Financial services encompass a large sector of the economy, providing individuals and businesses with a broad range of financial products and services. These include banking, credit unions, mortgage lenders, investment firms, and other creditors. They also provide critical financial market utilities such as financial exchanges, clearing houses, and deposit and payment systems.
Financial institutions act as intermediaries by accepting deposits from savers and lending money to borrowers, who use it for various purposes such as buying a home or starting a business. They also offer various deposit products such as checking and savings accounts that earn interest.
These companies help people manage and grow their wealth by investing in assets such as stocks, mutual funds, bonds, and other securities. They may also offer advisory services to assist investors in making informed investment decisions.
The risk-taking and speculative nature of this industry can make it volatile, with a high level of competition leading to price wars, and margins being squeezed. This, in turn, leads to increased pressure on regulatory bodies for improved supremacy, transparency, and accountability.
With so many jobs available, a career in this sector offers plenty of opportunities for progression. However, Duitch warns that “not all roles will pave the way for you to get where you want to be professionally.” This is particularly true of entry-level positions in financial services, which don’t usually lead directly to senior-level roles. It is essential to do your research and decide what role best fits your goals before applying for a position in this industry.