Diversity, Equity & Inclusion Insights
Embracing Diversity in Financial Services
Looking across key demographic segments, namely gender and race, financial services as a whole has not been representative of the American population. According to the Census Bureau, as of 2021, 69% of all financial advisors were male, and 80% of all personal financial advisors were white. Ten years ago, these numbers looked very similar, with men making up 68% of all personal financial advisors, and white advisors making up nearly 85% of the field.
In an industry dedicated to client service, these figures not only raise questions about how effectively representatives can reach diverse client bases, but they also show very little movement over the past decade toward becoming more representative of the population. This would seem to indicate that while creating an atmosphere of equality and representation is a noble goal, companies in the financial services industry are still facing challenges in this area.
It is for this reason The College has taken a number of actions in support of representation. Through ambassador programs, such as the FinServe Network, American College Centers of Excellence–including the Center for Economic Empowerment and Equality, the Center for Women in Financial Services, and the Center for Military and Veterans Affairs–and events, such as the Conference for African American Financial Professionals (CAAFP) and the Black Executive Leadership Program (BELP), we are acting on our commitment toward a more representative financial services industry.
One of these initiatives, the FinServe Network, was a new program at The College in 2023. The FinServe Network is a volunteer group of alumni and leaders who share The College’s values and help the institution amplify our benefit to the financial services profession. The ambassadors who comprise the FinServe Network have unique backgrounds and expertise, collectively representing the diverse landscape of the country that we hope to see brought to the profession.
The push for equal representation is not a passing trend at The College and has, in fact, been part of The College’s vision for some time, as demonstrated by one of its longest standing events, the CAAFP. In 2024, The College will host our 18th annual CAAFP as the industry’s premier gathering of Black and African American financial services professionals and DEI-committed professionals. This gathering brings together advisors, agents, educators, and thought leaders to discuss initiatives advancing African Americans in financial services. The CAAFP represents something far greater than a simple conference; it represents an opportunity for African American financial services professionals to come together as a community.
“The CAAFP is just one example, though significant, of how we walk the talk. The conference provides a visual symbol of how The College is working to serve underrepresented groups in our industry. ‘If I can see it, I can be it!’ is our mantra and, as a platform where we convene Black and African American financial advisors and allies at all levels, there’s nothing else like it,” says Deborah Glenn, executive director of the Center for Economic Empowerment and Equality.
Read the full article and learn more about The College’s efforts towards greater representation in the financial services profession in our 2023-2024 President’s Report.
Diversity, Equity & Inclusion Insights
Women Making History
Throughout the history of America, women have always had to fight for everything they had. It took 93 years for the first women to gain the right to vote in Wyoming. It took 192 years for the first woman to serve as a member of the Supreme Court. This country still has not seen a woman president, even 248 years after the Founding Fathers came together in Philadelphia to establish this country. Simply put, America has not always been the land of opportunity for women that it has for men.
Still, it is for this exact reason that society must appreciate the strong women that have dedicated their lives to breaking down barriers and paving the way for generations of women that follow in their footsteps. As such, The American College of Financial Services is proud to spotlight the life and accomplishments of Margaret I. Bradshaw, CLU® during this Women’s History Month. Bradshaw was the first female agent hired by the John Hancock Insurance Company in Providence, Rhode Island in the late 1920s. From there, she eventually became the first woman to earn her Chartered Life Underwriter® designation in 1931, a mere four years after the designation’s creation.
Leading the Way
This was the start of a successful and influential career for Bradshaw, who went on to found the Rhode Island Chapter of the Professional and Business Women's Association, serving as the association’s president1. She also established herself as an industry leader through her unwavering commitment to ethics throughout her lifetime until her passing in 2011 at age 106. Through the Margaret Bradshaw Lecture Series at The College and her numerous donations to the American College Center for Ethics in Financial Services, Bradshaw made it clear that the integrity of the profession was a top priority to her—a commitment she demonstrated on numerous occasions throughout her life with generous financial contributions to The College. Bradshaw sought to pass on her commitment to ethics in financial services by providing lectures and teaching courses at Brown University, demonstrating to younger generations of financial services professionals what it means to be a champion of ethics in the field.
At the President’s Dinner in November 2023, The College recognized Bradshaw by awarding her with a Huebner Gold Medal, the highest honor The College bestows to individuals who have proven their commitment to The College and its mission.
Closing the Gap
Bradshaw’s contributions are not limited to The College though. Thanks to the trailblazing of women like Bradshaw, the profession has become a far better place for women. As of 2021, 46.3% of all life insurance agents were women2, and 30.1% of all financial advisors were women3. Female life insurance agents also earn 91 cents for every $1 earned by men4, a significantly smaller wage gap than the overall American wage gap that sees women earn 82 cents for every $1 earned by men5.
It is important that these trends continue. Women are expected to inherit $30 trillion by the year 2030, representing the greatest transfer of wealth in history6. Any individual inheriting wealth should consider speaking with a financial advisor, but many people also prefer to speak with advisors that look like them or may share similar life experiences. It is for this reason that woman financial advisors will be critical to the tremendous wealth transfer taking place over the remainder of this decade.
Honoring the Legacy
In honor of Margaret Bradshaw and other trailblazers in the industry, The College continues her legacy by serving as an advocate for women in financial services as they become a larger presence in the field like never before. Through the American College Center of Women in Financial Services, the Women Working in WealthSM community, and support for women staff members, The College aims to be a champion for women in the same way Bradshaw was and continues to be, even 13 years after her passing.
And statistics would indicate progress is being made. As of November 2021, according to The College’s Diversity and Inclusion Triennial Survey, 51% of full-time staff were female, a near perfect representation of the United States population, which is 50.4% women according to the United States Census Bureau.7
Ultimately, it is the goal of The College to help shape the financial services industry to create a better future for all Americans. Through the efforts of women like Bradshaw, progress is being made toward these goals every day. So it is with great honor that The College uses this Women’s History Month to reflect on the life and legacy of Margaret Bradshaw and express a sincere hope that her works continue to grow.
Diversity, Equity & Inclusion Insights
Scholar Appreciation
This message has been included with the scholar’s approval. A Center for Military and Veterans Affairs Alumna Heather Caral, military spouse of U.S. Navy Active Duty, expresses her gratitude to the Center for Military and Veterans Affairs upon completion of the ChFC® program:
I wanted to take a moment to express my heartfelt gratitude for the Center’s guidance and unwavering support throughout the two years of the ChFC® program at The American College of Financial Services. I truly appreciate the impact it has had on both my professional and personal growth.
The scholarship backed by donors from the program made me feel like I had a community cheering me on every step of the way.
The accomplishment I've achieved means a great deal to me, and I am optimistic about the opportunities that the future holds. Thank you for believing in me.
Diversity, Equity & Inclusion Insights
Cohen Veterans Network
Cohen Veterans Network (CVN) was founded by philanthropist Steven A. Cohen, who made a $275M commitment to launch a network of mental health clinics in April of 2016 to serve veterans and families. CVN’s focus today is on post-9/11 veterans, active duty, and families. These areas of focus represent a concerted effort to get ahead of transitional challenges before they become chronic or acute. Each Cohen Clinic assesses veterans based on their specific needs and makes every effort to see pre-9/11 veterans based on clinician availability.
Cohen Veterans Network is a national network of mental health clinics that serves post-9/11 veterans, active duty service members (with a TRICARE referral) including National Guard and Reserves, and military family members. There is no cost for care for those without insurance and the ability to pay will never be a barrier to care at CVN clinics.1
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Diversity, Equity & Inclusion Insights
Partnership with First Command Educational Foundation
The American College of Financial Services is proud to partner with First Command Educational Foundation on the TAKE COMMAND Financial Education Program!
- Online interactive financial education program for active duty, guard, reserves, veterans, and their spouses
- Developed, delivered, and driven by two nonprofit entities dedicated to improving financial readiness and economic situations of those who serve
- Credit transferable to other College courses and programs
Diversity, Equity & Inclusion Insights
The Future of Finance: Generation Z
This opportunity is made possible by the generosity of exemplary donor Mary Wright. The research fellowship is not just a position, but a commitment to help shape the future of financial services for those now at the forefront of defining it. With Wright’s standing support, we have the opportunity to delve deep into the world of Gen Z, exploring the perceptions, aspirations, and nuances of our next generation of financial professionals.
According to a report published by Deloitte in May 2023, 65% of financial services institutions reported they expect a shortage of critical workers over the next two years, and only 61% believe their organization is effective in aligning the right talent with the work required.”
As the financial services industry faces significant talent shortages and an aging workforce, ample opportunity arises to attract and align Gen Z talent to fill this gap. In response to this challenge, our research aims to set forth actionable strategies the industry can implement to attract but retain Gen Z talent. So far, through an initial pilot study, extensive literature reviews, personal insights, and discussions with fellow researchers, we have designed a comprehensive survey to be launched this spring. The survey explores a wide scope of topics, from financial literacy to industry perceptions and career intentions. Through a thorough analysis of the respondents, we can gather invaluable insights from Generation Z.
Diverse, dynamic, socially engaged and self-advocating, Gen Z brings a fresh new perspective to the table, and they deserve to not only be heard, but also understood. They're not just looking for jobs; they’re seeking opportunities to make meaningful impact both within and outside of the workplace. As we navigate the challenges and opportunities presented by the evolving landscape of financial services, let us embrace the insights and aspirations of Generation Z in driving the financial sector towards a more prosperous, diverse, and sustainable future.
Diversity, Equity & Inclusion Insights
Women Working in Wealth on the Road
At these prestigious events, the Center for Women in Financial Services showcased its expertise and dedication to empowering women in the financial industry. Lewis’s presence underscored The College's commitment to advancing gender equality and fostering leadership among female professionals. Here are some of the Center’s favorite takeaways.
Five Key Themes from the Invest In Women Conference and Osaic W Forum
- Empowering Female Clients: The conferences emphasized the importance of empowering financial advisors to effectively address the unique needs of female clients. With a focus on inclusivity and diversity, attendees gained valuable insights into tailoring financial strategies to meet the evolving preferences of women in the rapidly changing financial services landscape.
- Insights Into Longevity Planning: A standout session shed light on the implications of female clients' longevity on Social Security and Medicare planning. Advisors learned valuable strategies to ensure the financial security of their clients in later years, equipping them to navigate the complexities of retirement planning with confidence.
- Supporting Clients Through Major Illnesses: Another session addressed the sensitive topic of assisting clients in surviving major illnesses. Attendees gained practical tools and resources to support clients during challenging times, fostering stronger client-advisor relationships built on trust and empathy.
- Navigating Divorce and Transitions: The conference tackled the harsh reality that marriages often end in divorce, offering insights into the financial implications of divorce and strategies for navigating this complex transition. Advisors learned how to effectively guide clients through divorce proceedings while safeguarding their financial wellbeing.
- Visionary Approaches to Scaling Firms: Attendees explored three visionary approaches to scaling their advisory firms, gaining inspiration and practical knowledge to achieve their professional goals. From leveraging technology to expanding service offerings, advisors left with actionable strategies to drive growth and innovation in their practices.
In summary, both the Invest In Women and Osaic W Forum conferences serve as catalysts for change, ushering in a new era of excellence for financial advisors, industry leaders, and their valued clientele. By empowering advisors to better serve female clients and fostering a culture of inclusivity and innovation, the event set the stage for a more impactful and inclusive approach to wealth management in the years to come.