Careers in Financial Services
The financial services sector is a huge business, contributing over $341 trillion to the global economy. It includes banks, credit unions, savings institutions, credit-card companies, investment firms, insurance agencies, mortgage lenders and consumer finance companies. These institutions help people and businesses manage their assets and investments, provide credit, invest money and facilitate payment and settlement transactions.
Financial services are vital to the economic development of a country because they create jobs and stimulate other sectors of the economy by providing necessary capital for businesses to grow. The industry is constantly changing to align with customer sentiment and functional requirements, and new technologies present opportunities for growth. As a result, it’s a highly competitive field that requires employees with a diverse set of skills.
As a subsector of the financial industry, insurance is important to protect against unforeseen expenses or catastrophes. There are many types of insurance, including life insurance, health insurance and property insurance. The insurance industry is regulated by government bodies to ensure ethical practices and fair pricing.
There is a lot of crossover between different sectors within the financial services industry, and it can be hard to decide which career path to pursue. For example, banks offer depository services by accepting deposits from consumers, pooling them together and lending them out to individuals or businesses. This helps support the economy and generates interest income for the bank. Banks also offer investment services, which involve investing funds in securities like stocks, bonds and mutual funds to make money.