Mutual Fund Assets Market - Global Mutual Fund Assets Industry Analysis, Size, Share, Growth, Trends, Regional Outlook, and Forecast 2023-2030 - (By Fund Type Coverage, By Distribution Channel Coverage, By Investor Type Coverage, By Geographic Coverage and Leading Companies)
Global Mutual Fund Assets Market to Surpass Trillion-Dollar Mark with 11% CAGR Growth
The global mutual fund assets market is poised for unprecedented growth, with the market size expected to exceed the trillion-dollar mark. This remarkable expansion is projected to occur at an impressive CAGR of approximately 11% during the period from 2023 to 2030.
Unveiling the Mutual Fund Assets Market
Mutual funds, a popular financial instrument, pool investments from numerous individuals to invest in a diversified portfolio of securities such as stocks, bonds, and other assets. Offering professional management and a fair distribution of profits and losses among investors, mutual funds are gaining traction among both small and individual investors.
Catalysts for Market Growth
The growth of the mutual fund assets market is driven by several key factors, including rising mutual fund investments, digitalization, government support, and increasing preference for mutual funds as a wealth-generation tool. These factors, along with others like liquidity, diversification, accessibility, and transparency, are expected to fuel market expansion in the coming years.
Despite the volatile financial market environment, high expense ratios, and sales charges, the mutual fund industry continues to thrive, offering investors opportunities for wealth creation.
Key Report FindingsExplosive Revenue Expansion: The mutual fund assets market is anticipated to witness a twofold increase in revenue during the forecast period from 2023 to 2030.
Rising Mutual Fund Investments: Mutual fund investments, accessible to both small and large savers, play a pivotal role in driving market growth.
Equity Funds Dominate: The demand for equity funds remains high, securing a significant share of the mutual fund assets market.
Banking Sector Leads: Banks contribute the most to the promotion of the mutual fund sector, accounting for the highest market revenue share in 2022.
North America Leads the Way: North America continues to lead the global market, with Europe experiencing the strongest growth prospects through 2030.
Driving ForcesRising Mutual Fund Investments and Digital Adoption: Mutual fund investments are on the rise, enabling savers worldwide to participate in investment plans and capitalize on the capital market's growth. The adoption of digital technologies, including Robo-advisors, AI, blockchain, cloud computing, and big data analytics, has enhanced operational efficiency, accessibility, and cost-effectiveness in the mutual fund sector.
Supportive Government Initiatives: Governments and regulatory agencies in some countries are actively supporting and advancing the mutual fund industry, signing agreements with e-wallets, e-commerce platforms, and similar market platforms to promote growth. This increased government support and sophisticated mutual fund initiatives are expected to contribute to a brighter future for the market.
Increasing Preference as a Wealth-Generation Tool: Mutual funds are becoming increasingly popular for wealth generation due to their potential for compounding, quick liquidity, transparency, and low initial investment requirements. The market is poised for further growth as mutual fund providers offer attractive investment options, aligning with domestic savings concerns and rising disposable incomes.
Growth ChallengesUnpredictable Financial Market Environment: The unpredictable nature of the financial market has posed challenges for mutual funds to consistently generate acceptable returns for clients. High expense ratios and sales charges have reduced the appeal of mutual fund investments, prompting some investors to explore alternative strategies.
Overview of Key SegmentsEquity Funds Dominate: Equity funds, with their focus on investing in stocks and shares, are expected to retain a substantial portion of the market. The many advantages of equity funds, including professional management and diversification, contribute to their growth.
Banking Sector Leads Distribution: Banks play a crucial role in promoting the mutual fund sector, offering trust and resources that drive market expansion.
Growth Opportunities Across Regions
North America Takes the Lead: North America continues to dominate the mutual fund assets market, driven by its established financial industry and increasing demand for passive funds.
Asia Pacific's Promising Future: Asia Pacific is poised for significant growth by 2030, driven by the evolution of financial markets, relaxation in investment policies, and increasing awareness of mutual fund schemes.
Mutual Fund Assets Market: Competitive Landscape
Key players in the mutual fund assets market include Fidelity Investments, Morgan Stanley, Goldman Sachs, Pimco, Capital Group, Citigroup Inc., Blackrock, Inc., State Street Corporation, JPMorgan Chase & Co., The Vanguard Group, Inc., and BNP Paribas Mutual Fund.
Please note: The PDF e-mail from publisher version of this report is for a global site license. Delivery Timelines - 5 working days.