What Gen 2 Advisors Want and What Gen 1 Needs to Hear
Out of left field, I’ve had a big spike this quarter in advisor/owners asking for help in finding the next generation of top talent advisors. Now, this isn’t out of left field for the industry, but it was surprising (to me) that so many advisors approached me with the request and were willing to invest for results.
Why is this such a big challenge for our industry? Aside from the obvious, which is the top-heavy age demographic we are facing, highly successful advisors are only interested in strong talent and gritty character. Where do you find these young recruits, and just as importantly, how do you attract them to your firm?
Let's take a quick look at what I am seeing by having conversations with both sides of this discussion.
What do top performers want in the next generation?
In most of my discussions around this question, founders often assume the second generation just wants equity faster. Many indeed care about ownership, but what they’re really chasing is alignment.
Professional Vision: I’ll define my terms in a minute, but I would describe Gen 2 advisors as wanting a seat at the table. This rarely means day-one equity, but it does mean a clearly defined path to the “someday” career they want. What are they working toward financially and in terms of job description? Ambiguity kills motivation. What does five to ten years look like? What milestones lead to partnership?
Equity (and Funding) Paths: And yes, equity is part of the conversation, especially as the most successful firms may generally be out of reach for Gen 2 to buy in with brute force. How is equity financed—earn-in, buy-in, or compensation trade-offs?
Technology: Lastly, they want modern infrastructure: tech that works, freedom to refine the client experience, and the ability to market without being asked to cold-call like it’s the late 1990s. Many high-performing founders know this, but they underestimate how little tolerance younger advisors have for poor tech experiences as part of their offer model.
What Does Gen 1 Want From Gen 2?
The great irony about all this is that even with talent scarcity, the Gen1 founders are still typically holding the cards when it comes to financial leverage. More than that, they have the experience to tell them what works and what doesn't. This is incredibly valuable to Gen 2 advisors who want to learn from those who have done it well.
If you're a Gen 1 advisor reading this, please pass this along to the younger advisors in your sphere of influence. Let's help them understand what's expected.
Demonstrated commitment: What Gen 1 wants and deserves: real commitment. Not 80-hour weeks like Gen 1 had early on, but yes to visible growth and personal development. Attend those networking breakfasts. Community events. Picking up the client service slack so the founder can stop doing evening meetings. They want ownership behaviors: process discipline, follow-through, and instincts that protect the brand they’ve built.
Most skills can be taught, but character should come standard.
The Solution Is Communication and Role Design
Bridge the gap with design, not speeches. Start with role design.
Publish responsibilities and how the role evolves at each milestone.
Add scorecards that track revenue, service, and leadership metrics on a quarterly cadence.
Write an equity memo: one to two pages that explain structure, financing, and timeline in plain English.
Finally, build a tech roadmap so everyone knows what will be modernized and when.
The likely hire is not necessarily 22 years old. Many of the best hires are 35 to 45 years old, 10 to 15 years in, with real responsibility and maybe a small book. They’re not ready to take the reins, but they are prepared to lead. Design for them.
Bottom line: Gen 2 doesn’t want the keys without the work. They want to do meaningful work on a path that makes sense. Give them a seat, a plan, and practical tools, and ask for visible commitment in return.
While I am not a talent recruiter, I am increasingly seeing the need in this space. If this is something you are facing, drop me a message. I make lots of rounds with the up-and-coming advisor generation, and am always willing to make an introduction.
Equal interest. If you know an exceptional talent recruiter, I would love an intro. I'm a huge fan of getting the best person for the best job.