Financial services is a large sector that encompasses many different types of business. These include banking, investments, insurance, and more.
Banks – Store money in vaults and lend it out to people, businesses or governments who need it. They also offer investment products like mutual funds and mortgages.
Investment firms – Provide investment products to investors (typically high net worth individuals) who need help managing their assets. They also provide financial advice and support to clients.
Brokers – Sell and trade securities in the stock market, including stock indexes and mutual funds. They can be hired by individual investors or by a company that wants to trade in the stock market.
Insurance – Protect against the loss of money and other goods. They can also help people with disability income insurance, health insurance and life insurance.
Financial services ensure equal distribution of resources among the three sectors – primary, secondary and tertiary. This enables a balanced growth of the economy and improves employment opportunities.
The presence of financial services also contributes towards promotion of domestic and foreign trade, including export. Factoring and leasing companies, both domestic and foreign, facilitate the producer to sell his product and also to buy modern machinery or technology for further production.
A career in financial services can involve a wide variety of skills, but it’s important to choose a field that’s right for you. For example, if you’re interested in a career as an investment banker, you should find a firm that offers a strong investment banking program or internships to develop your skills and experience. It’s also important to choose a firm that promotes from within based on merit and not tenure.