Financial Advisory - Russia | Statista Market Forecast

Assets under Management in the Financial Advisory market are projected to reach US$520.80bn in 2024.
Assets under Management are expected to show an annual growth rate (CAGR 2024-2029) of 3.88%, resulting in a market volume of US$629.90bn by 2029.

Definition:

Financial advisory is the process of providing guidance and recommendations to clients regarding their financial decisions. Financial advisors use their expertise and knowledge to help clients make informed decisions about their investments, retirement planning, taxes, insurance, and other financial matters. The Financial Advisory segment encompasses the revenues generated by this service by both financial institutions and advisors, and includes the number of financial advisors, average revenue per advisor, and assets under management (AUM).

Traditional Wealth Management (non-automated wealth management services)
Traditional Investment, incl. Financial Advisors
Banks, Financial Institutions, and Financial Services Companies
B2C & B2B Revenues
Full-Service Products for Insurance, Investing, Lending, and Trading

Commercial Assets or Assets Under Custody
Digital Wealth Management (automated wealth management services)
Digital Investment, incl. Robo-advisors and Neobrokers
Independent Financial Advisory Companies
Independent Financial Advisors (IFAs)
Retail/Non-Professional Investors

The Financial Advisory market in Russia has been experiencing significant growth in recent years, driven by changing customer preferences, emerging trends in the market, local special circumstances, and underlying macroeconomic factors. Customer preferences in the Financial Advisory market in Russia have shifted towards seeking professional advice and guidance in managing their finances.

This can be attributed to the increasing complexity of financial products and services, as well as the desire for personalized and tailored solutions. Customers are looking for expert advice to help them navigate the intricacies of the financial market and make informed decisions. One of the key trends in the market is the growing demand for wealth management services.

As the Russian economy continues to grow, the number of high-net-worth individuals is increasing, creating a need for specialized advisory services to manage and grow their wealth. Wealth management firms are offering a range of services, including investment planning, tax optimization, and estate planning, to cater to the unique needs of affluent clients. Another trend in the market is the rise of digital advisory platforms.

Technology has transformed the way financial advisory services are delivered, making it more accessible and convenient for customers. Online platforms are providing users with automated investment advice, portfolio management tools, and financial planning services. This trend is particularly appealing to younger customers who are comfortable with digital solutions and prefer a self-directed approach to managing their finances.

Local special circumstances in Russia also play a role in shaping the Financial Advisory market. The country's large population and growing middle class provide a significant customer base for financial advisory services. Additionally, the Russian government has been introducing regulatory reforms to enhance transparency and investor protection, which has boosted confidence in the market and attracted more customers.

Underlying macroeconomic factors have also contributed to the development of the Financial Advisory market in Russia. The country's stable economic growth, increasing disposable income, and low interest rates have created favorable conditions for investment and wealth accumulation. As individuals and businesses seek opportunities to maximize their financial resources, the demand for financial advisory services has grown.

In conclusion, the Financial Advisory market in Russia is experiencing growth due to changing customer preferences, emerging trends in the market, local special circumstances, and underlying macroeconomic factors. Customers are seeking professional advice and guidance, particularly in wealth management, and are increasingly turning to digital platforms for convenient solutions. The country's large population, regulatory reforms, and favorable macroeconomic conditions have also contributed to the development of the market.

Data coverage:

The data encompasses B2C enterprises. The figures are based on gross revenues, assets under management, and user & advisor data of relevant services and products offered within the Wealth Management 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 activities (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as: GDP, gross national income (GNI), consumer spending, total investment (% of GDP), high income (% of population), and number of high-net-worth individuals (HNWI). 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 data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

Private wealth management has developed significantly in recent years as a result of the growth of affluence worldwide. The number of millionaires in North America more than doubled between 2010 and 2022. A similar trend can be observed in the Asia-Pacific and Europe. The total wealth of the adult population in Europe has steadily increased since 2010. Private Wealth Management is an increasingly important service as the rate of wealth continues to increase among the general population and affluent high-net-worth-individuals. Coupled with the recent developments in the Fintech market, this has helped to open up new Private Wealth Management products and services to people with smaller amounts of disposable income and expanding services offered to larger clients.