The financial services industry has a wide reach, including banks, mortgage lenders, insurance companies, investment funds and much more. It’s not just individuals who rely on these services; small businesses, large corporations and even the government need them to function. When this sector of the economy is strong, people feel confident spending money and buying goods and services; when it falters, the entire economy feels the strain.
There are many different jobs in financial services, and not all of them are what you might expect. As explained by the New York Times, “Financial services are activities undertaken to make, protect or maintain the value of assets. They include all transactions in which a person or company uses money.” This includes everything from investing to lending to credit cards, as well as services that help with debt management and even basic banking like depositing and withdrawing money.
Some of these services are obvious, such as a bank’s ability to lend money to those who need it. However, other financial services are not so apparent, such as the way that PayPal moves money from account to account. Duitch says that the most common careers in this field are for bankers, loan officers and brokers, but there are plenty of other opportunities as well, including working in customer service or dispute resolution at a company like PayPal.
Another important job in this industry is to provide protection against unforeseen events. This includes providing security against the loss of a job (income insurance), the death of an individual (life insurance) or property damage or destruction (homeowners and car insurance). There are also some more esoteric options, such as private equity funds and venture capital providers who supply investment funding in exchange for ownership stakes or profit participation.
One of the most important aspects of any economy is its financial sector, which provides a means for people to invest their money and receive returns on those investments. It is also what allows individuals to borrow money when they need it, and it’s what makes it possible for companies and governments to levy taxes in order to further their economic objectives.
There are numerous ways to work in the financial services industry, and the number of positions is growing as a result of rapid technological advancements. In addition to the traditional brick-and-mortar institutions, there are online-only financial services companies and digital startups that offer innovative products.
Despite the growth in the industry, there is still a significant amount of inequality in access to financial services across the globe. Many people lack the proper education to understand and use financial products, while others simply don’t have the income to afford the services that they need. As a result, it’s important to continue making strides toward financial inclusion so that all individuals can access the financial services they need, when they need them.