shoring up the Foundation for Next Gen Advisors Since its initial commitment of $2 million in 2013 to raise awareness about RIA career opportunities, TD Ameritrade Institutional has been a leading advocate for cultivating the next generation of advisors. Taking a multi-pronged, multi-year approach through its RIA Intern Network, which has connected with more than 500 advisors since it launched in 2014. In addition to the NextGen (News - Alert) Career Exchange, the RIA Intern Network offers advisors guidebooks and webcasts to establish and run effective internship programs. Interns have their own career-building webcast series. Both groups can stay connected and learn about TD Ameritrade events and resources through a closed LinkedIn (News - Alert) Group. Through its annual NextGen Grant Program, TD Ameritrade Institutional is also working to encourage the development and expansion of financial planning education offered by secondary academic institutions. During 2014, University of Georgia was awarded a $50,000 grant for its established program and Texas A&M University received the inaugural $25,000 award for schools with emerging programs. TD Ameritrade also recently announced that it agreed to a separate, multi-year sponsorship with Texas A&M University to support the development of the school's Financial Planning Program. The sponsorship also helped the school create a new TD Ameritrade Institutional Director of Financial Planning position, filled by Dr. Nathan Harness. "We're committed to fostering the next generation of advisors on three levels - directly, through scholarships; academically, through grants to fund education programs; and practically, by connecting promising new talent with established RIAs with an appetite to grow," said Nally. "Our goal is to go beyond simply increasing the entry-level ranks and instead help ensure junior advisors are better prepared over the long-term." Recipients of Next Generation Financial Planning Scholarship are attending TD Ameritrade Institutional's National Conference this week in San Diego, along with 50 students from financial planning undergraduate programs nationally. During the conference, students will have opportunities to hear from the industry's thought leaders and to connect with advisors for internships and potential job placements. TD Ameritrade Institutional is a leading provider of comprehensive brokerage and custody services to more than 4,500 fee-based, independent registered investment advisors and their clients. For More Information For more information, including updates on industry affairs and news impacting RIAs, visit our blog TDA4Advisors, follow us on Twitter (News - Alert) @TDA4Advisors and connect on LinkedIn. For more information about TD Ameritrade Institutional, please visit www.tdainstitutional.com.
About TD Ameritrade Institutional
About TD Ameritrade Holding Corporation Brokerage services provided by TD Ameritrade, Inc., member FINRA /SIPC Source (News - Alert): TD Ameritrade Holding Corporation TD Ameritrade is separate from and not affiliated with researchers, educators, students or other third parties, and is not responsible for their statements, data, policies or content.
1TD Ameritrade Institutional is a division of TD Ameritrade,
Inc., a brokerage subsidiary of TD Ameritrade Holding Corporation.
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