Financial services are the sector of the economy that includes a number of different types of businesses, ranging from credit card companies and global payment networks to credit unions and debt resolution agencies. The industry is growing rapidly and changing fast. Many new players are entering the market and offering alternative financial services to consumers and businesses. Traditional banks are battling it out with nonbanks, startups, and big tech companies for a piece of the pie.
Generally, financial services refer to any service of a financial nature and includes deposit-taking, lending of all kinds (including mortgages), financial leasing; money broking; securities trading, underwriting, issuance and administration; insurance underwriting, estate, trust and agency services; investment and portfolio management; credit reference and analysis, investment banking and advisory services and all other auxiliary services to the field of finance.
The most important thing to remember about the financial services sector is that it’s a huge, complex, and ever-changing business. That being said, it’s also an extremely lucrative one. According to a recent report by The Wall Street Journal, the industry generates about $2 trillion in annual revenue. In addition to its direct contribution to the economy, it supports a broad range of other industries by providing financing for the purchase of raw materials and equipment and creating jobs for professionals in areas like engineering, information technology, and legal and accounting.
A basic understanding of the different segments within financial services can help you determine what type of career path is right for you. Getting involved in the industry at an entry-level position will give you the opportunity to learn and grow while making connections that can open doors in other sectors of the market.
For example, if you want to be a banker, starting out as a teller or customer service representative at your local community bank is the perfect way to build up your skillset and gain valuable experience. Having a mentor in the industry is another great way to expand your network and make progress toward your goals.
Some of the most popular sectors in financial services include debt resolution, treasury and foreign exchange services, and global payment providers such as Visa and MasterCard. Other important categories are consumer finance, insurance, and investment management.
Financial services are vital to the health of economies all over the world. They support healthy economies and facilitate the flow of capital from investors to entrepreneurs, enabling them to grow their businesses. As the world becomes more digitized, the demand for workers in financial services is expected to continue to increase.
If you’re interested in learning more about the financial services sector, contact us at Phyton Talent Advisors today. We’d love to discuss your interests and help you find a role that will allow you to grow professionally in this exciting field. Whether you’re looking for a full-time position or an internship, we can match you with the best opportunities in the industry.