How to build careers in the asset and wealth management space

From the bustling trading floors of global financial hubs to the serene offices of boutique wealth management firms, the asset and wealth management landscape offers a spectrum of environments where individuals can cultivate their talent, hone their expertise, and forge lasting relationships within a vibrant professional community. Whether one's passion lies in conducting in-depth market research, constructing diversified investment portfolios, or providing bespoke financial advice tailored to high-net-worth individuals, the asset and wealth management industry presents a canvas rich with opportunities for career fulfillment and personal growth.

The Global Asset and Wealth Management Market Size was Valued over USD $115 trillion in 2022 and expected to rise to USD $147 trillion by 2027, according to a report published by PwC. These numbers show the growing opportunities in the industry globally.

Career Opportunities in Asset & Wealth Management industry

With changing investment trends and demands, several new opportunities are emerging within the industry. Typically, the industry has always looked to hire a lot of fresh-out-of-college MBA graduates whilst also looking to acquire candidates with the knowledge of other professional certifications like CFA, CAIA, CIPM or CPA. For new graduates who aim to build their careers in this field, I strongly urge them to take up internships to understand the processes of how it works, as well as, the intricacies and the challenges that may exist. Internships provide valuable hands-on experience and can often lead to full-time job offers upon completion.

This industry offers a diverse array of opportunities spanning investment analysis, portfolio management, client advisory, and strategic leadership roles. These opportunities can provide valuable experience and skills that can lead to long-term success in the finance sector. Depending on one’s choice, one can decide where to begin. Whether starting as a research analyst, investment advisor, or junior portfolio manager, each role offers unique challenges and rewards that can help individuals grow professionally. By taking advantage of networking opportunities and seeking mentorship, individuals can navigate the asset and wealth management sector with confidence and achieve their career goals.

Over the last few years, this industry has grown multi-fold, leading to the creation of many opportunities that are challenging and interesting for talented professionals. Certifications are another route professionals can take - by obtaining certifications such as CFA or CPA, individuals can demonstrate their expertise and commitment to their career in finance. It equips professionals with a comprehensive skill set, which includes areas such as financial planning, investment strategies, retirement planning, and risk management.  Also, while layoffs have been impacting thousands, the job cuts in the wealth management space, are much smaller in number, which has built a trust factor among many young professionals.

The industry is also transforming, with cutting-edge technologies being adapted in every area, making it more efficient and dynamic. As technology continues to advance, the finance sector is also evolving, creating a need for individuals who can adapt and learn new skills. By staying current with industry trends and continuously seeking professional development, individuals can position themselves for long-term success in this competitive field.

The Role of Technology in asset & wealth management

The asset and wealth management industry is on a path of transformation with the emergence of AI, resulting in a digital transformation journey that many firms have embarked upon. Needless to say, proliferation of AI in various aspects of the industry will have a long-lasting impact.

With global companies setting up in India and the industry adapting technology in a big way, we see increased demand for skills in the fields of data science, artificial intelligence, large language models and many more.

A recent survey conducted by PWC signifies that more than 90% of asset managers are already using disruptive tech like AI, big data and blockchain. Further to that, interestingly, it also states that assets managed by “robo-advisers” will reach US$5.9 trillion by 2027, more than double the figure of US$2.5 trillion in 2022.

While AI looks poised to be a gamechanger, it’s important to add that at the very heart of it, the industry is driven by four postulates – a deep understanding of domain, customer centricity, maintaining transparency, and more importantly empathy.  It is important that new entrants seeking job opportunities in this industry don’t lose track of the core setup of skills that make the industry to be what it is today while enhancing their technical skills. Equally, mid-senior professionals should also adapt to these new technologies to keep growing and stay relevant for a dynamic industry.

How organizations can help employees meet the skill requirements:

The emergence of exciting tools and smart technology has meant that firms that use such tools have been able to improve the overall job experience and in return, have helped increase the collective efficiency of employees. This focus on modern tech solutions also signals a forward-thinking and adaptive workplace culture that appeals to top talent in this space.

By investing in continuous learning and development initiatives, organizations can ensure that employees have access to the tools and support needed to enhance their skill sets. Furthermore, creating a culture that values and encourages skill development can motivate employees to proactively seek out opportunities for growth within the organization. This can result in a more skilled and engaged workforce that is better equipped to drive innovation and productivity.

 In today's fiercely competitive environment, where it is important to go beyond conventional monetary rewards, firms are broadening their retention strategies to include a wider array of incentives aimed at nurturing a culture of excellence, innovation, and collaboration amongst employees. Among the most prevalent strategies are equity ownership and partnership opportunities, as well as performance-linked incentives. By implementing these strategies, companies not only attract high-calibre talent but also foster a sense of ownership and motivation, leading to mutual success for both the employees and the organization.

Despite facing macroeconomic challenges, the financial sector in India is thriving, boasting an impressive annual growth rate of approximately 8.5 percent. The global finance shared services (FSS) market size was valued at USD 46.54 billion in 2022 and is expected to reach USD 75.69 billion by 2028. This robust performance underscores the sector's resilience and sets the stage for substantial expansion in the years to come. As the industry continues to flourish, it presents a wealth of opportunities for aspiring professionals looking to establish themselves in the dynamic world of finance.