CFP® Professional Demographics (2024)

FAQs

What are the demographics of financial planners? ›

Financial Advisor Demographics

Approximately 70% of advisors are men. Whites account for 70-80% of the profession, with Asian, Latino and Black advisors each representing 5-10% of the workforce. Over 60% of advisors are 40 years or older.

Despite impressive growth in the number of CFP® professionals in recent years, the percentage who are women has remained flat, at about 23 percent. This contrasts dramatically with the broader U.S. population and the steady growth of women in other professions.

The average age of finance professionals is 44 years old. The most prevalent ethnicity among finance professionals is White (71.9%), followed by Hispanic or Latino (9.5%), Asian (8.4%), and Black or African American (5.7%). In 2022, women earned 85% of what men earned in the finance industry.

Currently, there are 1,899 Black professionals with CFPs, making up 1.9% of all such professionals. In addition to boosting the visibility of Black professionals in the industry, that growth enhances the pool of skilled and ethical financial planners available to the public.

What percentage of financial advisors are CFP® professionals? About 30% of financial advisors in the United States are CFP® professionals. There are approximately 617,549 registered representatives eligible to sell securities in the United States, according to FINRA.

For 50 years, CERTIFIED FINANCIAL PLANNER® certification has been the standard of excellence for financial planners. CFP® professionals have met extensive training and experience requirements, and commit to CFP Board's ethical standards that require them to put their clients' interests first.

According to various studies and publications, the average age of financial advisors is somewhere between 51 and 55 years, with 38% expecting to retire in the next ten years.

The pass rate for the March 2024 exam was 68%. “This unprecedented turnout for the March 2024 CFP® exam reflects the recognition of CFP® certification as the standard for competent, ethical financial planning,” said CFP Board CEO Kevin R. Keller, CAE.

The finance professionals' basic activities are the 5 A's - assemble, analyse, advise, apply and accumen. Assembling information - collating data to prepare information about the organisation.

Is there a shortage of finance professionals? ›

Current State of Accounting Talent

However, 76% of U.S. CFOs say they are facing a significant talent shortage within their finance and accounting teams. This is further compounded by an aging workforce; according to the BLS, 28% of accountants and auditors are over the age of 55, with a median age of 44.9.

At number one we have finance. Given that this is one of the majors with the highest upside. while also being incredibly easy academic wise and extremely popular, you betcha this one is oversaturated and super competitive.

Financial planners are in high demand.

The CFP Board reports 98,883 CFP® Professionals nationally, which means there is only one CFP® Professional for every 1,327 households in the United States; if we take Longmont as a non-representative sample and extrapolate it nationally (forgive me for the statistical sin, but take it as a very rough approximation), ...

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CFP Board

https://www.cfp.net

CFP Board

https://www.cfp.net

CFP Board sets and enforces standards for the CERTIFIED FINANCIAL PLANNER™ certification, which is the standard of excellence in financial planning.

In 2022, 73.2% of the Financial managers workforce were White, of which 54.7% were women and 45.3% men. Other races that concentrated a significant number of workers were Black (8.35%) and Asian (7.83%).

According to the Census Bureau, as of 2021, 69% of all financial advisors were male, and 80% of all personal financial advisors were white.

In 2022, 74.3% of the Meeting, convention, & event planners workforce were White, of which 78.9% were women and 21.1% men. Other races that concentrated a significant number of workers were Black (9.59%) and Two or More Races (7.53%).

A financial advisor is a general term that has come to encompass a person who provides guidance on financial topics. That definition allows virtually anyone who offers financial help to call themselves an advisor.