Orientation

Finance 101
The Map of the Financial Economy

A zoomed-out look at how money and risk move through the economy, how the major sectors interlock, and exactly where Osmosis sits inside the machine.

Use arrow keys or buttons below to navigate →
Start Here

So… What Does Finance Actually Do?

Strip away the jargon and you get three jobs:

⏳ Move Money Through Time

Turn today’s savings into tomorrow’s spending, investing, or retirement. Mortgages, pensions, CDs, annuities—different flavors of the same job.

🔁 Move Money Across People

Send capital from folks who have it (savers, allocators) to those who need it (companies, governments, households). Banks, funds, and fintech pipes make it possible.

⚖️ Price & Manage Risk

Decide who bears credit, market, longevity, or catastrophe risk—and what that risk costs. Insurance, hedging, securitization are all risk-pricing tools.

Why it matters

Every institution we sell to is just a different way of doing one (or more) of these three things.

The Map

Money & Risk Flows

Think of finance as pipes connecting four groups. Cash and information circulate continuously.

💰
Savers & Capital Providers
Households, corporates with cash, governments, pensions, endowments, insurers
entrust funds to
🏦
Intermediaries
Banks, asset managers, insurers, specialty lenders, wealth channels, fintech
who access
📈
Markets & Infrastructure
Exchanges, clearinghouses, data, rating agencies, intelligence
to fund
🏗️
Users of Capital
Corporates, governments, households, projects
💡

Osmosis’ Zoom Level

We sit inside the information layer between the institutional savers (allocators) and the asset managers courting them. The finance map is huge; we focus on the corridor where allocator voices drive fundraising.

Zoom In

Where Capital Markets Live Inside Finance

Finance is the whole universe: lending, payments, insurance, markets, regulation, treasury teams at industrial companies.

Capital markets are the channel where long-term funding gets raised and traded via securities (debt, equity, structured products). It’s where issuers meet investors.

Capital Markets Touchpoints

  • Investment banks underwriting & advising
  • Asset managers & hedge funds buying securities
  • Allocators providing capital to those asset managers

The Capital Markets 101 deck zoomed in on one corridor (allocators → asset managers). Finance 101 zooms out to the whole city map.

Osmosis context

We sell to the allocator ↔ asset manager corridor, but prospects expect us to understand how the rest of finance feeds into their world.

Cheat Sheet

The Major Sectors of Finance

Nine sectors cover 99% of the “I work in finance” world.

Sector Core Job How They Make Money Primary Customers
Retail & Commercial Banking Take deposits, make loans, run payments Net interest margin + fees Households, SMEs, corporates
Investment Banking & Capital Markets Advise/underwrite deals, trade securities Advisory & underwriting fees, trading spreads Corporates, governments, PE/VC sponsors
Asset & Wealth Management Invest on behalf of others Management + performance fees on AUM Retail investors, HNW, pensions, endowments
Insurance & Reinsurance Absorb specific risks for premiums Underwriting margin + investment income Individuals, corporates, other insurers
Specialty Lending / Private Credit Lend outside traditional bank balance sheets Interest + fees, occasional equity upside Middle-market corporates, sponsors
Payments, Cards & Fintech Move money and power commerce Interchange, processing, SaaS fees Merchants, consumers, platforms
Market Infrastructure & Data Operate the rails (exchanges, custody, intel) Transaction fees, data subscriptions, licenses All financial institutions
Public Sector & Regulation Set rules, backstop crises, manage currency Not profit-driven; policy mandates Banks, markets, broader economy
Corporate Finance (Non-Financials) Optimize capital inside real-economy firms Support function, not revenue line The business itself + external financiers
Deep Dive

Retail & Commercial Banking

Deposit money from individuals and companies, extend loans (mortgages, cards, auto, SME), and run services like payments, FX, and trade finance.

Business Model

  • Borrow cheap (deposits) → lend high → keep the spread
  • Add fee income from overdrafts, cards, treasury services
  • Balance sheet heavy + regulated

Common Roles When Someone Says “I’m in Finance”

  • Retail / SME relationship managers
  • Corporate bankers and credit underwriters
  • Payments & transaction banking sales
  • Risk, compliance, and operations staff
Osmosis relevance

These teams aren’t our buyers, but they recycle deposits into capital that later gets allocated into asset managers.

Deep Dive

Investment Banking & Capital Markets

The sell-side bridge between issuers and investors.

🤝 Advisory

M&A, restructurings, fairness opinions. Paid when deals close.

🧾 Underwriting

Price and distribute IPOs, follow-ons, bond deals, leveraged loans.

💹 Markets Businesses

Sales & trading, derivatives structuring, research, prime brokerage.

Money Comes From

  • Transaction fees on advisory & underwriting
  • Spreads and inventory gains from market making

Typical Roles

  • Investment banking analyst/associate
  • Sales & trading coverage
  • Research analyst
  • Capital markets / syndicate
Why we care

These teams interface daily with asset managers and allocators. They’re not buyers, but they influence what LPs see and when issuers hit the market.

Deep Dive

Asset & Wealth Management (Our Home Turf)

Take capital from allocators/investors → invest across asset classes → charge management & performance fees.

🏛️ Asset Owners / Allocators

Pensions, endowments, sovereign wealth funds, insurers, family offices.

💼 Asset Managers / GPs

Hedge funds, mutuals, PE/VC, private credit, infrastructure, real estate.

👥 Wealth Channels

Private banks, wirehouses, RIAs distributing products to individuals.

Where Osmosis Fits

Fundraising is existential. More AUM = more management fees. Osmosis tells capital formation teams who is allocating, what they said, and when to call—turning allocator speech into real-time dealflow.

Deep Dive

Insurance & Reinsurance

Take on life, health, property/casualty, or specialty risks. Pool and price them, then invest the float (premiums collected but not yet paid out).

Business Model

  • Underwriting margin = premiums − expected claims & expenses
  • Investment income on float → huge bond/alt portfolios

Finance Roles

  • Actuaries pricing risk
  • Investment and ALM teams
  • Distribution and product teams
Osmosis angle

Large insurers double as allocators—they run massive portfolios and allocate to external managers across private credit, PE, infra, and real estate.

Deep Dive

Specialty Lending & Private Credit

Credit intermediation outside regulated bank balance sheets.

🚪 What They Do

Direct lending to middle-market companies, mezzanine finance, asset-backed lending, factoring, leasing, distressed/special sits.

❓ Why It Exists

Banks are capital-constrained; companies still need leverage. Institutional allocators fund private credit vehicles willing to take complexity + illiquidity.

💵 Business Model

Higher yields and origination fees than bank loans, sometimes equity-like kickers. Hot category for pensions/insurers.

🎯

Prime Osmosis Buyers

Private credit managers are constantly fundraising and hyper-sensitive to allocator pacing changes. Osmosis alerts them when LPs talk about upping (or pausing) credit allocations.

Deep Dive

Payments, Cards & Fintech Infrastructure

They run the plumbing of money movement.

🛒 Card Networks & Processors

Visa, Mastercard, AmEx, FIS, Fiserv, Adyen, Stripe. Earn interchange + processing fees.

📲 Wallets & Neo-banks

Cash App, PayPal, Apple Pay, Revolut. Monetize interchange, lending spreads, subscriptions.

🧾 BNPL & Embedded Finance

Affirm, Klarna, Shopify Capital. Blend lending economics with software distribution.

Relevance

Mostly outside allocator/GP fundraising, but these firms are issuers tapping capital markets and investment opportunities that our customers cover.

Deep Dive

Market Infrastructure & Data

🏛️ Exchanges & Venues

Operate trading venues for equities, bonds, derivatives. Charge transaction + listing fees.

🔐 Clearing, Settlement, Custody

Manage counterparty risk, ensure trades close, safeguard assets.

📊 Data & Analytics

Traditional platforms (Preqin, PitchBook, eVestment, Burgiss) are libraries of historical commitments and fund attributes.

Osmosis = Intelligence Layer

We don’t store last year’s allocations—we capture live spoken conversations (IC meetings, board meetings, CIO interviews) and turn them into real-time allocator signals.

Deep Dive

Public Sector & Regulators

🏦 Central Banks

Fed, ECB, BOE, etc. Set monetary policy, act as lender of last resort, oversee bank balance sheets.

📜 Regulators

SEC, CFTC, national prudential regulators. Police disclosure, conduct, leverage.

💼 Finance Ministries

Treasury/finance ministries manage fiscal policy and sovereign debt issuance.

🗣️

Open Meetings = Signals

Many allocator decisions play out in public forums because of disclosure rules. Those recordings are exactly the content Osmosis monitors.

Deep Dive

Corporate Finance Inside Real-Economy Firms

Outside Wall Street, “finance” usually means internal teams keeping the lights on.

🏦 Treasury

Cash, liquidity, FX, funding, bank relationships.

📊 FP&A

Budgeting, forecasting, variance analysis.

🧩 Corp Dev

M&A, partnerships, strategic investments.

📢 Investor Relations

Communicate with public shareholders and analysts.

Why you should care

These teams are clients of the broader financial system. Their capital-raising, hedging, or M&A decisions create the deals that asset managers invest in.

Translation Guide

“I Work in Finance” Usually Means…

🧾 Sell-Side

Investment banking, sales & trading, research, prime brokerage. Paid by issuers and investors for advice and execution.

💼 Buy-Side

Asset managers, hedge funds, PE/VC, private credit. Paid via management and performance fees from allocators.

🏦 Banking / Lending

Retail & commercial banking, corporate lending, specialty finance. Metrics revolve around loan growth and net interest margin.

🛡️ Insurance / Risk

Underwriting, actuarial, investment teams at insurers. Focused on combined ratio and ROE.

🧠 Infrastructure & Data

Exchanges, data providers, fintech infrastructure, regtech.

⚙️ Support Functions

Risk, compliance, ops, finance, technology—the control layer.

🎯

Osmosis Buyer

We target the buy-side—specifically IR/capital formation and PM teams charged with raising and deploying capital.

Signals

Money Pipes vs. Information Pipes

There are two sets of pipes in finance. One moves cash; the other moves intelligence.

Formal Channels

  • Regulatory filings, annual reports
  • Consultant databases, Preqin, PitchBook
  • Ratings, research, official minutes

Structured, slow, backward-looking.

Informal / Spoken Channels

  • Investment committee meetings
  • CIO interviews + conference panels
  • Consultant recommendations
  • Side comments from staff PMs/board members

This is where decisions are actually made—spoken first, documented later.

Osmosis Value Prop

We turn the informal spoken layer into a structured, searchable, personalized alert stream. Databases = library, Osmosis = radar.

Story

From Worker Paycheck → PE Fund → Real Company

1. Worker Gets Paid
Part of each paycheck flows into a 401(k) or public pension plan.
2. Pension / Allocator
Aggregates contributions into a huge pool, debates increasing PE allocation from 8% → 10% over 3 years.
3. Osmosis Moment
That pacing discussion happens in a public IC meeting. Osmosis transcribes, tags strategy/size/timing, and alerts a PE customer within hours.
4. Asset Manager / GP
Capital formation team gets in early with a tailored pitch. Win a nine-figure mandate.
5. Portfolio Company
The GP deploys capital into real businesses (factories, software, services) → drives growth and jobs.
6. Back to the Worker
Exits return cash to the pension, funding retirement checks. One allocator decision ripples through the entire economy.
Positioning

Where Osmosis Sits on the Finance Map

🏛️
Capital Providers
Pensions, endowments, SWFs, insurers, family offices
guided by
🧠
Gatekeepers
Consultants, OCIOs, placement agents
fund
💼
Asset Managers (GPs)
PE, VC, credit, hedge, real assets
deploy into
🏗️
Real Economy
Companies, infrastructure, assets
Osmosis’ Niche

Monitor public allocator meetings in real time → extract who/what/how much → push speaker-attributed alerts and watchlists to IR, capital formation, and PM teams.

One-Sentence Value Prop

Osmosis is the real-time allocator intelligence layer for the buy-side—telling managers who is buying, what they said, and how to reach them before anyone else.

Why It Matters

ROI in Finance Terms

Anchor the value in simple fee math.

Example Mandate

Commitment size
$100M
Mgmt fee (avg) × 5 years
1% × 5 = $5M
Performance fee (if any)
Upside
Revenue from one win
≈ $5M+
🚀

Why Customers Care

Osmosis costs a fraction of one mandate. Customers attribute specific nine-figure wins to alerts and see 3–4× higher presentation hit rates vs. the ~5% industry norm.

Leverage Point

Finance is gigantic in dollar terms; we occupy a tiny but leveraged node: who gets into allocator conversations first.

Reference

Big-Finance Glossary

Add-ons to the GP/LP/AUM glossary from Capital Markets 101.

Sell-Side Banks/brokers selling securities & services to issuers/investors.
Buy-Side Asset managers investing on behalf of clients.
Primary vs. Secondary New issuance vs. trading existing securities.
Net Interest Margin (NIM) Lenders’ spread: loan yields − funding costs.
Float Premiums/funds held before payout that can be invested.
Shadow Banking Credit intermediation outside regulated banks.
Allocator Institution deciding where to place large pools of capital.
Mandate Commitment (e.g., $150M) from an allocator to a manager.
Pacing Speed/size at which allocators commit to strategies over time.
OCIO Outsourced CIO managing an allocator’s portfolio with discretion.
IR / Capital Formation Teams at asset managers responsible for raising and retaining capital.
Information Advantage The edge you get by hearing allocator intentions before competitors—what Osmosis delivers.