How do I get a graduate job in financial services?

Everything you need to know about graduate jobs in actuarial work, insurance, regulation, retail banking or risk.

'Financial services’ as a career sector is difficult to define. One company’s financial services vacancy might be another’s banking and investment role and the variety of graduate jobs available defies easy clarification. However, all financial services roles directly affect the everyday lives of ordinary people. Career areas include:

  • Actuarial. Actuaries work with statistics and probabilities and are employed in three main business areas: pensions, insurance and investment. 
  • Insurance. The industry provides financial protection to individuals and businesses from unforeseen risks. Job opportunities exist in underwriting (calculating the price of risks); managing operations (making sure transactions occur smoothly and overseeing improvements); sales and marketing; claims; and specialist areas such as actuarial, marketing, IT and strategy. 
  • Regulation and compliance. The practice of working with the financial services industry to ensure that legal standards are adhered to. The range of firms subject to regulation means that there is a wide choice of role and employer. Graduates could work for the UK regulatory body (the Financial Services Authority, or FSA) or in a compliance role within a commercial organisation. 
  • Retail banking. Retail banks deal with clients ranging from individuals with personal accounts to multinational corporations. The sector used to be dominated by the high street banks but there is far more competition these days, with building societies, supermarkets and internet providers now offering financial services.
  • Risk management. This is concerned with ensuring that a company has good processes, meets its objectives and avoids unexpected losses.

Graduates are often surprised by how many different career paths there are available: over 50 different formal careers are on offer, most available through graduate schemes.

Why should I consider graduate jobs in retail banking, insurance, regulation or actuarial work?

Most graduates find their careers in insurance, actuarial work, regulation or retail banking by chance, and finds that it suits them better than investment banking would. These areas of work combine the adrenaline and excitement of working in the City, but also allow you a good work/life balance. In retail banking and insurance careers, you are also more likely to take on a amount of responsibility from the start: retail banking graduates go straight into management roles, for example.

Plus, although there are many vacancies in the City, there are also plentiful opportunities around the country. If you want a finance career but London isn't for you.

What degrees and skills are relevant for a financial services career?

You can get most jobs in insurance, retail banking, risk management and regulation and compliance without a finance or business degree. In practice, actuaries need to have a numerate degree.

Managers wanted!

Some employers will be looking for graduates in business-related disciplines, but many are on the lookout for management potential, so your degree subject will be less important than the skills and experience you have notched up while doing it. If you don’t have a related degree, you will need to show your commitment to entering the area you’re interested in. Find an internship in a financial services organisation, attend company presentations and careers fairs, and research the area and companies you are applying to.

The skills recruiters want in all graduates include:

  • Planning and organisation
  • Teamworking
  • Communication/interpersonal skills
  • Management potential
  • Adaptability
  • Motivation
  • Analytical abilities
  • Numerical skills.

What type of graduate employers are there in financial services?

Due to the diversity of the sector, graduates could find themselves working for a traditional high street bank, building society or insurer, or with one of many other organisations now providing financial services such as supermarkets and specialist firms. Opportunities exist in four main areas:

Financial services providers
Large companies offering a range of financial services such as retail banking and savings accounts. These tend to be international groups with a network of branches across the UK.
Diverse international groups
Businesses that have built their reputations in a different sector but have diversified into financial services. Examples include companies such as Sainsbury’s, Tesco and Virgin Money.
Specialist firms
Firms that offer services such as actuarial consulting, risk management, underwriting and reinsurance.
Regulation
The industry regulator, the Financial Services Authority (FSA), also employs graduates.

What does the application process for financial services jobs involve?

Many of the big recruiters run graduate schemes and most applications are made online. Closing dates for applications vary widely so it’s best to check individual employers’ websites. Recruiters will want to see academic achievement, usually expecting a 2.1 degree as well as evidence of ‘soft’ skills such as communication, teamwork and relationship building.

As well as filling in an online application form you usually have to complete online aptitude tests, perform a variety of tasks at an assessment centre day and attend one or more interviews.

How to get hired by these insurance, retail banking and regulation graduate employers

Insider info on applying to:

What work experience and internships are available at retail banking, actuary, insurance and regulation employers?

The most common forms of finance-related work experience are:

  • Formal internships: usually aimed at penultimate-year students and most are held in the summer holidays.
  • 'Taster' and 'insight' internships for first years: a new development.

Doing an internship is one of the best ways to get a job in financial services before you graduate. Deadlines usually fall in March and the application and selection methods are as strict as they are for graduate jobs, so follow the advice in the applications and interviews section. Most financial services employers use their internships as part of their graduate assessment process: one actuarial consultancy told us they aim to fill 75% of their graduate places with their interns.

On your internship, as well as an induction and training, it is likely that you will be given your own workload and project to manage. The work will be similar to that of a recent graduate employee. 

How do salaries in financial services compare with those in banking and investment?

Starting salaries are not as high as those in banking and investment but they are still generous – often between £20,000 and £25,000. Bear in mind that many companies also offer excellent benefits, including discretionary bonuses, golden hellos, gym membership, life assurance, private healthcare and share options.

Further help and research

What if I want a graduate job in investment banking or accountancy?

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