Is adviser compensation rising in tandem with advisory firm revenues?

Is adviser compensation rising in tandem with advisory firm revenues?
Private-sector wages have grown at a 2% clip for the past five years, but how did advisers fare?
MAY 06, 2015
Our research studies have shown again and again that independent adviser compensation stacks up well against some of the best-paid professional careers. Two years ago, after the results were in from our 2013 InvestmentNews/Moss Adams Adviser Compensation & Staffing Study, we published a comparison between the compensation, job experience and other factors from the most common positions at advisory firms and other job titles in finance, accounting, law, medicine and engineering. What we found was that, across the board, wages at advisory firms were eminently competitive with other industries. (Look back: How adviser salaries stack up to other professions) Earlier this month the Labor Department published a report stating that financial firms posted wage growth of 2.3% last year, slightly ahead of overall private sector wages, which grew 2.1%. Over the last five years, wage growth has posted a steady but sluggish 2% increase each year. Independent advisory firms, however, aided by both the bull market and an influx of new clients, have seen their revenue increase at a rate of approximately 15% each year since 2009. To what degree will this heady revenue growth find its way into compensation? If you're an advisory firm owner, take the time to participate in our 2015 InvestmentNews Adviser Compensation & Staffing Study to find out how your firm has fared compared with the rest of the industry, as well as against other professionals in the private sector.
How advisor salaries stack up to other professions
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(Participate now: Take the 2015 InvestmentNewsAdviser Compensation & Staffing Study survey to benchmark your practice)

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