Financial services are the market of businesses that deal with money management, like banks, credit card companies, insurance agencies and stock brokerages. They provide the funds that allow people to buy the goods and services they need in life, such as housing or education, and also help them invest for the future.
Banks are the most familiar example of financial services, but there are others. They collect deposits from people with money to save, and then lend that same money to borrowers who need it for things like buying a car or starting a business. These institutions are crucial because they help people get the funding they need when they need it.
Other financial services include credit rating agencies that evaluate the risk of lending; investment banking firms that underwrite and advise on mergers and acquisitions; and debt resolution services, which help individuals who owe money to pay it back. The financial services industry also includes global payment systems and networks, such as credit cards, and currency exchange and wire transfer services. It also includes securities research, which is the practice of researching and maintaining a public stance on specific stocks and industries; prime brokerage, which offers exclusive services to high-net worth individuals; and trading platforms for stock, derivative and commodity markets.
Companies in the financial services sector usually have high employee retention rates and offer competitive compensation, with salaries starting around PS45,000 and rising to the high five figures. The field is known for rewarding aptitude over tenure, and employees are often given a good amount of responsibility early on. Many of these firms also invest in their employees, offering continuing education and on-the-job training.