Market Insights Financial Wealth Management

Digital Investment - North America

North America

In 2024, the Digital Investment market in North America is projected to reach a total transaction value of US$1,828.00bn.
This represents a significant growth potential for the market segment.
Furthermore, it is expected to continue expanding at a compound annual growth rate (CAGR) of 6.61% from 2024 to 2027, resulting in a projected total transaction value of US$2,215.00bn by 2027.
Among the various players in the market, Robo-Advisors are expected to dominate with a projected total transaction value of US$1,485.00bn in 2024.
This highlights the growing popularity and influence of this particular segment in the North American market.
When it comes to the highest cumulated transaction value, United States leads the pack, with a projected total transaction value of US$1,782,000.00m in 2024.
This showcases the significant role that United States plays in driving the Digital Investment market in North America.
The United States is experiencing a surge in digital investment as more individuals seek to diversify their portfolios and capitalize on emerging technologies.

Key regions: United Arab Emirates, Switzerland, Singapore, United Kingdom, Europe

Market

Region

Region comparison

Currency

Analyst Opinion

The Digital Investment market in North America is experiencing significant growth and development as more and more consumers are turning to digital platforms for their investment needs.

Customer preferences: Customers in North America are increasingly looking for convenient and accessible ways to invest their money. The rise of digital investment platforms has provided individuals with the ability to easily manage their investments from their smartphones or computers. This convenience factor is a major driver of the growth in the digital investment market in North America. Additionally, customers are also seeking lower fees and commissions, and digital investment platforms often offer lower costs compared to traditional investment firms.

Trends in the market: One of the key trends in the digital investment market in North America is the rise of robo-advisors. These are automated investment platforms that use algorithms to create and manage investment portfolios for customers. Robo-advisors have gained popularity due to their low fees, ease of use, and ability to provide personalized investment advice. This trend is expected to continue as more customers become comfortable with using technology for their investment needs. Another trend in the market is the increasing popularity of socially responsible investing. Customers in North America are becoming more conscious of the environmental and social impact of their investments, and they are seeking opportunities to align their investments with their values. Digital investment platforms are responding to this trend by offering socially responsible investment options, allowing customers to invest in companies that prioritize sustainability and social responsibility.

Local special circumstances: The digital investment market in North America is also influenced by local regulations and market conditions. Each country in North America has its own set of regulations governing the financial industry, and digital investment platforms must comply with these regulations to operate in the market. Additionally, market conditions such as interest rates and economic stability can also impact the growth and development of the digital investment market in North America.

Underlying macroeconomic factors: The growth of the digital investment market in North America is supported by several macroeconomic factors. The region has a strong and stable economy, which provides individuals with the financial means to invest. Additionally, advancements in technology and the widespread availability of internet access have made it easier for customers to access and use digital investment platforms. The increasing use of mobile devices and the popularity of online banking and shopping have also contributed to the growth of the digital investment market in North America. In conclusion, the digital investment market in North America is experiencing significant growth and development due to customer preferences for convenience and lower costs, as well as the rise of robo-advisors and socially responsible investing. Local regulations and market conditions also play a role in shaping the market, while underlying macroeconomic factors such as a strong economy and technological advancements support its growth.

Methodology

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.