Why invest in Financials?
Together, financial companies form one of the largest investable sectors in the world.
More than just banks, they include insurance companies (non-life insurers, reinsurers, life assurers and so on), other financials companies such as asset managers and stock exchanges, and more recently, technology-based providers such as online payment companies and challenger banks.
That breadth provides investors with a vast array of choice, with investors able to tap into the high growth potential of fintech or income in the form of dividends.
How the companies operate - and in turn how they perform from an investment point of view - can differ markedly from region to region, again creating opportunities.