Financial services is a huge industry, with everything from banks to investment funds and beyond. The field covers everything from credit and payment services to debt management and even personal banking (for those who can afford it).
One of the more obvious sub-industries of this sector is insurance, which provides a sort of financial good that acts as an emergency fund in case something goes wrong (like a car accident or medical crisis). But it’s also considered a financial service because of the way it’s regulated. The companies that search for or negotiate rates on insurance policies, the underwriters who create them, and the brokers who sell them are all providing a financial service.
Banks are a big part of the financial services industry, and they earn their revenue from a variety of sources including fees, commissions, and interest on loans. Many of them offer a number of other types of financial services, such as credit card debt resolution and remote banking options.
Another important type of financial service is private equity or venture capital, which are independent investors who provide funding to smaller companies or startups in exchange for ownership stakes and profit participation. These investors often have connections in the business world and can help new companies make the right connections to expand their market reach.
It’s easy to see why a career in this field can be attractive. However, it’s also important to understand the pros and cons before deciding whether this is a good fit for you.