Digital Investment - Spain

Spain

Highlights

Total transaction value in the Digital Investment market is projected to reach US$33.34bn in 2024.
Total transaction value is expected to show an annual growth rate (CAGR 2024-2029) of 3.42% resulting in a projected total amount of US$39.45bn by 2029.
Neobrokers dominates the market with a projected total transaction value of US$22.79bn 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 Spain has experienced significant growth in recent years, driven by changing customer preferences and the increasing availability of digital investment platforms. Customer preferences have shifted towards digital investment platforms due to their convenience and accessibility.

Investors are increasingly looking for ways to manage their investments online, allowing them to monitor their portfolios and make trades at any time and from any location. Digital investment platforms offer a user-friendly interface, making it easy for investors to research and select investment options that align with their financial goals. Additionally, these platforms often provide educational resources and tools to help investors make informed decisions.

One trend in the market is the rise of robo-advisors, which are digital platforms that use algorithms to provide automated investment advice. Robo-advisors have gained popularity in Spain due to their low fees and ability to provide personalized investment recommendations based on an individual's risk tolerance and financial goals. These platforms have democratized the investment process, making it accessible to a wider range of investors who may not have previously had the means or knowledge to invest.

Another trend is the increasing popularity of socially responsible investing (SRI). Spanish investors are increasingly looking to align their investments with their values, and SRI allows them to invest in companies that have a positive impact on society and the environment. Digital investment platforms have made it easier for investors to identify and invest in socially responsible companies, providing them with the opportunity to make a positive impact while also earning a return on their investment.

The local special circumstance in Spain is the presence of a growing fintech ecosystem. The country has seen a rise in the number of fintech startups, many of which are focused on digital investment platforms. These startups are leveraging technology to disrupt the traditional investment industry, offering innovative solutions to investors.

The presence of a vibrant fintech ecosystem has created a competitive market, driving innovation and further fueling the growth of the digital investment market in Spain. Underlying macroeconomic factors have also contributed to the development of the digital investment market in Spain. Low interest rates have made traditional savings accounts less attractive, leading investors to seek alternative investment options.

Additionally, the increasing digitization of financial services has made it easier for investors to access and manage their investments online. These factors, combined with changing customer preferences and a growing fintech ecosystem, have created a favorable environment for the growth of the digital investment market in Spain.

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.