Middle East & Africa Asset Management Market Outlook, 2029

Middle East & Africa Asset Management Market Outlook, 2029

The Middle East and Africa (MEA) asset management market embodies a vibrant and rapidly evolving landscape characterised by a diverse array of investment opportunities, dynamic economic growth, and unique market dynamics. Spanning across a vast and culturally rich region, the MEA Asset Management market encompasses a wide spectrum of asset classes, including equities, fixed income, real estate, infrastructure, and alternative investments, catering to the diverse needs and preferences of investors. As one of the fastest-growing regions globally, the MEA region offers compelling investment prospects fueled by demographic trends, urbanisation, infrastructure development, and natural resource wealth. In recent years, the MEA Asset Management market has witnessed increasing investor interest and participation, driven by growing affluence, rising institutional capital, and the quest for portfolio diversification and risk management. However, with proactive regulatory reforms, technological advancements, and strategic partnerships, the MEA asset management market continues to attract attention from global investors and asset managers seeking to capitalise on the region's growth opportunities and unlock value for their clients. The MEA region is endowed with abundant natural resources, including oil, gas, minerals, and agricultural land. Revenue generated from natural resources contributes to sovereign wealth funds, government budgets, and investment opportunities in the region. Asset managers specialising in resource-based investments, commodity trading, and natural resource funds play a crucial role in managing and maximising returns from natural resource wealth in the MEA region.

According to the research report, “Middle East and Africa Asset Management Market Outlook, 2029,” published by Bonafide Research, the Middle East and Africa Asset Management market is anticipated to grow with more than 26% CAGR from 2024–2029. The MEA region is experiencing rapid economic growth and development, fueled by factors such as population growth, infrastructure investments, and natural resource wealth. As economies expand and wealth accumulates, there is an increasing demand for professional asset management services to preserve and grow wealth, optimise investment returns, and diversify portfolios across asset classes. Furthermore, rising affluence and wealth in the MEA region, driven by factors such as economic diversification, entrepreneurship, and investment inflows, are driving demand for sophisticated wealth management solutions. High-net-worth individuals (HNWIs), family offices, and institutional investors seek professional asset management services to manage their wealth, plan for retirement, fund education, and protect intergenerational wealth. As well as demographic trends, including a youthful population, urbanisation, and increasing life expectancy, influence investment behaviours and preferences in the MEA region. As young populations enter the workforce and accumulate wealth, there is a growing demand for retirement planning, investment advisory, and wealth management services tailored to their needs and objectives. Asset managers in the MEA region are adapting their offerings to cater to the diverse needs and preferences of different demographic segments. Investors in the MEA region recognise the importance of diversification and risk management in their investment portfolios, particularly in the face of market volatility, geopolitical risks, and economic uncertainties. Asset managers offer diversified investment solutions across asset classes, regions, and sectors to mitigate risks, enhance returns, and achieve investment objectives in the MEA region's dynamic and evolving market environment.

Major Drivers
• Infrastructure Investments: Natural resource wealth drives infrastructure development in the MEA region, including transportation, energy, telecommunications, and water infrastructure projects. Asset managers specialise in infrastructure investments, providing financing, project management, and asset management services to investors participating in infrastructure projects funded by governments, multilateral institutions, and private sector entities.
• Investment Opportunities: Natural resource wealth creates investment opportunities in sectors such as energy, mining, infrastructure, and real estate. Asset managers in the MEA region specialise in managing investments in these sectors, providing expertise in project financing, asset valuation, and risk management to investors seeking exposure to natural resource assets.

Major Challenges
• Socioeconomic Disparities and Inequality: Socioeconomic disparities, income inequality, and poverty in certain parts of the MEA region pose challenges for asset managers in promoting inclusive growth, sustainable development, and responsible investing. Asset managers must address environmental, social, and governance (ESG) considerations, engage with stakeholders, and support initiatives that promote economic empowerment, social inclusion, and environmental sustainability in the communities where they operate.
• Currency Volatility and Exchange Rate Risk: Currency volatility and exchange rate risk are prevalent in the MEA region due to factors such as fluctuating oil prices, economic instability, and external shocks. Asset managers must implement currency hedging strategies, diversify currency exposure, and monitor exchange rate movements to protect portfolio value and mitigate currency-related losses for investors.

Based on the components, they are segmented into solutions and services. In terms of asset types, they are bifurcated into; digital assets, returnable transport assets, in-transit assets, manufacturing assets, and personnel and staff.

In the region where the service contributes to the market, the MEA region is undergoing rapid economic development, driven by factors such as population growth, urbanisation, infrastructure investments, and economic diversification efforts. As economies expand and wealth accumulates, there is an increasing demand for professional asset management services to preserve and grow assets, optimise investment returns, and diversify portfolios across asset classes. Furthermore, the MEA region offers diverse investment opportunities across various asset classes, including equities, fixed income, real estate, infrastructure, and alternative investments. Economic development, infrastructure projects, and natural resource wealth create opportunities for investors and asset managers to capitalise on high-growth sectors, emerging markets, and strategic investments that generate attractive returns. Furthermore, manufacturing assets significantly contribute to the market; a wide range of manufacturing industries, including electronics, machinery, aerospace, automotive, and chemicals, make up the MEA region's robust industrial foundation. For businesses in various industries, manufacturing assets such as factories, production facilities, machinery, and equipment represent significant investments. As such, expert asset management is necessary to maximise asset performance, upkeep, and utilisation. Manufacturing assets are capital-intensive and require significant upfront investments in land, buildings, infrastructure, machinery, and technology. Asset managers specialise in managing the lifecycle of manufacturing assets, from acquisition and financing to operations and divestment, to maximise asset value, mitigate risks, and achieve investment objectives for investors.

According to the report, the applications are categorised on the basis of infrastructure asset management, enterprise asset management, healthcare asset management, aviation asset management, and others.

In the Middle East and Africa, infrastructure asset management significantly contributes to the market. The MEA region offers abundant investment opportunities in infrastructure assets, driven by rapid population growth, urbanisation, industrialization, and government initiatives to modernise infrastructure and address infrastructure deficits. Asset managers identify and assess investment opportunities in infrastructure projects, including greenfield developments, brownfield expansions, public-private partnerships (PPPs), and infrastructure funds, to generate attractive risk-adjusted returns for investors. Furthermore, infrastructure assets typically offer stable and predictable cash flows over the long term, making them attractive investments for institutional investors, pension funds, sovereign wealth funds, and infrastructure-focused asset managers seeking income generation, capital preservation, and portfolio diversification. Asset managers specialise in managing infrastructure assets, optimising asset performance, and delivering long-term value for investors through active asset management and strategic asset allocation. PPPs are increasingly used in the MEA region to finance, develop, and operate infrastructure projects, leveraging private sector expertise, innovation, and capital alongside public sector resources. Asset managers play a key role in structuring, financing, and managing PPP projects, mitigating risks, and aligning interests between public and private stakeholders to ensure project success and value creation.

Based on the report, the major countries covered include the UAE, Saudi Arabia, South Africa, and the rest of the Middle East and Africa.

Saudi Arabia is the largest economy in the Gulf Cooperation Council (GCC) and one of the wealthiest countries in the MEA region, thanks to its vast oil reserves and strategic position in global energy markets. The country's substantial wealth accumulation, combined with its ambitious economic diversification efforts under Vision 2030, creates significant investment potential and opportunities for asset managers seeking to capitalise on the Kingdom's economic growth and development initiatives. Furthermore, Saudi Arabia has implemented significant reforms to develop its financial markets, enhance regulatory frameworks, and attract foreign investment. The Capital Market Authority (CMA) regulates the Kingdom's capital markets, promoting transparency, investor protection, and market integrity. The introduction of market reforms, including the inclusion of Saudi stocks in global equity indices such as MSCI and FTSE Russell, has increased the attractiveness of the Saudi stock market to international investors and asset managers, stimulating growth in the asset management sector. Saudi Arabia is investing heavily in infrastructure projects to diversify its economy, create employment opportunities, and improve living standards. Infrastructure investments in sectors such as transportation, energy, water, and healthcare present lucrative opportunities for asset managers to deploy capital, participate in project financing, and deliver value-added services in asset management, project management, and advisory services.

The major companies operating in the global industry are expanding the capabilities of their solutions by integrating various emerging technologies, such as machine learning, AI, and others. Also, the companies are adopting various growth strategies, including new product launches, strategic partnerships & collaborations, and mergers & acquisitions, to strengthen their product portfolios. The vendors operating in the global industry are adopting various organic and inorganic growth strategies, including new product launches, strategic partnerships & collaborations, and mergers & acquisitions, to strengthen their portfolios. For instance, in July 2021, SATO Holdings Corp. signed a contract with Wiliot Ltd., a provider of the IoT sensing label “Wiliot IoT Pixel” to introduce IoT in the retail field. With a three-year contract, the collaboration is a strategic partnership to establish retail market leadership. In April 2021, Zebra Technologies Corp. announced the new partner connect with Alliance Track, recognizing expertise and influence while allowing greater collaborative efforts with parallel, quasi-partners. Vendors are also expanding the capabilities of their solutions by integrating various emerging technologies, such as machine learning, AI, and others. These solutions are also evolving in line with the growing R&D investments in developing cloud-based predictive analytical solutions. Advances in technology and evolving digital solutions are equally paving the way for implementing asset management solutions across the globe.

Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Asset Management market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Component
• Solution
• Services

By Solution
• Real-Time Location System (RTLS)
• Barcode
• Mobile Computer
• Labels
• Global Positioning System (GPS)
• Others

By Services
• Strategic Asset Management
• Operational Asset Management
• Tactical Asset Management

By Asset type
• Digital Assets
• Returnable Transport Assets
• In-transit Assets
• Manufacturing Assets
• Personnel/ Staff

By Application
• Infrastructure Asset Management
• Enterprise Asset Management
• Healthcare Asset Management
• Aviation Asset Management
• Others

The approach of the report:

This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Asset Management industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.***Please Note: It will take 48 hours (2 Business days) for delivery of the report upon order confirmation.