Digital Investment - Vietnam

Vietnam

Highlights

Total transaction value in the Digital Investment market is projected to reach US$8.58bn in 2024.
Total transaction value is expected to show an annual growth rate (CAGR 2024-2029) of 3.91% resulting in a projected total amount of US$10.40bn by 2029.
Neobrokers dominates the market with a projected total transaction value of US$5.46bn 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 Vietnam is experiencing significant growth and development due to various factors. Customer preferences are shifting towards digital investment platforms, and there is an increasing demand for online investment services. Additionally, local special circumstances and underlying macroeconomic factors are contributing to the growth of the market.

Customer preferences: Customers in Vietnam are increasingly turning to digital investment platforms for their investment needs. This shift can be attributed to several factors. Firstly, the convenience and accessibility offered by digital platforms make it easier for individuals to invest their money. With just a few clicks, customers can access a wide range of investment options and manage their portfolios online. Secondly, the transparency and real-time information provided by digital platforms give customers greater control and visibility over their investments. They can track their portfolio performance and make informed decisions based on market trends and analysis. Lastly, the lower fees and costs associated with digital investment platforms are appealing to customers who are looking to maximize their returns.

Trends in the market: One of the key trends in the digital investment market in Vietnam is the rise of robo-advisors. These automated investment platforms use algorithms to provide personalized investment advice and manage portfolios on behalf of customers. Robo-advisors are gaining popularity due to their low fees, ease of use, and ability to provide tailored investment strategies based on individual risk profiles and financial goals. Another trend is the increasing integration of social and community features in digital investment platforms. Customers can now connect with other investors, share insights, and learn from each other's experiences. This social aspect enhances customer engagement and creates a sense of community among investors.

Local special circumstances: Vietnam has a young and tech-savvy population, which is driving the adoption of digital investment platforms. The country has a high smartphone penetration rate, and internet usage is rapidly growing. This digital-savvy population is comfortable with using technology for various purposes, including financial transactions and investments. Additionally, the Vietnamese government has been supportive of digital innovation and has implemented policies to promote the growth of the fintech industry. These factors create a conducive environment for the development of the digital investment market in Vietnam.

Underlying macroeconomic factors: Vietnam's strong economic growth and rising middle class are contributing to the growth of the digital investment market. As the economy expands, individuals have more disposable income to invest. Moreover, the increasing affluence of the middle class is leading to a greater awareness and interest in investment opportunities. Additionally, the low interest rate environment in Vietnam is pushing investors to seek alternative investment options that offer higher returns. Digital investment platforms provide a convenient and accessible avenue for individuals to diversify their investment portfolios and potentially earn higher returns. In conclusion, the Digital Investment market in Vietnam is experiencing significant growth and development due to customer preferences, local special circumstances, and underlying macroeconomic factors. Customers are increasingly turning to digital investment platforms for their investment needs, and trends such as the rise of robo-advisors and the integration of social features are shaping the market. Vietnam's young and tech-savvy population, supportive government policies, strong economic growth, and low interest rate environment are all contributing to the growth of the digital investment market in the country.

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.