Financial services is a term used to refer to the services provided by the finance industry. Financial services is also the term used to describe organizations that deal with the management of money. Banks, investment banks, insurance companies, credit card companies and stock brokerages, are examples of the types of firms comprising the industry, which provides a variety of money and investment related services. Financial services is the largest industry (or industry category) in the world, in terms of earnings; as of 2004, the industry represents 20% of the market capitalization of the S&P 500.^*

History of financial services

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United States: Gramm-Leach-Bliley Act

The term financial services became more prevalent in the United States partly as a result of the Gramm-Leach-Bliley Act of the late 1990s, which enabled different types of companies in the US financial services industry to merge. Critics of this act say the term financial services attempts to make the unison of these operations sound natural, ignoring the history of problems that have arisen from combining them, such as conflicts of interest and monopolization. Others, noting that many of the restrictions abolished by the Gramm-Leach-Bliley Act had never existed in other countries or had been abolished earlier than in the US, say the term financial services is a natural one, in long term use, which means nothing more than its constituent words.

In the USA almost every company now which previously described themselves as a bank, insurance company, or brokerage house, now describes themselves in some way as a financial services institution. Allstate Insurance, for example, now provides CDs and investment brokerage services. Bank of America offers full featured brokerage products, while E*TRADE has expanded into offering bank accounts and loans. Companies usually have two distinct approaches to this new type of business. One approach would be a bank which simply buys an insurance company or an investment bank, keeps the original brands of the acquired firm, and adds the acquisition to its holding company simply to diversify its earnings. Outside the US, e.g., in Japan, non-financial services companies are permitted within the holding company. In this scenario, each company still looks independent, and has its own customers, etc. This is essentially the style of Citigroup and JP Morgan Chase.

More on [ Financial services ]

Financial Services - Twitter Search

RT @netbanker: Co-op Financial Services, a large credit union service provider, just launched mfoundry-powered iphone http://bit.ly/tjbk6
CUServiceCenter (Shared Branching) Mon, 26 Oct 2009 16:34:48 -0000
RT @netbanker: Co-op Financial Services, a large credit union service provider, just launched mfoundry-powered iphone http://bit.ly/tjbk6
Trader Talk With Art Cashin (10.26.09): Arthur Cashin, director of floor operations at UBS Financial Services, .. http://bit.ly/mDtcM
venstam (venstam) Mon, 26 Oct 2009 16:33:03 -0000
Trader Talk With Art Cashin (10.26.09): Arthur Cashin, director of floor operations at UBS Financial Services, .. http://bit.ly/mDtcM
Director of Financial Services - District of North Saanich (North Saanich, BC) http://tinyurl.com/yf3bvpe
civic_finance (CivicJobs - Finance) Mon, 26 Oct 2009 16:32:51 -0000
Director of Financial Services - District of North Saanich (North Saanich, BC) http://tinyurl.com/yf3bvpe
Co-op Financial Services, a large credit union service provider, just launched mfoundry-powered iphone http://bit.ly/tjbk6
netbanker (Jim Bruene) Mon, 26 Oct 2009 16:32:46 -0000
Co-op Financial Services, a large credit union service provider, just launched mfoundry-powered iphone http://bit.ly/tjbk6
British Columbia Job Teller - financial services (Surrey, White Rock - British Columbia): .. http://bit.ly/QWhHq
JobsinBC (Jobs in BC) Mon, 26 Oct 2009 16:31:29 -0000
British Columbia Job Teller - financial services (Surrey, White Rock - British Columbia): .. http://bit.ly/QWhHq
ING pledges to split and sell divisions: Dutch financial services giant ING has announced plans to split itself.. http://bit.ly/2KDNkk
wnprnews (John Dankosky) Mon, 26 Oct 2009 16:29:31 -0000
ING pledges to split and sell divisions: Dutch financial services giant ING has announced plans to split itself.. http://bit.ly/2KDNkk

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