Segments - Financial Planning Market by Type (Software Solutions [Financial Planning Software, Robo-advisory Platforms, Portfolio Management Software, and Tax Planning Software] and Service Offerings [Basic Financial Planning Services, Premium Financial Planning Services, Wealth Management Services, and Robo-advisory Services]), Application (Personal Financial Planning and Business Financial Planning), Client Goal (Retirement Planning, Wealth Accumulation, Education Savings, and Others), End-user (High-net-worth Individuals (HNWIs), Mass Affluent Individuals, Small & Medium Enterprises (SMEs), Corporations, Non-profit Organizations, Government Agencies, and Educational Institutions), and Region (Asia Pacific, North America, Latin America, Europe, and Middle East & Africa) - Global Industry Analysis, Growth, Share, Size, Trends, and Forecast 2024–2032
Author : Swarup Sahu Fact-checked by : Vineet Pandey Editor : Ranjit Pankhade Upcoming | Report ID :BFSI-6285 | 4.9 Rating | 78 Reviews | 220 Pages | Format :
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The global financial planning market size was USD XX Billion in 2023 and is projected to reach USD XX Billion by 2032, expanding at a CAGR of XX% during 2024–2032. The market growth is attributed to the increasing complexities in financial investments, rising awareness about financial planning, and the growing need for expert guidance to manage financial assets.
The financial planning industry is rapidly growing across the globe, as it provides comprehensive financial advice and services to individuals and businesses. Financial planning involves various services, including investment management, retirement planning, tax planning, and estate planning. The importance of financial planning has become increasingly apparent for individuals and businesses, as the global economies continue to evolve.
Rising demand for financial planning services is fueling the market, as people seek to optimize their financial goals and investments. Increasing personal wealth, the need for retirement planning, and the desire to mitigate financial risks are some of the factors driving the market. Additionally, technological advancements have revolutionized the accessibility of financial planning services, making them convenient and user-friendly for individuals. This, in turn, propels the market in the coming years, as people and businesses seek to benefit from the expertise of financial planning.
Financial planning services cater to a wide range of clients with diverse needs, considering factors such as age, income level, occupation, and risk tolerance. These services are in demand by various clients, including young professionals aiming to accumulate wealth, middle-aged individuals planning for retirement, high-net-worth individuals requiring advanced wealth management solutions, and businesses seeking strategic financial guidance for growth. The capacity of the financial planning industry to tailor services to different demographic groups underscores its importance and growth potential.
Artificial intelligence (AI) has a significant impact on the financial planning market. AI-based financial planning software helps financial planners to provide superior services to their clients and make informed decisions. The ability of AI to analyze vast amounts of data allows financial planners to identify patterns, trends, and insights that were previously difficult or impossible to detect. They use this information to make accurate predictions about the market and provide their clients with better investment advice.
AI helps financial planners automate several tasks, which are time-consuming and tedious. It analyzes historical data and market trends, identifies potential risks, and helps financial planners mitigate those risks. This helps to protect the investments of clients and minimize losses. For instance,
Increasing personal income levels is driving the global financial planning market. The rise in income levels raises concern among individuals about managing their wealth and ensuring their financial security. This leads to a high demand for professional financial planning services to help individuals manage their finances and investments.
Rising demand for professional financial advice is propelling the market. The increasing economic uncertainty encourages individuals to seek guidance from financial planners to help them navigate their financial futures. This leads to a significant increase in the number of people using financial planning services.
Growing awareness about the importance of financial planning is fueling the market. Consumers are increasingly seeking professional financial advice, as they become aware of the benefits of financial planning. This surges the demand for financial planning services from a wide range of consumers.
Increasing complexities in financial products and investment options increases the demand for financial planning services. The availability of investment options to consumers makes it difficult for individuals to decide where to invest and how to manage risk. Thus, they seek financial planners with specialized knowledge and expertise to help them navigate these complexities and make informed investment decisions.
Regulatory constraints are restraining the market. The financial planning industry is heavily regulated, and compliance with various laws and regulations is complex and time-consuming. However, non-compliance leads to fines, penalties, and reputational damage.
Economic uncertainties are expected to hamper the market in the coming years. Financial planning is largely dependent on the economy. Economic downturns lead to a reduction in the demand for financial planning services, as people tend to cut back on discretionary spending during tough times. This, in turn, affects the market.
Growing demand for financial planning services creates lucrative opportunities in the market. The rising number of people seeking professional advice for managing their finances is boosting the demand for financial planning services. This provides an opportunity for financial planners to offer their services to a wide range of consumers and expand their client base.
Technological advancements in financial planning software and services are expected to create immense opportunities in the market during the forecast period. The rapid growth of financial technology (fintech) has created new opportunities for financial planners. Financial planners are able to provide efficient and effective services to their clients by incorporating digital tools and platforms into their practice.
Rapid expansion of the financial planning industry across the globe is expected to boost the market during the forecast period. The globalization of the financial planning industry allows financial planners to expand their services. The ability of fintech services to communicate and conduct business with clients from anywhere in the world allows financial planners to offer services abroad and increase their revenue streams.
The market report includes an assessment of the market trends, segments, and regional markets. Overview and dynamics are included in the report.
Attributes
Details
Report Title
Financial Planning Market - Global Industry Analysis, Growth, Share, Size, Trends, and Forecast
Base Year
Historic Data
Forecast Period
Segmentation
Type (Software Solutions [Financial Planning Software, Robo-advisory Platforms, Portfolio Management Software, and Tax Planning Software] and Service Offerings [Basic Financial Planning Services, Premium Financial Planning Services, Wealth Management Services, and Robo-advisory Services]), Application (Personal Financial Planning and Business Financial Planning), Client Goal (Retirement Planning, Wealth Accumulation, Education Savings, and Others), and End-user (High-net-worth Individuals (HNWIs), Mass Affluent Individuals, Small & Medium Enterprises (SMEs), Corporations, Non-profit Organizations, Government Agencies, and Educational Institutions)
Regional Scope
Asia Pacific, North America, Latin America, Europe, and Middle East & Africa
Report Coverage
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, Market Trends, and Revenue Forecast
Key Players Covered in the Report
Ameriprise Financial Services Inc.; Charles Schwab Corporation; Fidelity Investments; J.P. Morgan Chase & Co.; Merrill Lynch; Morgan Stanley Wealth Management; Personal Capital; UBS Financial Services Inc.; Vanguard Group; and Wells Fargo Advisors
Based on type, the financial planning market is segmented into software solutions and service offerings. The software solutions segment is further divided into financial planning software, robo-advisory platforms, portfolio management software, and tax planning software. The service offerings segment is further sub-segmented into basic financial planning services, premium financial planning services, wealth management services, and robo-advisory services.
The software solutions segment dominated the market in terms of revenue generation in 2023 due to the increasing adoption of digital financial management tools by individuals and businesses seeking efficiency and automation in their financial planning processes. Software solutions offered automation, data analytics capabilities, and accessibility, catering to a wide range of clients seeking cost-effective and scalable options for managing their finances. Additionally, the integration of artificial intelligence and machine learning technologies in financial planning software is enhancing the capabilities of robo-advisory platforms, thus driving their popularity and adoption. For instance,
The service offerings segment is anticipated to fuel the market during the projected period owing to the growing complexities in long-term financial plans among businesses and high-net-worth individuals. These clients require personalized advice, specialized services, and a high level of trust-building relationships with financial planning professionals. Moreover, the need for expert guidance is increasing to navigate regulatory challenges effectively due to stringent regulatory compliance. Consequently, the rising awareness about the importance of personalized advice and tailored services in meeting evolving client needs boosts the segment.
On the basis of application, the market is bifurcated into personal financial planning and business financial planning. The personal financial planning segment generated a major revenue share of the market in 2023 due to the increasing awareness among individuals regarding the importance of financial planning for achieving their personal financial goals and securing their future financial well-being. The segment growth is further attributed to the rising personal income level.
The business financial planning segment is expected to hold a key share of the market during the projection period due to the growing recognition among businesses of the need for strategic financial planning to optimize financial resources, mitigate risks, and support business growth. Businesses navigating complex economic landscapes and regulatory environments are expected to drive the demand for specialized financial planning services tailored to business needs. Businesses require strategic financial guidance to survive the economic crisis. This, in turn, propels the segment in the coming years.
On the basis of client goals, the global market is segregated into retirement planning, wealth accumulation, education savings, and others. The retirement planning segment held a large market share in 2023. The segment growth is attributed to the increasing focus on long-term financial security among the geriatric population across the globe. Individuals are prioritizing retirement planning to ensure a comfortable lifestyle post-retirement, with extended life expectancies and the decline of traditional pension plans. This trend is particularly prominent in developed regions where aging demographics drive the demand for retirement-focused financial services.
The education savings segment is anticipated to expand at a substantial CAGR during the forecast period owing to the rising importance of education and the increasing costs associated with higher education. Parents seek to prioritize saving and investing in education funds to secure the future of their children. The rising importance of higher education and demand for education loans drive the demand for financial products and services tailored to education savings goals.
Based on end-user, the financial planning market is segmented into high-net-worth individuals (HNWIs), mass affluent individuals, small & medium enterprises (SMEs), corporations, non-profit organizations, government agencies, and educational institutions. The high-net-worth individuals (HNWIs) segment held a major share of the market in 2023 due to their substantial financial assets and the need for sophisticated wealth management services.
The small & medium enterprises (SMEs) segment is projected to register a robust growth rate during the assessment years owing to the increasing awareness about the importance of strategic financial planning for business growth and sustainability among SME owners. SMEs are actively seeking to optimize their financial resources and navigate complex regulatory environments, thereby driving the demand for tailored financial planning services.
In terms of region, the global financial planning market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America held a major market share in 2023 due to the presence of well-established financial institutions, high adoption rates of financial planning services among individuals and businesses, and favorable regulatory frameworks for financial institutions. Additionally, the market in the region benefits from a strong economy and high levels of disposable income, which drives the demand for sophisticated financial planning solutions.
The market in Asia Pacific is expected to expand at a significant pace during the forecast period. Factors such as rapid urbanization, increasing disposable incomes, and a growing awareness of the importance of financial planning among the population are driving the demand for financial planning services in this region. Furthermore, the rising digitalization and technological advancements in financial services are expected to fuel the market in the region, as many individuals and businesses seek convenient and accessible financial planning solutions. For instance,
The financial planning market has been segmented on the basis of
Key players competing in the global financial planning market are Ameriprise Financial Services Inc.; Charles Schwab Corporation; Fidelity Investments; J.P. Morgan Chase & Co.; Merrill Lynch; Morgan Stanley Wealth Management; Personal Capital; UBS Financial Services Inc.; Vanguard Group; and Wells Fargo Advisors.
These companies adopt various development strategies, such as product launches and partnerships, to expand their presence across the globe. For instance,
1. Executive Summary
2. Assumptions and Acronyms Used
3. Research Methodology
4. Financial Planning Market Overview
4.1. Introduction
4.1.1. Market Taxonomy
4.1.2. Market Definition
4.2. Macro-Economic Factors
4.2.1. Industry Outlook
4.3. Financial Planning Market Dynamics
4.3.1. Market Drivers
4.3.2. Market Restraints
4.3.3. Opportunity
4.3.4. Market Trends
4.4. Financial Planning Market - Supply Chain
4.5. Global Financial Planning Market Forecast
4.5.1. Financial Planning Market Size (US$ Mn) and Y-o-Y Growth
4.5.2. Financial Planning Market Size (000’ Units) and Y-o-Y Growth
4.5.3. Financial Planning Market Absolute $ Opportunity
5. Global Financial Planning Market Analysis and Forecast by Region
5.1. Market Trends
5.2. Introduction
5.2.1. Basis Point Share (BPS) Analysis by Region
5.2.2. Y-o-Y Growth Projections by Region
5.3. Financial Planning Market Size and Volume Forecast by Region
5.3.1. North America
5.3.2. Latin America
5.3.3. Europe
5.3.4. Asia Pacific
5.3.5. Middle East and Africa (MEA)
5.4. Absolute $ Opportunity Assessment by Region
5.5. Market Attractiveness/Growth Potential Analysis by Region
5.6. Global Financial Planning Demand Share Forecast, 2019-2026
6. North America Financial Planning Market Analysis and Forecast
6.1. Introduction
6.1.1. Basis Point Share (BPS) Analysis by Country
6.1.2. Y-o-Y Growth Projections by Country
6.2. North America Financial Planning Market Size and Volume Forecast by Country
6.2.1. U.S.
6.2.2. Canada
6.3. Absolute $ Opportunity Assessment by Country
6.4. Market Attractiveness/Growth Potential Analysis
6.4.1. By Country
6.4.2. By Product Type
6.4.3. By Application
6.5. North America Financial Planning Demand Share Forecast, 2019-2026
7. Latin America Financial Planning Market Analysis and Forecast
7.1. Introduction
7.1.1. Basis Point Share (BPS) Analysis by Country
7.1.2. Y-o-Y Growth Projections by Country
7.1.3. Latin America Average Pricing Analysis
7.2. Latin America Financial Planning Market Size and Volume Forecast by Country
7.2.1. Brazil
7.2.2. Mexico
7.2.3. Rest of Latin America
7.3. Absolute $ Opportunity Assessment by Country
7.4. Market Attractiveness/Growth Potential Analysis
7.4.1. By Country
7.4.2. By Product Type
7.4.3. By Application
7.5. Latin America Financial Planning Demand Share Forecast, 2019-2026
8. Europe Financial Planning Market Analysis and Forecast
8.1. Introduction
8.1.1. Basis Point Share (BPS) Analysis by Country
8.1.2. Y-o-Y Growth Projections by Country
8.1.3. Europe Average Pricing Analysis
8.2. Europe Financial Planning Market Size and Volume Forecast by Country
8.2.1. Germany
8.2.2. France
8.2.3. Italy
8.2.4. U.K.
8.2.5. Spain
8.2.6. Russia
8.2.7. Rest of Europe
8.3. Absolute $ Opportunity Assessment by Country
8.4. Market Attractiveness/Growth Potential Analysis
8.4.1. By Country
8.4.2. By Product Type
8.4.3. By Application
8.5. Europe Financial Planning Demand Share Forecast, 2019-2026
9. Asia Pacific Financial Planning Market Analysis and Forecast
9.1. Introduction
9.1.1. Basis Point Share (BPS) Analysis by Country
9.1.2. Y-o-Y Growth Projections by Country
9.1.3. Asia Pacific Average Pricing Analysis
9.2. Asia Pacific Financial Planning Market Size and Volume Forecast by Country
9.2.1. China
9.2.2. Japan
9.2.3. South Korea
9.2.4. India
9.2.5. Australia
9.2.6. Rest of Asia Pacific (APAC)
9.3. Absolute $ Opportunity Assessment by Country
9.4. Market Attractiveness/Growth Potential Analysis
9.4.1. By Country
9.4.2. By Product Type
9.4.3. By Application
9.5. Asia Pacific Financial Planning Demand Share Forecast, 2019-2026
10. Middle East & Africa Financial Planning Market Analysis and Forecast
10.1. Introduction
10.1.1. Basis Point Share (BPS) Analysis by Country
10.1.2. Y-o-Y Growth Projections by Country
10.1.3. Middle East & Africa Average Pricing Analysis
10.2. Middle East & Africa Financial Planning Market Size and Volume Forecast by Country
10.2.1. Saudi Arabia
10.2.2. South Africa
10.2.3. UAE
10.2.4. Rest of Middle East & Africa (MEA)
10.3. Absolute $ Opportunity Assessment by Country
10.4. Market Attractiveness/Growth Potential Analysis
10.4.1. By Country
10.4.2. By Product Type
10.4.3. By Application
10.5. Middle East & Africa Financial Planning Demand Share Forecast, 2019-2026
11. Competition Landscape
11.1. Global Financial Planning Market: Market Share Analysis
11.2. Financial Planning Distributors and Customers
11.3. Financial Planning Market: Competitive Dashboard
11.4. Company Profiles (Details: Overview, Financials, Developments, Strategy)
