Career of last resort?
It was reported in an article on today’s issue of The Straits Times that “more job seekers are more willing to pursue a career in the sector during bad times”. While the bosses of the insurance firms welcome this as they build up their agency strength, I am not too optimistic on this development and think this will only give the industry more bad name.
It is an open secret that many view financial advisory as a tempory job, stop-gap measure or as a testing ground for a career change. The barrier to entry is low as there are just a few papers to clear before one can start selling. Note that I use the word sell and not provide advice. Many in the industry would sell on the features of certain products or use emotional selling to push the products. This can be picked up easily from the trainers and sales kits. To provide advice, one must have some sort of expert knowledge not only of the features of products but also its uses and implications and how it can help solve problems or meet objectives.
I get worried when fresh grads start joining the industry due to the depressed job market. Not that I don’t think they are not up to scratch but the question is: are they suitable? Not many people know what they really want in a job. But one must at least know what they don’t want. Without going through a normal job, the freshies would not be able to form a realistic opinion of the real job market and decide for themselves if it is suitable for them. This may cause them to throw in the towel easily and return to the job market when they meet obstacles. What happens then to those who have bought policies or invested with them?
Having a genuine interest is another important criteria. Things are always changing in the industry. Rules and regulation, product features, market conditions, new product classes etc. Without a genuine interest, it can be drying and draining to keep up with the changes. In addition, advisers should be able to unwrap beautifully packaged products and investigate its true value. Without genuine interest, one would not really bother. Without the correct information and knowledge, an adviser can do more harm than good. As Alexander Pope once said – A little knowledge is a dangerous thing.
Financial advisory carries alot of responsibilities. Make sure you are ready to carry them before joining the industry. Do not harm those who trusted you.
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Tags: Career
Hi Tiang Chuan,
I share your sentiments. I’m not against these people going into this line but if they are in it just to ride out the economic downturn, at least be frank to the consumer. Tell us why you decide to join the industry and if you see yourself hopping to another industry when the economy recover, let us know too.
Cheers!
Hi Derek,
There are quite a few reasons that lead to my decision to join this industry. Not going into details, the over simplified explanation is that there are Push and Pull factors.
Push factor is mainly my dis-illusion with the previous industry.
Pull factors is mainly interest.
I joined the industry when the economy is still booming. I think that answers your question.
Hi Tiang Chuan,
What you said is very true. Sometimes, their servicing agents changed so often to an extent that client themselves lost count.
I may write my view about this in my blog too and I hope to link this posting in it. Tks.
Hi Adrian,
Feel free to link to your blog.
When I read the headline, I thought career of last resort is cleaner, factory operator, or security guard. Then I found out that its financial advisor. Financial advisory is still a respectable and legal job, nothing wrong about it.
Hi Brendan,
I agree. Financial advisory, like any other profession, is a respectable job. If not, I wouldn’t have joined in the first place.
However, many consumers view advisers as another salesman just wanting to sell you something. Some practitioners does the industry no favors but behaving just like one.
The barrier to entry and retreat is low. If the person is not serious, he/she would be thinking “At the most, I’ll just find another job if I don’t make it after a few months” or conduct the business in an irresponsible way. Unlike other jobs, there could be great repercussions for those who have bought policies or invested with such people.