The WealthTech Solution Market Growth is impelled by an increasing number of banks, growing use of AI in different verticals and a surge in demand for financial analytics services
In 2020, the wealth management firms segment accounted for the largest market share
According to a research study by The Insight Partners on “WealthTech Solution Market Forecast to 2028 – Covid-19 Impact and Global Analysis – by Component, End User, Organisation Size, Deployment Mode, and Geography,” the wealth tech solution market is projected to reach $1.37 billion by 2028 from $ 54.62 million in 2021.
The wealth tech solution market is estimated to grow at a combined annual growth rate (CAGR) of 14.1% from 2021 to 2028. The study report can be accessed via TheInsightPartners.com
Key players in global wealthtech solution market.
FinMason, Inc.;
aixigo AG;
InvestCloud, Inc.;
WealthTechs Inc.;
Valuefy Solutions Private Limited;
3rd-eyes analytics AG;
BlackRock, Inc.; Synechron;
Wealthfront Inc.;
InvestSuite
The leading companies are focusing on the expansion and diversification of their market presence and the acquisition of new customer base, thereby tapping prevailing business opportunities.
In March 2021, FinMason was selected by Informa Financial Intelligence’s Zephyr business, an analytics and visualization leader in the advisor space, to deliver ESG data from OWL Analytics via the FinRiver API to their Zephyr platform.
This will combine FinMason’s API delivery system and OWL’s ESG Ratings for streamlined and accelerated deployment of holistic sustainable investing data across Portfolio Analytics & Performance.
With the digital transformation, the use of the cloud-based platform as these platforms deployed with simplicity in less time and at low deployment costs.
Cloud-based platform
Further, developed countries have matured internet infrastructure, while it is flourishing in several developing countries, which is a major factor contributing to the enhanced access of cloud-based platforms to end users.
Financial analytics helps banking sectors to provide enhanced customer experience and risk management assistance. Cloud is emerging as a better alternative for banking and other financial service providers to store data and applications, and access advanced software applications through the internet.
It helps synchronize enterprise operations and break down operational and data silos. Moreover, cloud-based financial analytics helps build resilient operations, drive business innovation, enhance IT security, and scale computing costs as needed.
Therefore, the growing need of cloud-based financial analytics in the banking sector and other financial firms is bolstering the demand for WealthTech solutions. The companies offering financial analytics include FinMason, Inc.; WealthTechs Inc.; BlackRock, Inc.; and Synechron.
Investment decisions
WealthTech solutions provide real-time data that assists organisations to make better investment decisions, which, in turn, helps enhance managerial efficiency and operational agility. The rising expansion of businesses in North America and the increasing use of technologies in banks would boost the demand for the WealthTech solutions during the forecast period.
The WealthTech solution market in APAC is predicted to grow at the fastest rate during the forecast period. The financial industry is becoming digitalized as internet access rises in emerging nations across the region. WealthTech solutions deliver relevant data and regulatory compliance. Investors and investment managers are searching for digital communication tools that can allow them to access their portfolios quickly.
Organisations use financial analytics tools to gain insights into key present and future trends for improving their business performance. Financial analytics services include financial data quality analysis and data layout, client analytics, predictive analytics, principal component analysis, and financial data collection.
These analytics require thorough financial and other relevant data to identify patterns; based on these predictions, enterprises may make predictions regarding what their customers would buy, how long their employees’ tenures might be, and so on.
Improve profitability
Thus, financial analytics services help organizations improve profitability, cash flow, and business value. They may use the insights gained through these analytics to improve their revenues and business processes.
Accenture PLC provides the newest data and analytics solutions for financial service providers, along with assisting them in deploying the same. Its services for these firms include cost analytics and enterprise performance analytics.
With a prime focus in income statements, balance sheets, and cash flow statements, financial analysis is employed to evaluate economic trends, set financial policies, formulate long-term business plans, and pinpoint projects or companies for investments.
Financial service providers, including investment banks, generate and store more data than any other businesses, as finance is a transaction-heavy industry. The banks used data to estimate risks for improving the overall profitability in the subsequent years.
Therefore, with multiple benefits in banks and investment firms, the demand for financial analytics services increasing significantly, thus boosting the WealthTech solutions market growth.
