Scott Tominaga Looks at the Key Players in the Financial Industry

The financial industry is huge. In a sense, every single organization, business, nonprofit, and individual is part of the financial industry, mainly because they contribute to the economy. This is why financial experts like Scott Tominaga believe it is easier to comprehend the key players in this industry if it is further subdivided into different elements of industries. Specifically, he has looked at who the main professionals are found within the financial services sector.

The Key Financial Services Professionals According to Scott Tominaga

According to Tominaga, the sector of “financial services” is part of the tertiary sector. This sector has a number of key professionals, experts, and institutions. Those are:

  • Banks, which play perhaps the greatest role of all. There are numerous different types of banks, including high street banks, commercial banks, and credit unions. Overall, however, they are led by the central bank, of which there is one in almost every country. They, in turn, regulate the foreign banks, development banks, cooperative banks, and so on.
  • The hire purchase financiers, which are those experts that enable consumers to purchase products and pay for them over a period of time. Perhaps the best known ones are those that offer car finance, and those that offer store cards.
  • Leasing companies, who offer both operating and financial leases. This ensures that people can acquire and use assets, while never quite owning them. Again, cars and other types of vehicles are most commonly leased, but there are other types of leases as well. Most of the time, it relates to some sort of equipment, however.
  • Factoring professionals, who ensure a seller receives at least 80% of the value of sales that they generate.
  • Merchant bankers and underwriters, who help to promote different services. Furthermore, they are key drivers for capital market activity.
  • Book builders, who help businesses to ensure different investor categories are allotted the right kind and right volume of shares.
  • Mutual funds, which are there so that the public can make investments as well. Furthermore, they provide investment tax relief services.
  • Credit card companies, who are there to ensure that people have money to spend, while charging them interest to grow their own finances. The role credit card companies play in keeping the economy keeps going is huge.
  • Credit rating companies, who collect and maintain data on each individual, assigning them a credit rating using complex algorithms.
  • Housing finance, mortgage, and insurance companies. They build the housing market and ensure that investment in the economy as a whole can continue to grow.
  • Various other finance companies, outside of the banking industry itself. They ensure other funds are provided as and where needed. Hard money lenders are a good example of this. They ensure the economy remains active overall.

The final player to think about, according to Tominaga, is the government. They oversee all the other players, ensuring they follow the appropriate rules and regulations.