How to Change Wealth Management's Lack of Diversity

Brian Ross, CEO at Flyer, believes that bigger firms and their leaders will inspire long-term change. He points to Sallie Krawcheck and Ellevest as examples of leadership and progress.

But grassroots movements will catalyze short-term progress, driven by younger, diversified entrepreneurs. As this generation grows their businesses, and as other diversified talent ascend in bigger businesses, diversity will be the norm, not the exception. 

For folks who are on the cusp of breaking into the wealth management industry as entrepreneurs with new ideas, these key messages are for you:

1. Wealth management wants to help: There are companies and individuals in the industry that want to help diverse groups start and grow their own business, including private equity investors who can't necessarily make their intentions public.

2. Don't be afraid to ask businesses you're looking to partner with if they can help or point you in the direction of someone who is looking to invest capital into either minority-owned or diversity-minded firms. You may be surprised to hear that they are ready, able and willing to help in ways they're not publicly advertising.

3. The industry is ready for you: Asset-Map pledged half of ticket sales from their AdviceTech.LIVE event to the CFP Board's Center for Financial Planning's Diversity and Inclusion Initiative, which provides education and mentorship programs. Don't be afraid to engage organizations to ask how you can network with their members and take advantage of their resources.

4. The industry needs your help: For those who are brave enough to come in and live by example, you'll find that we've been waiting for you.

Even writing this piece — as a female president in the industry with a diverse network — I found it difficult to come by actionable resources to point readers in the right direction. If you reach out to share your initiatives — even to this writer — the industry will embrace it.

As we reflect a year later, it's hard to admit that measurable change is lacking, nor is it quick.

We must support young, diversified businesses early to welcome the next generation of talent into the industry, as well as into our own businesses. Because it won't be until we can quantitatively measure results that we can honestly declare that change occurred. 

Until then, we must hold ourselves accountable and support each other. We must acknowledge that change does not come without challenge. And we must continue to strive to be more than just the sum of our words. 

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Kirsten Plonner is president of FiComm Partners, an integrated PR and Marketing agency servicing the independent wealth management industry and broader financial services community.