Financial Services

Utah Strategic Industry Clusters

Contact

Al Landon | Financial Services Cluster Director | Utah Center for Financial Services, Executive Director al.landon@eccles.utah.edu 435-901-1040

Financial Services

This cluster includes commercial and industrial banks, credit unions, fintech businesses, insurance organizations and other financial service enterprises. Most businesses in this cluster are state and federally regulated, adding a level of complexity and restrictiveness to their formation.

Initiatives

GOED and the Utah Center for Financial Services (UCFS) announced a partnership to expand and grow the financial services industry in Utah. Under the new partnership, UCFS will engage organizations looking to establish financial services business in the state by helping navigate the process of chartering or licensing in Utah. UCFS will direct research on issues affecting financial services businesses and advocate on behalf of growth-oriented approaches that also protect consumers.

In addition, UCFS will work with stakeholders to support the development of universitybased education programs that prepare students to work in the financial services sector. These stakeholders include financial service trade associations and their members, federal and state banking regulators, EDCUtah, Department of Workforce Services and businesses looking to understand the benefits of basing their financial services business in Utah, as well as their investors and other industry professionals.

Outcomes

The financial services sector continues to embrace the importance of digital distribution as customers expect more technology-based financial services. This trend could be a positive for Utah if fintech businesses can locate and expand in the state.

Challenges and Achievements

Rural Utah provides challenges for cluster-based development. In most rural counties, the predominant occupations are unlikely to attract financial services firms to the area.

According to the Kem C. Gardner Policy Institute, finance clusters have been top performers since 2005, with growth rates exceeding those of the other clusters as well as the state economy as a whole.