Summary
Rocky road: Steady revenue growth is under threat due to macroeconomic conditions continuing to be volatile
Abstract
Financial Planning & Advice in the US
The Financial Planning and Advice industry has undergone tremendous growth over the five years to 2019. Greater disposable income, healthy equity and fixed income markets and greater assets under management have propelled industry revenue. Rising employment and disposable income in the US economy have also boosted consumer demand for financial planning services, as individuals seek to grow and retain pools of assets. Over the five years to 2024, revenue is projected to increase as equity and fixed income yields rise. IBISWorld forecasts that the growing number of affluent households and rising equity markets will boost total AUM for the industry and raise revenue generated from management fees. Additionally, the aging of the US population and increased investor uncertainty will heighten demand for financial planning services, as more Americans nearing retirement age will seek professional financial advice.
This industry comprises companies that provide financial planning, financial advice and wealth management to individuals and business clients. Operators also offer advice in conjunction with other activities, such as portfolio management, protection planning and brokerage services. This industry does not include mutual fund companies, hedge funds, discount brokers, insurance brokers or other companies that deliver similar services outside the context of a written financial plan.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.
