This area covers a vast array of markets and roles outside of accountancy and stockbroking. It could mean pricing bonds, working on the risk of business loans or mergers and acquisitions. Within the financial services sector there is a wide array of roles available as clients seek diversity for their money. With London being a prime place for corporate office space, there is money to be made investing in office blocks being built and renting them out to tenants and there are fund managers focusing on this area as well as many others.
Each and every financial company deals with very large sums of money and quite often the money under their control does not belong to them. If you think about it, everyone keeps their money in a bank and once their money is in that bank account they no longer have total control over it. The bank makes money from lending the money out to businesses and other individuals whilst trying to ensure they do not overexpose themselves but get the best rate of return for the risks involved.
Businesses that choose to invest in other ventures tend to use financial services companies to help them do so and use their advice to make important decisions. Likewise, when someone asks an Independent Financial Adviser to look after their finances or taxes, they will hope and trust that person not to make a mistake.
Effectively, everyone’s financial fates are in the hands of the different organisations we trust with our money. Therefore the banking and finance sector have a lot of responsibility when carrying out all of their different functions to ensure society as a whole doesn’t grind to a stop. A real fear in 2007 when the banking sector had overexposed themselves to the risk of packaged bonds that had been put together from people taking out mortgages that were either too large or not suitable for their circumstances. Considering all this, careers in this sector can be extremely exciting, rewarding and satisfying, but at the same time they can be incredibly stressful and highly-pressurised. This is something that is often reflected in the high salaries and high potential bonuses that characterise the sector.