Global Robo Advisory Market Overview

The global robo advisory market size reached US$ 9.4 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 76.2 Billion by 2032, exhibiting a growth rate (CAGR) of 25.6% during 2024-2032.

Factors Affecting the Growth of the Global Robo Advisory Industry:

Increasing Demand for Low Cost Investments:

The rising demand for affordable investment solutions is a key factor propelling the robo-advisory market. Robo-advisors offer lower fees compared to traditional financial advisors, making them an appealing choice for cost-conscious investors, especially those with smaller portfolios. This cost-effectiveness is largely due to the automated nature of robo-advisory services, which minimizes the need for costly human labor and reduces overhead expenses. Furthermore, the lower minimum investment requirements make it easier for new or less affluent investors to access financial advice and management. By democratizing financial services, robo-advisors cater to a growing segment of the population eager to optimize their investments without incurring substantial fees.

Regulatory Support:

Regulatory support and increasing consumer trust are also key drivers of the growth in the robo-advisory market. Regulatory bodies across various countries are beginning to recognize and establish guidelines for robo-advisors, which adds legitimacy to these services and boosts consumer confidence. This regulatory clarity helps ensure the security and reliability of robo-advisory platforms. Moreover, as consumers become more familiar with digital financial services, their trust in automated investment advice grows. The transparency and adherence to financial regulations demonstrated by these platforms further enhance their credibility. As trust increases, more investors are likely to adopt robo-advisory services, thereby contributing to the market's expansion.

Top Robo Advisory Companies

Betterment

Ellevest

Fincite Gmbh

Ginmon Vermögensverwaltung GmbH

SigFig Wealth Management LLC

SoFi Technologies Inc.

The Charles Schwab Corporation

The Vanguard Group Inc.

Wealthfront Corporation

Wealthify Limited (Aviva plc) in the World

Robo Advisory Market Report Segmentation:

By Business Mode: 

Pure Robo Advisors

Hybrid Robo Advisors

By Service Type:

Direct Plan-Based/Goal-Based

Comprehensive Wealth Advisory

By Provider:

Fintech Robo Advisors

Banks

Traditional Wealth Managers

Others

By End User:

Retail Investor

High Net Worth Individuals (HNIs)

Regional Insights:

North America (United States, Canada)

Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, Others)

Europe (Germany, France, United Kingdom, Italy, Spain, Russia, Others)

Latin America (Brazil, Mexico, Others)

Middle East and Africa