The financial services industry encompasses a variety of professional firms that offer a wide range of money and investment related products and services. These include banks, credit unions and cooperatives, building societies, credit card companies, insurance companies, investment funds and other intermediaries. Financial services are important because they help individuals and businesses obtain the money they need to make purchases or invest. In recent years, advances in technology and changing consumer expectations have brought about significant challenges and opportunities for the industry.
Banks are among the most well-known of the financial service providers. They primarily act as middlemen between savers and borrowers, collecting deposits from those who have money to pool them together and lending the funds to those who need them. They also provide other auxiliary services such as payment and transfer systems, securities trading and underwriting, credit reference and analysis, advisory, intermediation and other auxiliary financial services, and custodial, depository and trust services.
Another financial service provider is the credit union, a type of financial co-operative that offers its members a range of savings and loan services, such as home loans and car finance. Credit unions are also known for providing personal and business insurance services, as well as credit cards and other supplementary banking products. Other financial services providers include credit-card companies, private equity and venture capital firms, investment funds and hedge funds, asset management firms, leasing companies, hire purchase and rental companies, life insurance companies, reinsurance companies and other insurance intermediaries.
As a sector that contributes to the economic prosperity of the country, the UK financial services industry employs more than 2 million people. It is one of the most important industries for the economy, and the number of jobs within this field has been growing steadily over the past few years.
Careers in the financial services industry are varied and rewarding. The types of positions vary from entry-level roles that give you the opportunity to learn and develop skills on the job, to senior positions where you can lead a team and have an impact on the direction of your company.
It is a highly competitive industry and it is often not about what you know, but who you know. Therefore, it is essential to build a strong network of connections in order to get ahead and advance your career. A good place to start is with an internship or trainee program. This will allow you to gain experience in the industry while learning from established professionals and demonstrating your value to future employers.
Once you have built a network of contacts, it is time to start looking at what kind of role you want to pursue. You may decide to specialize in a particular area, or you may want to take on an advisory or leadership role. It is important to research the different roles and companies, as this will help you determine what area is right for you. It is also worth considering whether you would like to work for a large corporation or a smaller, independent firm.