Financial services are a group of industries that help companies, governments, and individuals make, invest, and manage money. They include banks, credit unions, investment agencies, and stock market brokers.
The Financial services sector is a very important part of a nation’s economy. It provides the free flow of capital and liquidity in the marketplace, which helps drive consumer confidence and purchasing power. When this sector is strong, it helps drive a nation’s economy, but when it is weak it can drag an economy into a recession.
Banks are institutions that collect deposits, pool them, and then lend them to borrowers who need the money. They also offer banking services such as checking and savings accounts, money market funds, credit cards, and mortgages.
Brokerage and investment agencies are middlemen who facilitate the buying and selling of stocks, bonds, options, mutual funds, and other securities. They also provide financial advice and act as consultants.
Insurance is another major subsector of the financial services industry. These services are used to protect people from certain risks such as death, disability, property loss, or liability.
The financial services sector is a big one, with thousands of different career paths available to choose from. A bachelor’s degree is not usually required to get a job in this field, but many jobs require a combination of hard skills and soft ones.