Financial services are a crucial part of the world economy and affect both individuals and companies. When this sector and a country’s economic health are strong, consumer confidence and purchasing power rise; when it falters, the economy suffers. The sector encompasses everything from credit card companies to Wall Street and small community banks. It includes mortgage lenders, investment bankers, debt resolution firms and global payment providers like Visa and MasterCard.
While the term “financial services” might seem all-encompassing, it actually has specific definitions and categories that are important to understand. For example, a financial service is any activity that involves the inflow or outflow of money and can include everything from transferring funds between accounts to cashing checks. It also includes the lending of money, issuance of securities and debt instruments and notary services.
It is critical for a financial services company to be able to anticipate the needs of its customers and deliver products and services that help them through life’s pivotal moments. To do this, they must examine customer data and look for patterns that indicate when a client might make significant purchases. For instance, when a new baby is on the way or someone might be getting married.
Working in a financial services industry can provide great job security and often requires more interpersonal skills than technical ones. This makes it an excellent option for those who want a career that is both challenging and rewarding.