Finance is a broad term that covers a wide range of careers. It can be broken down into two categories: consumer services and corporate finance.
Corporate finance is the area of finance that deals with the finances of businesses, while consumer services refers to the provision of financial products and services to individual consumers.
Both areas have their pros and cons, so it’s important to carefully consider which one is right for you before making a career decision.
In this article, we’ll be focusing on finance consumer services but before we delve in fully, let’s understand Finance itself.
Finance Sector Overview
Finance is a term that can be used to describe many different things, but most generally it refers to the art and science of managing money.
The finance sector is an industry sector that comprises a broad range of activities including the provision of financial services, the management of financial assets, and the financing of economic activity. The finance sector has evolved rapidly over recent years and now comprises a range of specialized sub-sectors.
The finance sector is critical to the functioning of the economy and plays a pivotal role in the allocation of resources and the distribution of risks. The sector is also a major source of employment and contributes significantly to economic growth.
The finance sector is highly regulated and supervised by a number of national and international bodies. These include the central banks, the securities and exchange commissions, and the prudential regulators.
Is Finance A Good Career Path?
Working in the finance sector can be a very rewarding and challenging experience. The sector offers a wide range of career opportunities, from working in banks and other financial institutions to working in the securities and investment industry, working in insurance, to working in the public sector.
The finance sector is also a highly competitive environment, with many jobs requiring highly skilled and qualified workers. As a result, individuals who are interested in working in the finance sector need to be prepared to invest time and effort into their education and training.
According to a website that summarized how consumer financial services are a suitable career path to embark on; they said, the finance consumer services industry is an excellent route to advance from entry-level to professional rank.
Individuals who are considering a career in the finance sector should consider the following factors:
- The type of work that is available in the finance sector.
- The skills and qualifications that are required to work in the finance sector.
- The level of competition in the finance sector.
- The salary and benefits that are available in the finance sector.
What is consumer services finance and what does it involve
Consumer services finance is a type of financial service that is provided to consumers by financial institutions. These services can include credit cards, loans, and other types of credit. Consumer services finance can also include financial planning and advice.
What are the pros and cons of working in consumer services finance
There are a number of pros and cons to working in consumer services finance.
Some of the pros include:
- The ability to help people improve their financial situation.
- The opportunity to work with a variety of different people.
- The chance to learn about a wide range of financial products and services.
Some of the cons of working in consumer services finance include:
- The high level of competition in the industry.
- The need to constantly update your knowledge and skills.
- The pressure to sell financial products and services.
Top Companies in the Financial Services Sector
The financial services sector is a large and diverse industry. The largest companies in the sector are banks, insurance companies, asset management firms, and investment banks.
The following is a list of the top 10 companies in the financial services sector by revenue:
- Berkshire Hathaway
- Ping An Insurance Group
- ICBC
- Bank of China
- JPMorgan Chase & Co.
- Bank of America Corp.
- Fannie Mae
- HSBC
- Wells Fargo & Co.
- BNP Paribas
These companies are all leaders in their respective fields and have a strong presence in the global financial services sector.
Read Also: Is Consumer Services A Good Career Path?
Best/ Highest paying finance jobs
There are a number of different finance jobs that offer high salaries.
Some of the best/highest-paying finance jobs include:
1. Investment banker
National average salary: $61,929 per year
Primary duties: Investment bankers manage the portfolios of businesses and government agencies that invest in a number of different businesses. These professionals help clients raise and invest capital in a way intended to help the business achieve its financial growth goals.
2. Information technology auditor
National average salary: $63,412 per year
Primary duties: IT auditors usually work for government agencies or private companies to confirm the technology infrastructure meets compliance needs and other enterprise IT needs. They spend their days conducting audits and should be skilled at doing so, which sometimes requires certification.
3. Compliance analyst
National average salary: $64,443 per year
Primary duties: This is a financial professional who audits a business for compliance against standards set forth by various governing agencies. The finance industry is very compliance-driven since long-term economic stability and financial growth rely on established standards. Compliance analysts review data, process, and financial infrastructure to ensure regulations are met.
4. Financial advisor
National average salary: $66,931 per year
Primary duties: These are professionals who help customers identify short- and long-term financial goals and lead them to products that make sense. The duties of an insurance advisor include being knowledgeable of insurance products, working closely with underwriters and people in risk assessment and being a primary point of contact for clients.
5. Insurance advisor
National average salary: $67,263 per year
Primary duties: Insurance advisors help customers find the best insurance products to meet long- and short-term insurance needs and provide guidance on purchasing decisions with regard to insurance for people, home, auto, investments and more.
6. Financial analyst
National average salary: $69,419 per year
Primary duties: Financial analysts comb through financial data to help business stakeholders make informed decisions about company finances. They work for financial institutions like banks, funds, insurance companies and more to support the buying decisions and needs of customers all over the country.
7. Senior accountant
National average salary: $72,639 per year
Primary duties: Senior accountants are usually at the top of an accounting hierarchy and are responsible for the day-to-day duties of accounting. They perform tasks like being accountable for sticking to budgets, meeting accounting goals and overseeing corporate expenditures.
8. Hedge fund manager
National average salary: $98,256 per year
Primary duties: Hedge fund managers perform similar duties to investment bankers, but work with higher risk and reward portfolios for investors who pool their capital to make investments in hedge funds. Hedge fund managers must monitor markets to protect investors, and for that reason, they are awake early and leave the office late. Hedge fund investing is rarely a career with typical full-time hours.
9. Financial software developer
National average salary: $106,124 per year
Primary duties: Financial software developers work in the growing Fintech space, creating programs that meet the needs of financial institutions and end-users.
10. Private equity associate
National average salary: $108,152 per year
Primary duties: These professionals network with investors to gain private equity they then apply to business investments that diversify the investors’ portfolios.
11. Chief financial officer
National average salary: $127,729 per year
Primary duties: The duties of a CFO are vast and include overseeing analysts and budgeting, making cost-related decisions about technology infrastructure and managing financial teams.
12. Chief compliance officer
National average salary: $128,380 per year
Primary duties: Chief compliance officers oversee all duties and departments related to meeting requirements of compliance standards. CCOs deal with policy management and compliance monitoring to help businesses operate most efficiently and avoid non-compliance fees.
What is the job outlook for the financial services sector
The job outlook for the financial services sector is positive. The sector is expected to grow at a rate of 5% between 2016 and 2026.
This growth is driven by a number of factors, including the increasing demand for financial services, the aging population, and the continued globalization of the economy.
The following are some of the most popular jobs in the financial services sector:
- Accountant
- Auditor
- Economist
- Financial Analyst
- Financial Manager
- Loan Officer
- Personal Financial Advisor
- Stockbroker
- Tax Examiner
The financial services sector offers a wide range of career opportunities for individuals with the right skills and qualifications.
What are the skills and qualifications needed to work in the financial services sector?
There are a number of skills and qualifications that are needed to work in the financial services sector.
Some of the most important skills and qualifications include:
- A strong understanding of financial concepts and principles.
- The ability to use financial software and applications.
- The ability to communicate effectively with clients and colleagues.
- The ability to work well under pressure.
- The ability to meet deadlines.
Individuals who are interested in working in the financial services sector should have a strong educational background in finance, accounting, or economics.
What is the salary and benefits package for employees in the financial services sector?
The salary and benefits package for employees in the financial services sector is competitive.
Salaries in the sector are based on experience, qualifications, and job roles.
The following are some of the most common benefits offered to employees in the financial services sector:
- Health insurance
- Dental Insurance
- Vision insurance
- Retirement plans
- Employee assistance programs
- Tuition reimbursement
Employees in the financial services sector also have the opportunity to earn bonuses and commissions.
References:
- indeed.com: 12 of the Highest Paying Finance Jobs
- Wikipedia.com: List of largest financial services companies by revenue
- a2zcareerinfo.com – Best paying jobs in finance