Financial Services | Investor's Almanac
Financial services are economic services tied to finance provided by financial institutions, encompassing a broad range of service sector activities, especially
Overview
Financial services are economic services tied to finance provided by financial institutions, encompassing a broad range of service sector activities, especially as concerns financial management and consumer finance. The finance industry and financial services industry concern commercial banks that provide market liquidity, risk instruments, and brokerage for large public companies and multinational corporations. With various styles of financial institutions, including credit unions, banks, and brokerage firms, financial services play a crucial role in the quaternary sector of the economy. The financial services industry has been the subject of numerous protests and demonstrations, including the Occupy Wall Street movement, which highlighted issues of income inequality and corporate greed. With the rise of digital payment systems and online banking, financial services are becoming increasingly accessible and convenient for consumers, but also pose new challenges for regulators and financial institutions alike.