Financial services is an industry that features banks, investment houses, lenders, finance companies, real estate brokers, insurance companies, and other entities that offer financial instruments. It facilitates capital flow and liquidity, manages risk, and is a major driver of national economies.
Its importance is reflected in the fact that it encompasses all sectors of the economy that deal with money, including retail and commercial banking, credit unions, mortgage brokerages, stock and bond trading, securities analysis, investment funds, insurance, consumer finance, and more. Its impact on society is even more pronounced given that it is not only for individuals, but also small businesses, large corporations, the government and other entities.
When it comes to what is categorized as a financial service, there is a big difference between a good or asset (like a mortgage or insurance policy) and the transaction that goes into getting this financial good. This is why so many companies from completely different industries are starting to incorporate this into their offerings, thanks to the fintech movement and banking-as-a-service solutions.
However, before choosing a specific company or role to work in the financial services sector, it is important to consider all of the implications of doing so. This includes the amount of time spent in the office, work-life balance, and stress levels – especially for those working in certain positions that require high levels of risk tolerance. Additionally, those in the sector often face a lot of regulations and these can be difficult to comply with.