Authored By: Sarah
11 Jul 2024

 Financial Analytics Market Size to grow by USD 8078.2 million between 2024-2028

According to a research report “ Financial Analytics Market” by Component (Solution, Services) Deployment (On-premises, Cloud) Geography (North America, Europe, APAC, Middle East and Africa, South America)- Global Forecast to 2028 published by Technavio, the market size is estimated to grow by USD 8078.2 million, at a CAGR of  12.7% during the forecast period. In today's business landscape, financial analytics tools are indispensable for managing a diverse range of financial risks. These risks encompass credit risks, market risks, operational risks, and more. As organizations navigate complex business environments, they encounter various risks, including financial, operational, cybersecurity, regulatory, and geopolitical risks. Financial analytics tools play a pivotal role in identifying, assessing, and mitigating these multifaceted risks. In the volatile financial markets, market risk analysis is of utmost importance before making investment and trading decisions. Financial analytics tools leverage historical data and statistical models to evaluate market trends, quantify Value-at-Risk (VaR), and forecast potential losses based on various scenarios. These insights enable organizations to make informed decisions, minimize risks, and maximize returns.

Browse market data tables, figures, and in-depth TOC on “Financial Analytics Market” by Component (Solution, Services) Deployment (On-premises, Cloud) Geography (North America, Europe, APAC, Middle East and Africa, South America) Global Forecast to 2028. Download Free Sample

 

By Component, the Solution segment is projected to dominate the market size in 2024

On-premises financial analytics solutions enable organizations to retain full control over their financial data and analytics infrastructure. These solutions offer the flexibility to customize software to suit specific business needs, seamlessly integrate with existing systems, and adhere to stringent IT policies. For businesses dealing with sensitive financial information, proprietary algorithms, or confidential customer data, on-premises analytics solutions mitigate the risks of data breaches and information leaks associated with cloud-based alternatives. Industries with unique security requirements, such as defense or critical infrastructure, often opt for on-premises financial analytics solutions to maintain the highest level of control and data security.

By Deployment, On-premises  segment is expected to hold the largest market size for the year 2024

Financial analytics solutions play a pivotal role in assessing and managing various financial risks for organizations. These risks encompass credit risks, market risks, and operational risks. By utilizing advanced analytical tools, businesses can proactively identify potential risks and implement mitigation strategies. Compliance with stringent regulations, such as Basel III, Dodd-Frank, and GDPR, necessitates robust data analytics and reporting capabilities. Financial analytics solutions equip organizations with the ability to evaluate financial performance, measure key performance indicators (KPIs), and adhere to regulatory requirements, thereby avoiding penalties. These solutions offer valuable insights into financial data, enabling informed decision-making and strategic planning.

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

In the heavily regulated financial sector of North America, adherence to stringent reporting and compliance requirements is paramount. Asset managers, hedge funds, and individual investors, who form a significant portion of the region's investment and asset management industry, rely on financial analytics solutions to ensure regulatory compliance, manage risk, and detect fraud. With technological advancements and the generation of vast amounts of data, companies are increasingly leveraging financial analytics to extract valuable insights from big data, enhance operational efficiency, and maintain a competitive edge in the industry. The North American financial market's reliance on financial analytics is a testament to its commitment to innovation and staying ahead of the curve in an ever-evolving regulatory landscape.

The Financial Analytics 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:

  • BankTree Software Ltd.
  • Databricks Inc.
  • ExlService Holdings Inc.
  • Fair Isaac Corp.
  • Fractal Analytics Pvt. Ltd.
  • Genpact Ltd.
  • H2O.ai Inc.
  • Hitachi Ltd.
  • International Business Machines Corp.
  • Microsoft Corp.
  • Oracle Corp.
  • Perfios Software Solutions Pvt. Ltd.
  • Quantiphi Inc.
  • Ramp Business Corp.
  • SAP SE
  • SAS Institute Inc.
  • Teradata Corp.
  • Wipro Ltd.
  • Accenture Plc
  • SparkCognition Inc.
.

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Research Analysis Overview

The Financial Analytics Market is experiencing significant growth due to the increasing focus on financial efficiency, resource utilization, and data-driven decision-making in various industries, particularly in Healthcare Expenditure and Revenues Management. Import-Export Analysis and Trade Regulations have become crucial for businesses in today's global economy, making advanced financial analytics solutions essential for effective data integration and quality management. Financial analytics solutions enable organizations to gain insights into customer behavior, financial performance, and operational efficiency. These solutions are integral to digital transformation initiatives and help businesses optimize IT investment plans and comply with Audit & Compliance regulations. Data security and privacy are paramount in the financial analytics market, with ESG-based databases providing transparency and accountability. Predictive analytics plays a vital role in identifying trends and forecasting future financial performance, while Data-driven decision-making enables organizations to optimize financial steering and improve customer satisfaction. Moreover, financial analytics solutions are essential for managing financial efficiency and resource utilization in the healthcare sector, where healthcare expenditure is a significant concern. In conclusion, the financial analytics market is a dynamic and evolving landscape that offers numerous opportunities for businesses to gain a competitive edge through data analysis, advanced analytics solutions, and digital transformation initiatives.

Market Research Overview

The Financial Analytics Market is experiencing significant growth due to the increasing importance of data-driven decision-making in various industries, including Retail, Automotive and Manufacturing, IT & Telecom, Energy & Power, and Healthcare. Financial analytics solutions are essential for large enterprises and wealth management firms to optimize financial management, improve business performance, and enhance profitability. Key drivers of the financial analytics market include healthcare expenditure analysis, import-export analysis under trade regulations, data integration, and data quality management. Financial analytics solutions enable financial steering, portfolio management processes, risk mitigation, fraud detection, and compliance with regulatory environments. Advanced analytics solutions, such as machine learning and artificial intelligence, are increasingly being used for investment decision-making processes, customer profitability analysis, product profitability analysis, financial efficiency, resource utilization, and customer behavior analysis. Data security and predictive analytics are also critical components of financial analytics solutions. ESG-based databases are becoming increasingly important for financial analytics, as investors and regulators focus on sustainability and social responsibility. Digital transformation initiatives are driving the adoption of financial analytics solutions across industries, with IT investment plans playing a key role in their implementation. In conclusion, financial analytics solutions are essential for managing expenses and revenues, auditing and compliance regulations, and making data-driven decisions in today's complex business landscape. They provide valuable insights into customer satisfaction, financial efficiency, and resource utilization, helping organizations to optimize their operations and maximize profits.

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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