Financial services are an important part of the economy and provide people with opportunities to participate in the payment world. These include banks, exchanges that offer foreign currency, investment services and insurance companies.
Banking
Banks act as middlemen between depositors and borrowers, collecting deposits and then lending them out to people who need the money. About 10% of the money deposited must stay on hand to meet FDIC reserve requirements, and the rest is used to pay interest on loans.
Consumer finance
This branch of financial services helps people get the money they need to pay for goods and services in installments over time. Some of the popular firms in this sector include credit card companies and mortgage lenders.
Personal finance
This sector of the finance industry helps individuals plan for their future by educating them about investments and retirement planning. This can help them make smarter choices about their money and avoid pitfalls like debt.
Asset management
This is another division of the finance sector, assisting people in accumulating wealth for retirement. This can include helping them invest in stocks, real estate and other assets.
Advisory services
This area of the finance industry assists both individuals and businesses with financial planning. This includes advice about buying or selling stock, investment due diligence and tax planning.
Family office
This type of firm specializes in advising a family or small group of wealthy individuals with financial plans tailored to their needs. It is a similar type of business to private banking.
Regulatory affairs
The financial services industry is subject to many regulations that protect consumers and safeguard the financial system, but can also restrict growth and innovation. This can affect the quality of products offered and how they are delivered to customers.
A strong financial services industry can lead to economic growth and increase purchasing power among the public. On the other hand, a failing financial system can drag a country’s economy down and cause a recession.
Job satisfaction
A recent survey found that professionals working in the financial services industry rated their job satisfaction between 9.6 and 10 on a scale of 1 to 10. This is good news for those looking for a career with a higher salary and a better work-life balance.
Pay
The average pay for a Financial Services Professional is PS45,000, but the higher you go in the career, the more you may be paid. This could be based on years of experience or the amount of responsibility you carry.
Managing finances is an important aspect of life, and those who have control over their money are more likely to be healthy and confident. This can help them build resilience during stressful times, and give them the ability to save for their future.
Insurance
The financial industry is a major contributor to a nation’s economy and the wellbeing of its people. Its presence provides government with an opportunity to raise short-term and long-term funds to meet its revenue and capital expenditure requirements.
