Authored By: Sarah
11 Jul 2024

 Artificial Intelligence in Asset Management Market Size to grow by USD 10373.18 million between 2023-2027

According to a research report “ Artificial Intelligence in Asset Management Market” by Deployment (On-premises, Cloud) Industry Application (BFSI, Retail and e-commerce, Healthcare, Energy and utilities, Others) Geography (North America, Europe, APAC, Middle East and Africa, South America)- Global Forecast to 2027 published by Technavio, the market size is estimated to grow by USD 10373.18 million, at a CAGR of  37.88% during the forecast period. Artificial Intelligence (AI) is revolutionizing the asset management industry by enabling faster and more informed investment decisions through the analysis of vast amounts of data in real-time. Utilizing complex algorithms, AI can identify trends and patterns that may be overlooked by humans, such as correlations between asset prices and economic indicators. Asset managers can leverage these insights to optimize asset allocation, reduce risk, and develop more effective investment strategies. AI's ability to analyze data in real-time also enhances asset tracking and management capabilities, providing valuable insights for informed decision-making. By harnessing the power of AI, asset management firms can gain a competitive edge and enhance their overall performance.

Browse market data tables, figures, and in-depth TOC on “Artificial Intelligence in Asset Management Market” by Deployment (On-premises, Cloud) Industry Application (BFSI, Retail and e-commerce, Healthcare, Energy and utilities, Others) Geography (North America, Europe, APAC, Middle East and Africa, South America) Global Forecast to 2027. Download Free Sample

 

By Deployment, the On-premises segment is projected to dominate the market size in 2024

The Business Finance Services and Insurance (BFSI) sector in the global Artificial Intelligence (AI) in Asset Management market is experiencing substantial growth. BFSI companies are integrating AI and Machine Learning (ML) technologies to optimize their investment strategies and deliver superior customer experiences. With the escalating demand for advanced financial solutions and the imperative to manage risks, the BFSI industry is undergoing a transformative phase. AI's capability to process massive financial data sets is a significant advantage for the BFSI sector. AI algorithms can scrutinize extensive financial data, detect patterns, trends, and correlations, empowering investors with valuable insights to make informed decisions.

By Industry Application, BFSI  segment is expected to hold the largest market size for the year 2024

The on-premise segment of the global artificial intelligence (AI) in asset management market is projected to experience substantial expansion in the ensuing years. On-premise AI solutions provide businesses with a higher degree of control and adaptability compared to cloud-based alternatives. Installed locally on an organization's servers, these solutions cater to unique business requirements, offering complete ownership and control over valuable data. Unlike cloud-based solutions, which cater to a diverse clientele with standardized features, on-premise AI solutions can be customized to meet specific organizational needs, making them a preferred choice for businesses seeking data sovereignty and customized AI capabilities.

North America is forecasted to hold the largest market size by region in 2024

In North America, the Artificial Intelligence (AI) in Asset Management market is currently leading the global landscape, driven by the region's rapid adoption of advanced technologies in the asset management sector. This dominance is expected to persist due to the presence of well-established players and surging demand for AI-driven solutions and services. The primary catalyst fueling the growth of the AI in Asset Management market in North America is the increasing requirement for automation and digitization within the industry. Notably, there has been a significant increase in the number of asset management firms embracing advanced technologies, including AI, to enhance their operational efficiency and deliver superior client services.

The Artificial Intelligence in Asset Management Market growth and forecasting report also includes detailed analyses of the competitive landscape of the market growth and forecasting and information about 20 market companies, including:

  • Amazon.com Inc.
  • AXOVISION GmbH
  • BlackRock Inc.
  • Deloitte Touche Tohmatsu Ltd.
  • Genpact Ltd.
  • Infosys Ltd.
  • International Business Machines Corp.
  • Lexalytics Inc.
  • Microsoft Corp.
  • New Narrative Ltd.
  • Salesforce Inc.
  • The Charles Schwab Corp.
.

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Research Analysis Overview

Artificial Intelligence (AI) is revolutionizing the Asset Management industry with the integration of Chatbots and deep learning algorithms. TIFIN Group, a leading FinTech company, has introduced The TIFIN AMP, an AI model-driven software platform, to enhance investment services and financial transactions. This business strategy leverages human-machine interaction systems, NLP, and conversational platforms to cater to both Business-to-Business and Business-to-Consumer clients. Deep learning algorithms analyze vast amounts of data to provide personalized investment recommendations, ensuring data quality and operational efficiency. AI model-based chatbots facilitate client retention by offering round-the-clock assistance, handling queries related to financial transactions, interest rates, and regulations. Non-residents also benefit from this technology, as it adapts to various languages and cultures. However, the implementation of AI in Asset Management comes with challenges, such as strict regulations and low-interest rates, which require continuous adaptation of algorithmic models. Despite these hurdles, the future of AI in Asset Management looks promising, with FinTech companies leading the charge towards a more efficient, personalized, and accessible investment landscape.

Market Research Overview

The Artificial Intelligence (AI) in Asset Management Market is witnessing significant growth as technology companies like EagleView, TIFIN Group, and others introduce advanced analytics software to enhance investment processes in the asset management industry. With low interest rates and strict regulations, asset managers are turning to AI model-driven solutions for alpha generation through quantitative modeling and deep learning techniques. These analytics providers use various data sources, including historical trading data, company announcements, business metrics, financial data, and digital interactions, to identify market inefficiencies and optimize portfolios. AI algorithms, such as machine learning and natural language processing (NLP), are used to analyze big data analytics and make informed decisions. Virtual assistants and chatbots, powered by AI, are increasingly being used for human-machine interaction systems, improving client retention and operational efficiency. Aerial imagery and computer vision technology are also being integrated into asset management software platforms for asset identification and monitoring. However, ethical thinking, privacy, investor protection, and compliance monitoring are critical considerations for the adoption of AI in the asset management industry. As the market continues to evolve, businesses must adapt to digital technology and develop business strategies that leverage AI algorithms to stay competitive. The use of AI in asset management extends to wealth management, where AI models analyze financial transactions and market volatility to generate alpha. The technology is also being used in business-to-business and business-to-consumer interactions, with voice recognition programs and conversational platforms enhancing the investor experience. Despite the benefits, the implementation of AI in asset management comes with challenges, including data quality, data volumes, and the need for resources to develop and maintain AI models. As the market continues to grow, it is essential to consider the impact of regulations and the ethical implications of AI in asset management.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

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