Wilmington, Delaware, Nov. 17, 2023 (GLOBE NEWSWIRE) -- Allied Market Research published a report, titled, "Balanced Funds Market By Investor Type (Institutional and Individual) and Distribution Channel (Banks, Financial Advisors/Brokers, Direct Sellers, and Others): Global Opportunity Analysis and Industry Forecast, 2022–2031".
As per the report, the global balanced funds market was valued at $5,545.9 billion in 2021, and is projected to reach $25,499.0 billion by 2031, growing at a CAGR of 16.8% from 2022 to 2031.
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84 – Tables
63 – Charts
229 – Pages
Report Coverage & Details:
Report Coverage | Details |
Forecast Period | 2022 – 2031 |
Base Year | 2021 |
Market Size in 2022 | $ 5,545.9 billion |
Market Size in 2026 | $ 25,499.0 billion |
CAGR | 16.8 % |
No. of Pages in Report | 229 |
Segments Covered | Investor Type and Distribution Channel, and Region |
Drivers | The rise in number of first-time investors |
Balanced funds can be a great investment instruments for first-time equity investors. | |
The rise of chronic diseases | |
Opportunities | Tax Efficiency Associated with Balanced Funds |
Stable and Consistent Returns Offered By Balanced Funds | |
Restraints | Less Control Over Decision-Making |
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Factors influencing the growth of the market:
The global balanced funds market is gaining momentum because balanced funds have lesser total ERs (Expense Ratios) and enable investors to withdraw money frequently without upsetting the asset allocation. However, investors are unable to employ a bond laddering strategy, which involves purchasing bonds with differing maturity dates, to customize cash flows and principal repayments in alignment with their financial circumstances. This factor hinders market growth to some extent. Nevertheless, the surge in the number of fresh investors, who do not have much information about investing in the equity sector and are usually prone to high risks, will offer prolific growth opportunities in the upcoming years.
The institutional segment to retain its dominance by 2031
On the basis of investor type, the institutional segment gained the highest market share in 2021, contributing to nearly three-fourths of the total market revenue and is estimated to lead the trail by 2031. This is because institutional investors have specialized knowledge and resources to thoroughly analyze a broad range of investment options that individual investors do not have. The individual segment, on the other hand, would cite the fastest growth with 20.0% CAGR throughout the forecast timeframe, due to rise in the usage of digital and mobile investment platforms, as investors are looking for advanced sources of income in underdeveloped countries.
The financial advisors/brokers segment to retain its dominance share by 2031
In terms of distribution channel, the financial advisors/ brokers segment grabbed the lion’s share of nearly half of the global balanced funds market revenue in 2021 and is estimated to lead the trail throughout the forecast timeframe. The growth of the segment is driven by a surge in investment in balanced funds via brokers. The direct segment, on the other hand, is anticipated to display the fastest growth with 19.7% during the forecast period, owing to growth in awareness about the mutual fund concept among individuals.
North America to continue its supremacy throughout the forecast timeframe
The regional analysis in the report indicates that the market across North America was largest in 2021, contributing to nearly half of the total market share. The market in the region is expanding rapidly due to initiatives by leading market players to promote start-ups. The Asia-Pacific region, on the other hand, is anticipated to display the fastest CAGR of 21.4% by 2031, due to surge in awareness in consumers as active savers and their percentage of income spent on savings.
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Key market players:
- The Vanguard Group, Inc.
- Tata Mutual Fund
- Scotiabank
- Nippon Life India Asset Management Limited
- JPMorgan Chase & Co.
- Goldman Sachs
- Charles Schwab
- Citigroup Inc.
- Canada Life Assurance Company
- Axis Mutual Fund
Key Benefits For Stakeholders
- This report provides a quantitative analysis of the balanced funds market segments, current trends, estimations, and dynamics of the balanced funds industry analysis from 2021 to 2031 to identify the prevailing balanced funds market opportunity.
- The market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the balanced funds industry segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the balanced funds market players.
- The report includes the analysis of the regional as well as global balanced funds market trends, key players, market segments, application areas, and market growth strategies.
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Balanced Funds Market Key Segments:
By Distribution Channel:
- Banks
- Financial Advisors/Brokers
- Direct Sellers
- Others
By Investor Type:
- Institutional
- Individual
By Region:
- North America (U.S., Canada)
- Europe (Germany, France, UK, Italy, Ireland, Netherlands, Rest of Europe)
- Asia-Pacific (China, India, Japan, South Korea, Hong Kong, Australia, Rest of Asia-Pacific)
- LAMEA (Latin America, Middle East, Africa)
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