Retiree Surge to Drive Demand for Financial Advisers in Australia
Retiree Surge to Drive Demand for Financial Advisers in Australia
1
A recent study by Adviser Ratings, as outlined in the 2025 Australian Financial Advice Landscape Report, indicates that the number of financial advisers in Australia will need to increase significantly.
From the present count of 15,500 advisers, the industry is expected to require more than 50,000 over the next thirty years to cater to a growing retiree population.
Ben Marshan of Marshan Consulting has likened the upcoming situation to a demographic "tsunami." He projects the retiree population will expand from 7.8 million to 16 million, increasing by 105 per cent. Notably, the fastest growth will be among those aged 65–74, projected to rise by 108 per cent, and those over 75, expected to surge by 164 per cent. These groups will reach critical stages where making informed financial decisions becomes crucial.
The current landscape already shows demand outpacing supply. Only 1.2 million Australians aged 55 and above currently receive financial advice, while the average adviser handles 100 to 130 clients, pushing the capacity limits of the profession. Simultaneously, the adviser workforce is aging, with half likely to retire within 15 years, according to Nathan Fradley from Fradley Advice.
Fradley suggests that bridging the staffing gap cannot be achieved merely by relying on new graduates or career changers progressing through the National Competency Assessment (NCA) role. Both Marshan and Fradley identify skilled migration as a critical solution to meet growing demand, with Marshan noting the inclusion of advisers in the government’s Skills Priority List and Core Skills Occupation List as a significant step forward.
The Financial Advice Association Australia proposes awarding five points on the skilled migration test for mandatory professional year completion, aiming to attract overseas talent. Migrant advisers bring valuable experience, including investment strategy and client engagement skills, and can serve Australia’s diverse populations better, particularly if multilingual.
Pedro Marin of Marin Wealth, who emigrated from Venezuela, underscores the gap in services available to non-English speaking Australians due to a shortage of bilingual advisers. Despite the potential advantages, the path to bringing international talent to Australia involves high costs and lengthy training times, dissuading many firms from considering overseas recruitment.
Marshan points out that nearly 47 per cent of firms are reluctant to employ international workers due to the associated expenses and administrative demands. Fradley concurs that the current educational standards in Australia pose challenges for large-scale implementation of skilled migration, suggesting the need for regulatory adjustments. There is a call to create pathways that preserve professional integrity while recognising international qualifications and experience.
The Australian Securities and Investments Commission (ASIC) has introduced a new, consolidated legislative instrument that relates to financial advice. This update follows through on ASIC's May announcement regarding the remake of three existing advice-related instruments. - read more
Australia’s leading financial institution, the Commonwealth Bank of Australia, has openly criticised the Reserve Bank of Australia (RBA) for its calculations related to a proposed reduction in debit and credit card transaction fees. The RBA suggested that the reform would save Australian businesses $1.2 billion annually and benefit the majority of companies, a claim that the Commonwealth Bank strongly disputes. - read more
Australia's franchise sector is a dynamic and significant element of the national economy, offering a myriad of opportunities for aspiring entrepreneurs. With an array of brands stretching from fast food to retail stores, the franchise landscape in Australia presents a viable path for business ownership under an established model. However, the success of a franchise operation is not solely based on choosing a recognizable brand; it also hinges on deploying the right financial strategies. - read more
Small businesses often require loans to grow and expand their operations. However, not all loan applications are approved, and denials can be frustrating and demotivating for business owners. Understanding the reasons behind loan denials is critical to avoid making the same mistakes and increase the chances of future loan approvals. - read more
Need Help Finding a Loan?
All finance quotes are provided free (via our secure server) and without obligation. We
respect your
privacy.
Knowledgebase
Payday Loan: A short-term, high-interest loan, typically due on the borrower's next payday.
