The financial services industry includes all industries, sectors, and institutions that manage money. This includes deposit-taking, loan and investment services, credit and financing organizations, insurance companies, and payment systems like Visa and MasterCard. It also includes private equity funds, venture capital providers, and angel investors who supply investment capital to companies in exchange for ownership stakes or profit participation.
It is often said that the world of finance is a ‘people business’, and that could be more true than in any other industry. While a strong network in any industry is important, it can be crucial in finance where the right people and personalities are required for success. As a result, the culture in financial services is typically more collaborative than competitive, with opportunities to work alongside high-profile individuals.
Because of the variety of roles available within the industry, many different career paths can be pursued in financial services. Bankers, for example, may work in retail or investment banking, while insurance agents and brokers provide a range of insurance products to customers. Financial services also encompasses debt resolution, global payment providers, and the exchanges that facilitate stock and derivative trades.
The term ‘financial services’ is broadly defined, but the industry is primarily concerned with the intermediation of savings and the redistribution of risk. The industry is characterized by the accumulation of assets, the channeling of funds from lenders to borrowers, the transformation or repackaging of those funds in terms of maturity, scale and risk, and the subsequent return on investment.
Financial service firms are a key part of the economy. Their activities have direct implications for economic growth and development. They mobilize the saving of the public and make it available for productive investments, which in turn increase production and generate employment in the country. They are also responsible for transferring savings from those who have surplus funds to those who need them.
As a result, the world of financial services is a diverse and exciting place to work. It is a dynamic industry that is constantly evolving to meet the needs of consumers. Having access to financial services is essential for the well-being of all, and can help protect against unexpected events and allow us to plan for the future.
However, the financial services sector can be challenging to break into. With such a wide array of options, it can be difficult to decide what career path is best for you. For this reason, it is important to research the various roles available and to consider your suitability for them. If you need help with this, our experienced team of talent advisors is here to assist. Get in touch with us today to discuss your options and how we can help you find the perfect role for you.