How to Switch Careers and Become a Financial Advisor

Making a career change to become a financial advisor is an opportunity to do work that’s both rewarding and fulfilling. According to Schwab, many career changers who move into financial services are prompted to do so by personal financial experiences or life transitions.¹ Understanding what’s required to become a financial advisor and what this type of work entails can help you make your next career move a smooth one.

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Career Paths for Financial Advisors

Financial advisors offer advice to clients, but that’s only a surface definition. There are different roads you might take to meet your goal of becoming an advisor. Your professional goals can influence which one you choose.

	Employee Advisor	Independent Advisor
Who They Serve	Employee advisors work with individual or institutional clients of an established advisory firm	Independent advisors work with individual or institutional clients of their choosing
Duties and Responsibilities	Developing and maintaining financial plans for the firm’s clients; recommending investments, including the firm’s proprietary products; marketing and sales	Advising clients on investment and portfolio management; recommending investments in the clients’ best interests; prospecting and marketing
Advantages	Tap into a ready-made list of clients; take advantage of on-the-job training to enhance your skills; compensation and benefits may be generous	Flexibility in deciding which types of clients to serve and which services to offer; build a brand for yourself, independent of an existing RIA; earning potential may be unlimited
Disadvantages	Breakaway advisors may not be able to retain their client lists if they move to a new firm or go independent; less flexibility over working conditions, including compensation and hours	Starting an independent RIA can be expensive and time-intensive; independent advisors may lack support systems unless they partner with an RIA aggregator

If you’re making a career change to become a financial advisor, an employee advisor role may be easier to step into, particularly if you’re coming from a professional background that is not in financial services.

Established registered investment advisor firms can provide numerous resources to help new advisors find their footing, including extensive training and development programs that help you learn the firm’s processes, clientele and expectations. After working as an employee advisor for a few years, you may decide that going independent is a logical step.

Independent RIAs have complete control over how their firms operate. For example, you can choose which niche market you want to serve, the services you’re best equipped to offer clients and how to structure your fees.

However, starting an RIA has its challenges. You’ll need to complete the registration process, either with the SEC or your state securities regulatory agency, which involves filling out paperwork and paying the necessary fees. You’ll also need to develop a budget, decide where to set up premises and work out all the details of how to manage your firm’s operations.

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How to Make a Career Change to a Financial Advisor

The first step in making a career change and becoming an advisor is determining which of the two paths outlined earlier feels the most comfortable. Once you’ve made that decision, you can consider what comes next as you work toward your goal.

1. Gain Some Experience

Entry-level financial advisor jobs may or may not expect you to bring some experience working with clients or at least working within the industry. So, how do you get experience as a financial advisor if you’ve worked in a completely different field up to this point?

Internships are one potential solution. An internship or apprenticeship offers an opportunity to work alongside an established advisor to learn the ins and outs of serving clients. In addition to internships, you may consider:

Getting certified as a financial coach, which is a chance to work one-on-one with clients
Taking on a paraplanner role to provide support services to an advisor or team of advisors
Teaching courses in finance, accounting or a related field through a local community college (typically requires a master’s degree)
Joining an externship or advisor training program offered by a private organization
Applying for client service associate positions at an established firm

How much experience will you need to get a financial advisor job? It depends on the firm, but entry-level roles may hire candidates with less than one year of experience, or none at all if on-the-job training is offered.

2. Obtain Professional Designations

Certifications and designations demonstrate that you have the experience and knowledge necessary to deliver financial advice to clients. Earning certifications typically requires you to have a combination of education and experience, with an additional requirement to pass an industry-standard exam.

Many advisors choose to obtain the Certified Financial Planner™ (CFP®) designation, which conveys the responsibilities of a fiduciary role. To earn a CFP® mark, you’ll need to:

Earn a bachelor’s degree from an accredited institution if you don’t have one yet
Complete 6,000 hours of professional experience, or 4,000 hours through an apprenticeship (with additional requirements)
Pass the CFP® exam
Agree to follow the CFP Board’s Code of Ethics

You may consider other credentials in place of, or in addition to, becoming a CFP® professional. For instance, some advisors hold the Chartered Financial Analyst (CFA) designation while others are chartered financial consultants (ChFC). Determining which client niche you want to target and what services you want to offer clients can guide you toward the designation that makes the most sense for your career change plans.

3. Get a Securities License

If you want to offer investment advice to clients and trade securities on their behalf, you’ll need a securities license. The Financial Industry Regulatory Authority (FINRA) administers most securities license exams, which are designed to test your knowledge of specific areas of securities trading.

The Securities Industry Essentials (SIE) is a prerequisite or corequisite for almost all securities licenses. This exam, which anyone over the age of 18 can register to take, covers questions about investment products, capital markets and securities regulations. You’ll need to take the SIE if you plan to take the Series 7 or Series 66 exams.

Here’s a quick primer on the most common securities licenses.

License	What It Does	Requirements
Series 7	A Series 7 license enables you to work as a broker-dealer or registered representative and buy or trade securities on behalf of clients	SIE exam and sponsorship by a FINRA-member firm
Series 63	A Series 63 license qualifies you as a state-registered securities agent	SIE is not required, nor is sponsorship but the Series 63 is generally taken alongside the Series 7 exam
Series 65	A Series 65 license enables you to trade securities on behalf of clients and offer investment advice for a fee, rather than commissions only	Neither the SIE nor sponsorship is required
Series 66	A Series 66 license qualifies you to work as a securities agent and an investment advisor representative; it replaces the Series 63 and Series 65 when combined with Series 7	Sponsorship is not required for the Series 66 but you must pass the SIE and the Series 7 exam

4. Build Your Network

Your network can be an invaluable source of leads, whether you’re searching for a new job opportunity or trying to develop new business for your firm. Some of the most effective ways to network as an advisor include:

Using LinkedIn and other social media platforms to make connections with other advisors and industry professionals
Building centers of influence in your local area that include estate planning attorneys, accountants and other financial professionals
Collaborating with other advisors or financial influencers
Getting involved in your local community, either as a pro bono advisor or a member of a local professional association
Attending financial advisor conferences, or participating as a panelist or speaker

These same activities can help you build your professional brand while you expand your network. If you plan to go independent as part of your career change to a financial advisory role, a strong personal brand can help attract clients to you and establish your expertise in a competitive marketplace.

5. Start Prospecting

Joining an established RIA as an employee advisor may or may not require you to actively prospect for new clients. Going independent definitely will since you’re most likely starting an advisory firm with zero assets under management (AUM). Developing a prospecting plan can help you find your first clients and get your new career started on the right foot.

Advisor marketing often involves a combination of tactics, including:

Social media
Email marketing
Search engine optimization
Website content
Seminar marketing
Digital ads
Direct mail marketing

If you’re working as an employee advisor, your firm may offer tools or guidance on how to market yourself to potential clients. If you’re independent, you may turn to marketing blogs for advisors or YouTube channels for tips.

Lead generation services can help you break down the barriers between you and clients. SmartAsset AMP is an advisor marketing platform that provides advisors with a stream of leads monthly. You also get access to automation tools that can help you nurture relationships with prospects via text or email. Schedule a free demo to learn more.

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Bottom Line

Changing careers can feel daunting, but planning and research can help alleviate some of the stress that goes along with a professional shift. Talking to advisors you know who have done something similar can help you glean some valuable insight on what to expect, and how to best approach your own career change.

Tips for Growing Your Advisory Practice

SmartAsset AMP (Advisor Marketing Platform) is a holistic marketing service financial advisors can use for client lead generation and automated marketing. Sign up for a free demo to explore how SmartAsset AMP can help you expand your practice’s marketing operation. Get started today.
If you plan to obtain a professional credential, be aware of any continuing education requirements you’re expected to meet. Many credentials require you to complete a minimum number of CE credits every year or two years, including credits in ethics. You may be able to fulfill these requirements by attending free or paid classes, webinars and seminars, both online and offline.

Article Sources

All articles are reviewed and updated by SmartAsset’s fact-checkers for accuracy. Visit our Editorial Policy for more details on our overall journalistic standards.

New Research from Amplified Planning and Schwab Advisor Services Reveals What Will Attract, Retain, and Motivate the Next Generation of Financial Planners. Amplified Planning and Schwab Advisor Services, 6 Nov. 2026, https://www.prnewswire.com/news-releases/new-research-from-amplified-planning-and-schwab-advisor-services-reveals-what-will-attract-retain-and-motivate-the-next-generation-of-financial-planners-302607318.html.