Survey Reveals Entrepreneurial Spirit,
Frustrations of Established Financial Reps
Examining the Mindset of U.S. Financial Professionals, a survey
released today by Schwab Independent Branch Services, finds that
while client-facing financial professionals are generally fulfilled
and optimistic about their careers, they are brimming with
entrepreneurial drive and drawn to independence. The majority of
survey participants care deeply about their work and are pleased
with their jobs, yet 76 percent say they have experienced obstacles
that have limited their success, citing lack of support and limited
autonomy.
The 994 survey participants, who have worked in the financial
services industry for at least seven years and interact with
investors once a week, prioritize clients’ happiness over
everything, yet 73 percent wish they could better assist clients
and had more time to make an impact in the communities they
serve.
Schwab Independent Branch Services launched in December 2011 to
accelerate growth in new markets by attracting successful financial
advisors to run franchise branches that complement Schwab’s
existing company-managed branches. Today there are 44 franchise
offices in 24 states.
“These survey findings reflect common perspectives that we’ve
heard when talking to candidates about running our franchise
branches,” said Craig Taucher, senior vice president, Schwab
Independent Branch Services. “Their clients are at the heart of
what they do; some want to be employees within established firms,
but many feel they can serve clients more effectively by operating
totally independently. Our hybrid model is the ideal solution for
those who want the best of both worlds.”
Focused on client service and optimistic about the
future
By and large, survey participants report that making clients
happy is a top priority and see a bright future ahead for their
industry:
- Eighty percent are optimistic about the
future of the industry, and 82 percent feel it is going in the
right direction.
- Seventy-seven percent would recommend
the industry to a recent graduate.
- Seventy-one percent agree that recent
and impending regulations benefit clients.
Continually improving the client experience through innovation
(78%) is crucial, according to those surveyed. In fact, 86 percent
say that the financial industry has changed more in the last five
years than in the previous 15 years, and 76 percent believe that
new technology is changing the industry to the point where it will
be unrecognizable in 10 years.
Fulfilled, but not without frustrations
Those who participated in the survey say their profession is the
most important thing to them (61%). The vast majority (86%) feel
successful; however, respondents did identify a number of obstacles
that they’ve encountered in their careers:
- Forty-one percent say they’ve had
negative experiences in their professional lives that still keep
them up at night, and 26 percent fear compromising their personal
values.
- Sixty-nine percent don’t regret
anything about the professional path they’ve taken, but 71 percent
wonder what life would be like if they had taken a different
professional path.
- Thirty percent of those who experience
obstacles say they are too busy servicing existing clients and lack
support to pursue new business.
- Twenty-six percent say they’ve been
promised things by employers that were never delivered.
“We frequently hear from those who are confined in the
traditional model that they are drawn to the opportunity to own a
Schwab franchise because they are struggling with competing
priorities, trying to be all things to all people, and hitting a
ceiling in terms of their growth, professionally and financially,”
said Christine Baker, head of franchise sales, Schwab Independent
Branch Services. “They see our model as transformational: one that
enables them to create a business that is based on seeing through
the client’s eyes and can fully align with their personal values
and growth appetite.”
A strong desire for independence abounds
When reflecting on their careers, 46 percent of those surveyed
wish they had built something from scratch.
The majority feel that independence is important for those who
work in the financial services industry, and many expressed a
desire to gain more personal control over their careers:
- Sixty-eight percent consider themselves
or aspire to be entrepreneurs.
- Fifty-eight percent say it’s important
to be masters of their own destinies.
- Fifty-five percent dream of owning
their own businesses.
- Forty-seven percent say they want to
build something new overall.
The survey findings reveal some feelings of discontent and
frustration; notably, 80 percent say they are ready to take their
career to the next level, and 63 percent are ready for a
change.
To learn more about Schwab Independent Branch Services, visit
www.schwabfranchise.com.
About the Survey
This online survey of U.S. financial professionals was conducted
by Edelman Intelligence for Schwab Independent Branch Services.
Edelman Intelligence is neither affiliated with, nor employed by,
Charles Schwab & Co., Inc. The survey is based on 994
interviews and has a 3 percent margin of error. Survey respondents
are U.S. residents over 18 years old who have worked in the
financial services industry for at least seven years. All data is
self-reported by study participants and is not verified or
validated. Respondents participated in the study between March 8
and March 23, 2018. Detailed results can be found here:
www.aboutschwab.com/press/research.
About Schwab Independent Branch Services
The Schwab franchise opportunity is a model for entrepreneurial
financial advisors with deep industry experience and strong
community roots who want to run a business that reflects their
values. IBLs nurture strong client relationships with the
operational support, vast resources, products/services, and brand
recognition of Charles Schwab. Independent Branches are run by
Independent Branch Leaders (IBLs) who are independent franchisees
and registered representatives and investment advisors of Schwab.
They are licensed independent contractors, not Schwab
employees.
About Charles Schwab
At Charles Schwab we believe in the power of investing to help
individuals create a better tomorrow. We have a history of
challenging the status quo in our industry, innovating in ways that
benefit investors and the advisors and employers who serve them,
and championing our clients’ goals with passion and integrity.
More information is available at www.aboutschwab.com.
Follow us on
Twitter, Facebook, YouTube and LinkedIn.
Disclosures:
The Charles Schwab Corporation (NYSE: SCHW) is a leading
provider of financial services, with more than 345 offices and
11.0 million active brokerage accounts, 1.6 million corporate
retirement plan participants, 1.2 million banking accounts, and
$3.31 trillion in client assets as of March 31, 2018. Through its
operating subsidiaries, the company provides a full range of wealth
management, securities brokerage, banking, money management,
custody, and financial advisory services to individual investors
and independent investment advisors. Its broker-dealer subsidiary,
Charles Schwab & Co., Inc.
(member SIPC, www.sipc.org), and affiliates offer a
complete range of investment services and products including an
extensive selection of mutual funds; financial planning and
investment advice; retirement plan and equity compensation plan
services; referrals to independent fee-based investment advisors;
and custodial, operational and trading support for independent,
fee-based investment advisors through Schwab Advisor Services. Its
banking subsidiary, Charles Schwab Bank (member FDIC and an Equal
Housing Lender), provides banking and lending services and
products. More information is available
at www.schwab.com and www.aboutschwab.com.
This advertising, and the franchise sales information within it,
is not intended as an offer to sell, or the solicitation of an
offer to buy, a franchise. It is for informational purposes only.
Currently, the following states regulate the offer and sale of
franchises: California, Hawaii, Illinois, Indiana, Maryland,
Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island,
South Dakota, Virginia, Washington and Wisconsin. If you are a
resident of one of these states, or if you wish to operate a
franchise in one of these states, we will not offer you a franchise
unless and until we have complied with any applicable pre-sale
registration and disclosure requirements in that state.
©2018 Charles Schwab & Co., Inc. All rights reserved.
211 Main Street, San Francisco CA 94105 (1- 877-520-6470) MN
Franchise Registration Number: F-6699
(0618-8V7P)
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version on businesswire.com: https://www.businesswire.com/news/home/20180618005195/en/
The Charles Schwab CorporationMeredith Richard,
212-403-9255Meredith.Richard@schwab.com
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