New Schwab Study Finds Next Generation Financial Professionals Drawn to Relationship Management Roles and Want to Create Careers on Their Own Terms
SAN FRANCISCO--(BUSINESS WIRE)--Charles Schwab and Texas Tech University celebrated the opening last week of the newly renovated Charles Schwab Personal Financial Planning Technology Complex1 at a ribbon cutting event attended by university faculty, students and financial professionals currently studying at Texas Tech for CE credits. Over the past several years, Schwab has contributed millions of dollars in support to universities and has developed programs to help mentor, train and provide hands-on learning experiences for future financial services professionals.
The Charles Schwab Personal Financial Planning Technology Complex at Texas Tech, originally constructed in 2009, is used today by more than 300 undergraduate and graduate students in the University’s Personal Financial Planning Department. It is an approximately 4,500 square foot facility that now includes two state-of-the art classrooms, a 16-unit technology lab, a high-tech conference room, and a recording room to produce high-quality distance education modules.
“Attracting young people to the RIA space is critical to the channel’s success going forward,” said Bernie Clark, head of Schwab Advisor Services. “We are honored to be working with Texas Tech and other universities to provide support for young people entering the business so that they can be strong champions for the independent advice model in the decades to come.”
In early February, Schwab conducted a study with students at Texas Tech to gain their perspective on the financial services industry.
Schwab Study Findings: Attracting and Retaining the Next Generation
Today’s developing financial advisors are gravitating to a career where they can interact daily with people and have a role in relationship management (69%), as well as do work that matters and help others achieve their goals (63%), according to a recent survey conducted by Schwab Advisor Services among more than 100 students studying Personal Financial Planning at Texas Tech University.
Additional study findings include:
“While they don’t want to go it alone, these young professionals are clearly seeking the opportunity to put their own stamp on their careers – a path clearly offered in the independent model,” Clark noted. “As the industry looks ahead to how it will meet the needs of a new generation of clients, we believe it is critical to cultivate the aspirations of the next generation of professionals and to help them become highly-skilled future business leaders.”
For detailed results, see the attached slide presentation.
Schwab’s Commitment to the Next Generation
In addition to Schwab’s efforts with Texas Tech University, the company is committed to developing the next generation of financial professionals and RIA leaders.
“With each of these initiatives and more, Schwab is focusing on making sure RIAs capitalize on the enormous opportunities ahead of them and that we create a direct connection between the next generation of advisors and the RIA firms of today,” said Clark. “Our goal is to help fuel RIA growth for generations to come and to ensure that the independent model remains a destination for students, advisors and individual investors alike.”
About the survey
Schwab Advisor Services conducted the survey during the month of February 2013 in conjunction with Texas Tech University. The questionnaire was completed online by 103 students currently enrolled in the Personal Financial Planning Program at the university. The respondents included Undergraduates (36%), Masters (35%), PhD (24%) and Advanced Bachelors to Masters (5%).
About Charles Schwab
The Charles Schwab Corporation (NYSE: SCHW) is a leading provider of financial services, with more than 300 offices and 8.8 million active brokerage accounts, 1.6 million corporate retirement plan participants, 874,000 banking accounts, and $2.01 trillion in client assets as of January 31, 2013. The Company was ranked ‘Highest in Investor Satisfaction With Self-Directed Services’ in the 2012 US Self-Directed Investor Satisfaction StudySM from J.D Power and Associates. Through its operating subsidiaries, the Company provides a full range of securities brokerage, banking, money management 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; compliance and trade monitoring solutions; 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. (0313-1836)
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1 The remodeling of the complex is made possible by funds from Charles Schwab Foundation and a donation of portfolio management software and packaged technology solutions including best practices workflows each by Schwab Performance Technologies® and Schwab Intelligent Technologies™.