Financial Services Overview

Financial services means the services offered by the finance industry. The finance industry comprises a wide range of organizations, for example, banks, insurance companies, stock brokerages, credit card companies, investment funds, consumer finance companies, government sponsored enterprises etc, dealing with the money management.
Many financial organizations provide financial services to the people. The financial services industry has represented 20% of the market capitalization, as of 2004, of the S&P 500 in the United States.

The term “financial services” has got the importance in the United States due to the result of the Gramm-Leach-Bliley Act of the 1990s, which allowed different types of companies operating in the financial services industry of US to merge. In the United States of America, almost every company, which previously addressed themselves as a bank or brokerage house or insurance company, now describes themselves as a financial services institution.

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