Financial services are the economic services provided by the finance industry, which encompasses a broad range of businesses that manage money, including credit unions, banks, credit-card companies, insurance firms and investment funds. The industry is important because it allows individuals and businesses to borrow and invest capital, which in turn creates jobs and drives economic growth. Financial services also help individuals manage risk and save for future expenses, such as education, housing and healthcare.
Most people think of banking, credit cards and mortgages when they hear the term “financial services,” but this industry is much larger than that. It includes many different businesses that impact all parts of a person’s life, from managing debt to buying and selling stocks. In addition to affecting individual consumers, the industry serves small businesses, large corporations and even government agencies.
A person can break into the field in several ways. One way is to work in an entry-level role at a bank or other company and move up the ladder based on merit. Another way is to attend a school that offers an associate or bachelor’s degree in finance. This can be a good foundation for someone interested in entering the field, as it will teach them many of the basics of the industry.
Once they have a bachelor’s degree, a person can apply to work in the industry through a job posting or by networking with other professionals in the field. Because the industry is so competitive, it is important to have connections that can vouch for a person’s qualifications. Many financial services firms are known for promoting from within, so those with the right skillset and work ethic can advance quickly.
Those who are seasoned can also join the industry by working for a non-profit or serving on a board of directors for a public company in exchange for a lower salary. This can give a person valuable experience in the industry and help them get ahead of the competition.
Another option is to become a consultant for a financial services firm. This can give a person the flexibility to take on new projects and clients that they might not be able to do for their own companies. This is especially beneficial for those who want to stay in the industry but are not ready to commit to a full-time position.
It’s also possible for a person to enter the industry by creating their own business that provides financial services. This can be a good opportunity for entrepreneurs who have ideas about how to improve the way people manage their money or reduce the cost of borrowing and investing. However, this option can be very risky and requires significant startup costs. As a result, many small businesses choose to partner with established financial services firms.