The finance industry is one of the most flourishing sectors across all times and situations. This is one such industry where the workforce demand includes a spectrum of resources from freshers to experienced professionals. Progressing into a career in finance is as challenging as interesting it is.
Here are some of the factors that makes career in finance so exciting –
- Large intake of resources
- High earning potential in terms of financial rewards
- Quick and substantial growth
- Earning scope directly proportionate to performance
- Timely upgrade of knowledge and skills
The finance industry in India is multidisciplinary, offering a number of positions with a varied skill set requirement. The sub industries within the ambit of Finance is what makes it full of opportunities.
Fintech- a novel field that clubs finance, technology and innovation
Financial technology or more popularly known as “Fintech” is one of the fastest growing sub industries in the ambit of finance. Fintech aims to improve, automate and revamp the processes pertaining to use and delivery of financial services with the intervention of technology. It is directed towards customer-oriented service delivery focussing on ease of use with high levels of convenience.
Techniques such as cloud-based solution, block chainand a myriad of tools are adopted with the focus on improvisation of services by cutting costs and making financial services accessible to the remotest corner of the country. For example, advent of startups like paytm, Phonepe, policy bazaar, lendingkart and so on are just the beginning. With the introduction of technology and innovation, sub industries or segments such as insurance, payments, lending, investment, retail banking, crowd funding represents a great deal of opportunities thereby making it diverse and dynamic.
Financial Planning-
Financial Planning is a step wise approach to meet an individual’s life goals. It acts as a user manual to set up proper savings/ investments in the right platform so as to achieve the goals at ease while taking care of every uncertainty that comes in way.
Some of the advantages of Financial planning includes-
- Realising one’s goals
- Increase in savings
- Preparedness to handle any unforeseen events
- Handle inflation
- Wealth creation
- Retirement Planning
- Child education and so on
There is one major catalyst that connects and hold these points together and that is “Money”. It’s not just about having money; it’s about having it at the right time that matters.
Financial Planning – Scope
The services of financial planning enable a family/ household to manage their finances in tune with their short and long-term goals. It is a systematic process that requires consistent and continuous attention to the changing market landscapes, product performances, changes in the needs/goals and current financial status of the client. The ability of a financial advisor/ professional lies in dynamic management of the plan in accordance with the changes. Some of the defined scope of financial planning services are as follows-
- Personal Finance Analysis
- Debt Counselling
- Insurance Planning
- Investment Planning
- Asset class selection and allocation
- Tax and estate planning
Consistent monitoring and periodic review will help to make timely changes and corrections so as to ensure that the ends meet.
Insurance- Need
Insurance is a form of risk management techniques that provide protection against uncertainties that lead to financial loss. The basis of insurance is built from the concept of “Pooling of risk” and in technicality it involves transfer of risk from the beneficiary (insured) to the insurance company (insurer). In exchange for protection, the beneficiaries pay a sum called as the premium. The amount (premium) payable depends on many factors such as age, probability of the uncertainty occurring during the term, health conditions and so on. In the absence of insurance, the loss arising out of the event has to be borne by the person who would have otherwise enjoyed the risk coverage.
