Hot Topics Panel - Where are the jobs of the future in financial services going to come from?
In last week's blog, economic futurist Dr Keith Suter said "careers are dead" and that our children should be taught entrepreunarial skills in school to prepare them for their working lives. So, what does this mean for our industry? We ask our Hot Topics panelists - Kate Mills, Joanna Davison, Max Ryerson, Kate Mulligan and Kate McCallum - where they think the jobs of the future in financial services are going to come from?
CEO, Financial Executives Institute
There are two main areas where we should expect to see jobs growth in financial services. At the back end the need for data scientists is going to grow - this by the way is true for most industries, not just financial services. We will need people that can better interpret data (or Big Data) to drive the development of new products as well as investment techniques. The more traditional parts of funds management and stockbroking could find themselves under increasing pressure as these new style data scientists start using a new language and new skills that may be hard to access. At the front end the growth in complexity and diversity of products and lifestyle needs creates an opportunity for more personalised and in-depth service for those clients that can afford it. Advice will be required for the entire population however-particularly as we live longer. Commoditising that advice and delivering it at the right price point is a battle that has already started.
CEO, Fund Executives Association Limited
In the near future I would say Risk and Compliance executives will be in hot demand and that anyone who can build, develop or maintain a website will be as well. Looking further ahead I suspect the trend to DIY and disintermediation will continue and that pressure on fees will as well, which means less roles in the traditional active asset management space and in offering advice the traditional way. So the best way to prepare [for the future] is to be tech savvy and adept at all forms of social media to communicate.
Global digital & innovation strategist
In financial services, it's likely we will see jobs coming from a range of outsourced specialists with a core team managing them. With younger generations either moving on to new and different jobs past 18 months of service or creating side enterprises (which they'll eventually leave to pursue full time), today's corporate structure is likely to change dramatically. Companies and industries will be disrupted by innovative people and by advanced technology, such as Artificial Intelligence (AI). A number of existing jobs will be replaced by 'machines'. Some companies in financial services are already leveraging technology to disrupt parts of the industry, such as Wealthfront in the retirement planning sector - AI will drive certain roles. We've already seen the application of computers to trading in the digitization of quants. It's quite easy to see a future of self-service being powered by AI. Business management, face-to-face relationships - especially in the HNWI and UHNWI sector - will remain important - while many other roles may simply be outsourced to more nimble support partners: companies with a culture of change and agility, always customer centric, and that have the ability to follow and act on consumer behaviour changes in real time.
Managing Director, King Irving Consulting Group
Jobs reliant on judgement and technical acumen which can't be readily replicated by computers/robots come to mind immediately. Many roles in financial services fit this description; it's a terrific industry to 'invest' in in terms of your career. Portfolio management comes to mind immediately, as does product management, technical advice and support for: investment; structuring; legal and accounting. Relationship management skills will always be in hot demand, because no matter the amount of automation, for important decisions I firmly believe that personal contact and knowledge is a key comfort factor. In other words, machines can't have a great business reputation. That is not to say that aspects of these roles will not be computerized - we already see a number of technical tools used in each of these roles. However, this will enhance, rather than supplant, the decision making process. I think it is important to have education and training which either is highly specialized in the right area, or which supports a diverse set of skills allowing for flexibility and development into different roles in the course of your career.
Director & adviser, Multiforte Financial Services
The career ladder is gone. I see careers becoming increasingly multi-dimensional and "lego like" - with individuals building expertise across specialist areas, in a range of industries, working across different geographies (physical and online), and making lateral or diagonal moves to progress their career. When I hear stories about algorithms and automation, I always think of sci fi movies - there's little science and a lot of fiction. In my world of personal advice, I know from many years of working closely with clients to manage complex financial and family decisions, that so much is about relationship and personal interaction. I believe this is an essential skill that will be even more important in financial services in future.
See last week's blog on How to prepare for the jobs of the future.
To join the conversation, or to suggest a topic for a future panel session, contact us at - [email protected]
