Financial services is the industry that provides products and services that put money to productive use. These products and services include depository institutions (banks, credit unions, savings accounts, and other deposit products), insurance companies, and providers of credit and financing. The industry also includes the market participants that enable the exchange of these goods and services, such as brokerages, stock markets, and exchanges.
The importance of the industry to the economy and the need to foster trust among providers and consumers are among the reasons why governments oversee the provision of many financial services. This oversight typically involves licensing, regulation, and supervision. In the United States, for example, there are a number of agencies—some state, some federal—that supervise different parts of the market.
While the financial services industry can be very lucrative, it’s also incredibly competitive. That’s why it’s so important to network, and find a mentor who can help you achieve your goals in the industry. Also, don’t be afraid to accept entry-level positions—while you may not want to become a CEO of a large investment firm by year three, the right job can help you get closer to your career goal.
While the world of financial services is constantly changing, the basics remain the same. To stay ahead of the competition, you need to understand your customers and their needs. This means that you need to know how your product or service will add value to their lives.