Financial services is the economic services industry that encompasses all sectors that deal with money, including banking, credit unions and savings and loans associations, credit-card companies, mortgage banks and other lending agencies, insurance companies and pension funds. It also includes all the intermediaries engaged in financial intermediation, such as brokers, investment firms and asset management companies.
Financial service institutions are vital for the economy. They help people save and invest their money in order to grow it and reap a higher return on it later. In addition, they give loans to people and businesses that need it in order to run their operations smoothly. They also provide financial advice and act as consultants to their customers.
When people think of financial services, they typically envision banks, mortgage lenders and stock brokers. However, the term “financial services” is much more broad than that. It also includes everything that touches money — from small community banks to Wall Street.
Those working in financial services often face high levels of stress. They work long hours, and may find it difficult to balance their personal life with their career. In addition, the sector is heavily regulated by government bodies. While these rules are meant to protect consumers, they can sometimes hamper innovation. Moreover, these roles are not as lucrative as others in the business world. In fact, those in some positions in this sector can earn as little as PS45,000 per year. However, job security is generally good in this field.