The Financial Services Industry
Financial services are all the things that touch money, from banks and credit unions to hedge funds and insurance companies. They include everything from deposit-taking to lending to investment, and even redistributing risk. It’s a huge industry that encompasses depository institutions, providers of investment products, insurance companies, credit and financing organizations, and the suppliers of critical financial utilities.
The financial services sector is vital to the economy of any nation, allowing for free movement of capital and market liquidity. When this sector is strong, a country’s economy grows and businesses are better able to manage risk.
There are a wide variety of careers within the financial services sector, from bankers and brokers to accountants and actuaries. Many of these roles require a combination of hard and soft skills, such as analytical thinking and good interpersonal communication. The pay in this field isn’t as high as some other industries, but it can still be a lucrative career choice.
Professional financial advising services are another big area of the industry, and there is a large range of service providers, from small domestic consulting firms to huge multinational corporations. They offer a range of services, including investment due diligence, M&A counseling, valuation, real estate consulting and tax advice.
Insurance is a subset of financial services and provides protection against loss from unforeseen events, such as death or injury. It’s one of the most widely used types of financial services, and there are a number of different kinds of insurance, such as health, home, car, and life insurance.