How a PEO Helps Financial Services Firms Build a Stronger Talent Strategy

Quick look: Financial services firms rely on skilled professionals to build client relationships and drive business growth. But finding that talent is getting harder as firms compete with larger institutions and fintech companies. A professional employer organization (PEO) can provide the HR expertise and infrastructure firms need to build a stronger employee experience while keeping pace with a changing workforce.

Finding great financial talent has never been easy. Today, 93% of hiring managers in financial services are struggling to fill roles for strategic advisors, quantitative analysts, actuaries, and other in-demand positions.

Small and midsized firms face particularly strong competition. They’re often recruiting from the same talent pool as financial enterprises and fast-growing fintech companies. The pressure only rises as more experienced workers head toward retirement while younger employees are bringing different expectations to the workplace.

At the same time filling an open position is just a starting point for firm leaders. Compensation, professional development, employee engagement, benefits, compliance, and workforce planning all play a role in keeping high-performing team members on board.

A PEO gives financial service firms additional HR expertise to strengthen every stage of the employee lifecycle. Here’s how a PEO partnership helps attract, engage, and retain top talent.

Recruiting support for a competitive talent market

Hiring qualified financial professionals takes more than posting a job opening and waiting for applications. Smaller firms may not have the same recruiting resources as larger institutions, which can make it harder to reach specialized candidates or keep the hiring process moving. 

A PEO partner like ExtensisHR gives financial services firms access to complimentary full-cycle recruiting services as part of their solution, including:

• Job posting and ad creation
• Candidate screening and sourcing
• Strategic guidance and ongoing progress check-ins
• New hire onboarding support
• Multistate compliance for remote teams

This support speeds up time-to-hire, resulting in a smoother applicant experience. It also gives internal leaders more time to manage the firm while experienced recruiting professionals handle the search. 

Benefits that make firms stand out

Salary is only part of the conversation when financial professionals evaluate a new opportunity. Employees are paying closer attention to the benefits attached to a job offer and whether those benefits actually support their needs.

Retirement benefits can be particularly important in financial services, where employees may have a strong interest in long-term financial planning. Access to mental health resources can also make a difference in the employee experience. Flexible work options and family-focused benefits may matter just as much to professionals evaluating their next move.

A PEO’s economies of scale give finance firms access to enterprise-level healthcare and ancillary benefits that comply with Affordable Care Act (ACA) requirements and state mandates. PEO experts can also manage benefits enrollment and administration, so employees always know what’s available while reducing the administrative work that falls on firm leaders.

Career development that upskills talent

Financial services is an industry where expertise keeps evolving: regulations change, technology continues to affect how firms operate, and artificial intelligence (AI) is becoming part of everyday workflows. For some professionals, continued education is already part of the job. Employees working toward or maintaining credentials such as Chartered Financial Analyst (CFA) certification, Series licensing, or Certified Financial Planner (CFP) designation may value an employer that supports their professional development.

A PEO helps firms build learning and development (L&D) programs that give employees opportunities to strengthen their skills and advance their careers. Performance management tools can help managers establish goals and provide ongoing feedback. Compliance training can reinforce important workplace requirements, while leadership development can prepare employees for greater responsibility.

When employees can see a future with their employer, firms have a stronger opportunity to retain the expertise they’ve worked hard to build.

Compensation practices that support retention

Compensation is one of the most important pieces of a financial services firm’s talent strategy. Salary, bonuses, commissions, and other incentives can influence both recruitment and retention, making it important for firms to understand how their compensation practices compare with the market.

Firms can get PEO guidance on compensation planning, including salary surveys, benchmarking, and the development of pay structures. HR experts can also help firms establish policies for performance-based compensation while keeping payroll processes aligned with applicable employment laws and pay transparency requirements.

Culture practices that empower your people

Financial professionals want to work for organizations that recognize their contributions and have opportunities to grow. For firms competing for specialized talent, workplace culture can become a differentiator. A PEO can support the HR strategies that shape that experience, including:

• Smoother onboarding: Structured onboarding helps new hires quickly learn firm-specific systems and compliance procedures, so they can be productive sooner and prevent mistakes that may put clients and operations at risk.
• Higher employee engagement: Financial services can be demanding, particularly during periods such as tax season, audits, and quarter-end close. Employee surveys, wellness programs, recognition efforts, and flexible scheduling can help firms understand what their people need and address concerns before they contribute to turnover. 
• Employment compliance support: Finance is one of the most heavily mandated industries. Though HR doesn’t handle every sector regulation, it does keep firms compliant with employment law by managing required employee documentation, training records, workplace policies, and leave administration.
• A stronger employer brand: Trust in financial services matters as much to prospective employees as it does for clients. An employer with a professional hiring experience, clear growth paths, compliant operations, and a reputation for investing in its people can improve their standing in a competitive job market.

When firms have the right HR infrastructure behind their culture initiatives, they can create a workplace where employees have more opportunities to grow their careers.

Build a workforce ready for what’s next

Financial services firms are navigating a changing talent market. To compete for skilled professionals, firms need an employee experience that supports career development while keeping pace with evolving expectations around compensation, benefits, flexibility, and workplace culture.

ExtensisHR combines decades of HR expertise with a deep understanding of the challenges financial services firms face to deliver a PEO solution built for your business.

Whether you’re hiring your next generation of advisors, analysts, or operations professionals, we can help you create a workplace where great talent wants to build a career.