Financial services are crucial to the functioning of an economy. They enable individuals to purchase consumer goods and services, while helping organisations raise finance.
The financial services industry is divided into several sectors. There are insurance companies, banks, brokerage firms, and investment firms. Each has its own set of skills, knowledge, and abilities.
Financial service providers offer advice and make loans to clients, while investing their money. They also help companies sell and buy securities. They can add value to investors by minimizing risk and monitoring investments.
The Financial Industry Regulatory Authority (FINRA) and the Office of the Comptroller of the Currency oversee the operations of financial institutions. They are responsible for ensuring that companies operate ethically and fairly. The Glass-Steagall Act of 1995 was a part of financial regulation. The repeal of this law created opportunities for both large and small financial organizations to expand.
Despite the recent crisis, the stock market is rebounding. This is a positive sign for the future of the financial services industry.
Banks, brokerage firms, and other financial institutions are now more accessible to a broader range of consumers. Some of these services are provided online. For instance, online banking features user-friendly apps, higher APY accounts, and reduced overdraft fees.
A career in financial services can offer a wide variety of job possibilities. There are many positions in the industry, from investment portfolio managers to mortgage lenders. If you have strong networking connections, you have a better chance of breaking into the field.