The investment market comprises all establishments engaged in managing various investment related activities such as securities underwriting, stock brokerage and wealth management service. The investment industry is categorized on the basis of the business model of the firms present in the industry.
The global investments market was valued at around $1929 billion in 2017. North America was the largest region in the investments market in 2017, accounting for 55% market share. The USA was the largest country in the market in 2017, accounting for 53% market share.
Developing regions such as Asia and Middle East & Africa are offering significant growth opportunities. Rising economic activity has turned Asian region, especially countries such as China and India into some of the most attractive markets for investment banking around the world. To capitalize on this rising trend, global players are exploiting their product expertise and large-scale platforms to enter the capital markets and investment banking markets in Asia particularly China, often through joint ventures.
The top five companies covered are Agricultural Bank of China, Northwestern Mutual, Barclays, JP Morgan and Bank of America. Agricultural Bank of China was the largest company in the investments market in 2017.
The countries covered are USA, China, Germany, Brazil, Japan, UK, Spain, Russia, France, Australia, Italy, India and rest of the world.
The investments market is segmented into Wealth Management, Securities Brokerages & Stock Exchanges and Investment Banking.
Wealth Management segment comprises establishments engaged in planning, advising and managing various kinds of assets. This segment covers financial and investment advice, retirement planning and legal or estate planning but excludes accounting and tax services. This market includes brokerage and custodian charges of the firms.
Securities Brokerages & Stock Exchanges segment comprises establishments primarily engaged (brokers) in selling securities such as equities, bonds, commodities and derivatives. They represent customers in dealing with securities transactions on the trading floor/online platform. This segment excludes the advisory and investment activities of the brokerage firms.
Investment Banking comprises establishments primarily engaged in undergoing capital risk in the process of underwriting securities. This market excludes companies acting as agents and/or brokers between buyers and sellers of securities and commodities. These establishments primarily involve in underwriting, originating, and/or maintaining markets for issue of securities. It includes activities such as mergers and acquisitions advisory, debt capital markets underwriting, equity capital markets underwriting and syndicated loans/financial sponsor.