Financial services refer to products offered by financial institutions like banks, insurance companies, and mutual funds. These include loans, credit cards, investments, and stock trading. Financial services have key characteristics of intermediating funds, intangibility, and perishability. Main functions include facilitating transactions, mobilizing savings, allocating capital, and meeting financial needs. There are various types of financial services based on consumers (individual or business), fund utilization (lending or non-lending activities), geography, and other features. Mutual funds are a form of financial service that pools investor money to invest in securities under different schemes.

1. By
YOGESH KUMAR .DS
Financial Services

2. Meaning
 Refers to services provided by the financial
institutions. Such as Banks, Insurance
Companies, Mutual Fund Companies, Venture
Capital companies, etc.
 In other words, Financial services as the products
offered by financial institution like loans, credit
cards, investment opportunities, stock market
services etc.

3. Characteristics or Features
 Financial Intermediation
 Customer oriented
 Intangibility
 Inseparable from Production and Consumption
 Tendency to Perish
 People and Machine Based services
 Market Dynamics

4. Functions of Financial Services
 Facilitating transactions
 Mobilizing the Savings
 Allocating the Capital
 Meet the Financial needs
 Transfer the Financial benefits
 Increase the efficiency and effectiveness of the
Financial Transactions

5. Types of Financial Services
 Based on Consumers
 Based on Fund utilization
 Based on Geography
 Based on Features

6. Based on Consumes
General Consumers Business Consumers
 Deposit Services
 Loan Services
 Insurance services
 Advisory Services
 Stock market
Services
 Foreign Exchange
Services
 Corporate Finance
 Risk Management
 Merchant Banking
 Loan Syndication
 Factoring
 Insurance Services
 Portfolio Management

7. Based on Fund Utilization
Fund Based Services
Non-fund Based
Services
 Underwriting Services
 Dealing in secondary
market activities
 Mutual Fund Services
 Venture Capital Fund
Services
 Loan Syndication, etc.
 Managing Capital
Issues
 Provide the Financial
Assistance for
marketing the securities
 Arrangement of Funds
 Assistance for seeking
the clearance form
regulating institutions
 Factoring

8. Mutual Funds
 It is a form of Financial Service, under this fund
raised by the company by sale of units to the public,
under one or more schemes, for investing in
securities.
 A form of Scheme
 Collected money in Small units
 Principle of Mutual benefits
 Under trust services
 Accordance with regulations

9. Investo
rs
Securitie
s
Returns Fund
Manager
Passed
Bank to
Invest in
Pool
their
Money
with
Generate
s
Mutual
Fund

10. Organization of Mutual Fund
 Sponsorship
 Trust
 Asset Management Company (AMC)
 Custodian
 Mutual Fund Schemes
 Transfer Agent
 SEBI (Regulator)

11. Classification of Mutual funds
 On the basis of Operation
Open End,
Closed End and
Interval Ended.
 On the basis of Geographical
Domestic Funds
Off Shore Funds

12.  On the basis of Investment Objectives
Income Scheme
Growth Scheme
Balanced Scheme
Tax Saving Scheme
Sector Funds
Index Funds
Money Market Funds
Gilt Funds