Digital Investment - Cambodia

Cambodia

Highlights

Total transaction value in the Digital Investment market is projected to reach US$233.80m in 2024.
Total transaction value is expected to show an annual growth rate (CAGR 2024-2029) of 14.53% resulting in a projected total amount of US$460.80m by 2029.
Robo-Advisors dominates the market with a projected total transaction value of US$233.80m in 2024.
The highest cumulated transaction value is reached United States (US$1.78tn in 2024).

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Digital Investment market in Cambodia is experiencing significant growth and development as more and more individuals and businesses are embracing digital technologies for their investment needs.

Customer preferences: Cambodian customers are increasingly turning to digital investment platforms for several reasons. Firstly, digital investment platforms provide convenience and accessibility. Customers can easily access and manage their investments through online platforms, eliminating the need for physical visits to financial institutions. This is particularly appealing to the younger generation who are tech-savvy and prefer to manage their finances digitally. Secondly, digital investment platforms offer a wide range of investment options. Customers have the flexibility to choose from various investment products such as stocks, bonds, mutual funds, and cryptocurrencies. This allows them to diversify their investment portfolios and potentially earn higher returns.

Trends in the market: One of the key trends in the digital investment market in Cambodia is the rise of robo-advisors. Robo-advisors are automated investment platforms that use algorithms to provide investment advice and manage portfolios. They are gaining popularity among customers who are looking for low-cost investment solutions and personalized investment recommendations. Robo-advisors are able to analyze customer data and provide tailored investment strategies, making investing more accessible to a wider range of individuals. Another trend in the market is the increasing adoption of mobile investment apps. With the widespread use of smartphones in Cambodia, mobile investment apps have become a convenient way for customers to manage their investments on the go. These apps provide real-time market updates, investment tracking, and trading capabilities, allowing customers to stay informed and make investment decisions anytime, anywhere.

Local special circumstances: Cambodia has a young and tech-savvy population, which has contributed to the growth of the digital investment market. The country has a high smartphone penetration rate, and internet access has become more affordable and accessible in recent years. This has created a favorable environment for the adoption of digital investment platforms. Furthermore, Cambodia has a growing middle class with increasing disposable income. As people's financial literacy improves, they are seeking out investment opportunities to grow their wealth. Digital investment platforms provide an avenue for individuals to invest their money and potentially earn higher returns compared to traditional savings accounts.

Underlying macroeconomic factors: The Cambodian economy has been experiencing steady economic growth in recent years, which has contributed to the development of the digital investment market. The government has implemented policies to attract foreign investment and promote economic diversification. This has led to the growth of various industries, creating investment opportunities for both local and foreign investors. Additionally, the stability of the Cambodian banking sector and the increasing integration of digital technologies in the financial industry have also played a role in the development of the digital investment market. Financial institutions are partnering with technology companies to offer digital investment services, making it easier for customers to access and manage their investments. In conclusion, the Digital Investment market in Cambodia is growing rapidly due to customer preferences for convenience and accessibility, the rise of robo-advisors and mobile investment apps, as well as the country's young and tech-savvy population. The favorable macroeconomic factors, including steady economic growth and the integration of digital technologies in the financial industry, have also contributed to the market's development.

Data coverage:

The data encompasses B2C enterprises. Figures are based on transaction values / revenues / assets under management and user data of relevant services and products offered within the FinTech market.

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 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, consumer spending, population, internet penetration, smartphone penetration, credit card penetration, and online banking penetration. 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.

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.