Market Insights Financial Capital Raising

Traditional Capital Raising - BRICS

BRICS

The country in BRICS is part of the global market Traditional Capital Raising market.
Total Capital Raised in the Traditional Capital Raising market market is expected to reach US$88.69bn in 2025.
Venture Capital leads the market with a projected volume of US$77.88bn in 2025.
When compared globally, the United States is forecasted to generate the most Capital Raised (US$168,300.0m in 2025).
Brazil's traditional capital raising market is experiencing a resurgence in interest from local investors seeking diverse investment opportunities within the country.

Key regions: Israel, Brazil, United States, Europe, United Kingdom

Market

Region

Region comparison

Currency

Analyst Opinion

The Traditional Capital Raising market in BRICS countries is experiencing significant growth and development. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors all contribute to this positive trajectory.

Customer preferences in BRICS countries are shifting towards traditional capital raising methods due to their reliability and stability. Investors in these countries often prefer the security offered by traditional capital raising methods, such as initial public offerings (IPOs) and bond issuances. These methods provide a transparent and regulated framework for raising capital, which is appealing to both domestic and international investors.

Trends in the market show a growing number of companies and governments in BRICS countries utilizing traditional capital raising methods. This can be attributed to the increasing need for funding to support economic growth and development initiatives. Companies are turning to IPOs to raise capital for expansion and innovation, while governments are issuing bonds to finance infrastructure projects and public services.

The popularity of traditional capital raising methods is also fueled by the strong performance of stock markets in BRICS countries, which have attracted both local and international investors. Local special circumstances in BRICS countries further contribute to the development of the Traditional Capital Raising market. For instance, Brazil has a large number of state-owned enterprises that are looking to privatize and raise capital through IPOs.

This presents a unique opportunity for investors to participate in the growth of these companies. Similarly, India has a vibrant startup ecosystem that relies on IPOs and venture capital funding to fuel innovation and expansion. These local circumstances create a favorable environment for the Traditional Capital Raising market to flourish.

Underlying macroeconomic factors play a crucial role in the development of the Traditional Capital Raising market in BRICS countries. Rapid urbanization, population growth, and increasing consumer demand are driving the need for capital investment in various sectors. Additionally, favorable government policies, regulatory reforms, and economic stability are attracting both domestic and foreign investors to the BRICS markets.

These macroeconomic factors provide a solid foundation for the growth of the Traditional Capital Raising market and contribute to its positive trajectory. In conclusion, the Traditional Capital Raising market in BRICS countries is experiencing significant growth and development due to customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors. As investors and companies continue to seek reliable and regulated avenues for raising capital, traditional methods such as IPOs and bond issuances will remain popular in the BRICS markets.

Methodology

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on the amount of capital raised, the average deal size, and the number of deals.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use data from OECD, annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, CPI, number of small and medium-sized enterprises (SME), and new businesses registered (number). This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption. The scenario analysis is based on a Monte Carlo simulation approach generating a range of possible outcomes by creating random variations in forecasted data points, based on assumptions about potential fluctuations in future values. By running numerous simulated scenarios, the model provides an estimated distribution of results, allowing for an analysis of likely ranges and confidence intervals around the forecast.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.