Survey reveals high expectation of continuity of service as advisors retire
You’ve been working with clients for years, hearing about their dreams for retirement and helping them shape their finances to meet those goals. Thoughts turn to your own retirement.
But while an advisor would be expected to have the financial side of retirement locked down, there’s another important consideration that not have received enough planning, according to a new report from the Investment Planning Counsel.
What happens to your clients when you retire?
The IPC survey found that 91% of clients say its important that their advisor has a clear succession plan for when they stop working. But it also reveals that 81% of advisors don’t have a plan.
“Developing a succession plan – which should always include a business continuity plan – is a must for financial advisors regardless of what stage they are at in their business,” says John Novachis, EVP, Advisor Growth and Succession at IPC. “This will help maintain trust with clients and reassure them that their wealth planning needs will be taken care of both now and in the future.”
According to the advisor survey, nearly four in five advisors have at least one reason for hesitating to develop a succession plan. While most still don’t have a fully developed plan in place, progress is being made: in 2025, 65% of advisors surveyed had either begun a formal succession plan or had a rough idea of their approach—up from 53% in 2021.
External factors are also influencing advisor retirement timelines. Nearly one in five respondents reported delaying retirement due to market volatility and current economic conditions. Interestingly, while advisors are highly focused on ensuring strong retirement outcomes for their clients, they often give less attention to their own retirement planning.
When it comes to succession planning, maximizing the return on investment or overall payout of their business matters—but it isn’t always the top priority. Instead, advisors are more likely to rank client and staff considerations as “very important.” Nearly 80% of those surveyed cited maintaining client trust, preserving relationships, and ensuring continuity for clients and staff as key factors in their succession planning decisions.
But what happens as their advisor’s retirement approaches and beyond is a key concern of clients.
The most common concern - cited by 53% of clients who took part in the survey - is a lack of clear, advance communication about their advisor’s succession strategy, while many also worry that a new advisor may not be as trustworthy (36%), particularly when it comes to safeguarding their investments (43%) and understanding their financial goals as well as their current advisor does (35%).
“It’s clear that advisors and clients alike recognize succession planning as incredibly important,” says Blaine Shewchuk, President & CEO, IPC and EVP, Individual Wealth, Canada Life. “While there are many barriers to planning, getting a plan on paper and communicating this plan well in advance of their exit, can go a long way towards cementing trust with clients, and providing long-term certainty for both clients and advisors.”
