The last few months have witnessed a surge in the number of investors using robo-advisor financial planning services. Robo-advisors pioneers Wealthfront and Betterment both confirmed that March was one of the strongest months for growth, proving the global robo-advisors industry managed to maintain a steady rise, despite the market volatility caused by the COVID-19.
According to data gathered by BuyShares, the global robo-advisors industry is expected to reach $987.4bn value in 2020, growing by 19.3% year-on-year. The strong upward trend is set to continue in the following years, with the market value rising by CARG of 26% and reaching $2.4trn by 2024.
Assets Under Management in Robo-advisors Segment Increased 230% in Three Years
Robo-advisers are online platforms that use complex algorithms to create investment portfolios based on the information the client provides when g up for an . Because of their low fees, small opening balance, and ease of use, they are an excellent option for entry-level investors.
In 2017, assets under management in the robo-advisors segment amounted to $297.7bn, revealed the new Statista data. Over the next two years, this figure jumped to $827.4bn. Statistics indicate the market volume increased by 230% in the last three years.
The average assets under management per in the robo-advisors segment amount to $4,398 in 2020. This figure is expected to rise to $5,700 in the next four years.
The Number of s to Hit 436.3 Million by 2024
Automated s are generally cheaper because they use computer algorithms instead of human money managers. That is why they have been especially attractive to younger tech-savvy investors looking to grow their savings before retirement.
In 2017, there were 42.7 million s with assets managed by robo-advisors. Over the last three years, this number jumped to more than 224.5 million, growing by 49.6% year-on-year. The Statista data revealed the number of investors using robo-advisor financial planning services will rise to 436.3 million by 2024, ten times more compared to 2017 figures.
Analyzed by geography, the United States represents the leading robo-advisors industry in the world expected to reach a $682.7bn transaction value in 2020. With $74.5bn transaction value, China ranked as the second-largest robo-advisors market. Japan, the United Kingdom and Italy follow with $30.3bn, $18.2bn, and $15.2 bn, respectively.
The full story can be read here: https://buyshares.co.uk/robo-
