Financial services are the economic services provided by the finance industry, which encompasses a broad range of businesses that manage money, including credit card issuers and processors, banks, credit unions, insurance companies, investment managers, and more. This sector is vital for a healthy economy because it allows individuals to obtain the capital they need for things like mortgages, education, and vehicles by providing them with loans and other forms of credit. It also encourages savings and production by promoting investments, and it protects against risks through insurance policies.
Financial service providers also offer a variety of other products and tools, such as debt resolution, global payment networks, and financial market utilities (including stock exchanges, clearing houses, derivative and commodity exchanges, and real-time gross settlement systems). Some of these companies are conglomerates that specialize in more than one area of the financial services industry, while others focus on specific segments or niches, such as payments, wealth management, or insurance.
For those interested in pursuing careers in financial services, it’s important to know that the field is highly competitive and often requires specific certifications. However, it’s also worth noting that personality plays an important role in the industry—personality and interpersonal skills may hold more weight than a particular degree or work experience. As such, many successful professionals in this industry started out with a different degree or field altogether and worked their way up through the ranks with hard work, dedication, and self-education.