Market Insights Financial Corporate Finance

Investment Banking - Asia

Asia

The revenue in the Investment Banking market is projected to reach €78.29bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 1.83% resulting in a projected total amount of €85.72bn by 2029.
From a global comparison perspective, it is shown that the highest revenue is reached in the United States (€120.70bn in 2024).

Mercado

Región

Comparación de regiones

Moneda

Analyst Opinion

The Investment Banking market in Asia continues to show promising growth and development, driven by various factors influencing customer preferences, market trends, local special circumstances, and underlying macroeconomic factors.Customer preferences in the Asian Investment Banking market are increasingly focused on personalized services, innovative financial products, and digital solutions.

Clients are seeking tailored investment strategies that cater to their specific needs and risk profiles. Moreover, there is a growing demand for sustainable and socially responsible investment opportunities, reflecting a shift towards more ethical and environmentally conscious practices in the region.Trends in the market vary across different countries in Asia.

For example, in Japan, there is a notable trend towards consolidation among investment banks to enhance competitiveness and expand market reach. Meanwhile, in China, the market is witnessing a rise in cross-border investment banking activities, fueled by the country's economic growth and increasing global integration. In India, the market is experiencing a surge in fintech innovation, with digital platforms disrupting traditional banking models and attracting a new generation of tech-savvy investors.

Local special circumstances play a significant role in shaping the Investment Banking landscape in Asia. For instance, regulatory reforms in South Korea are driving greater transparency and accountability in the financial sector, influencing how investment banks operate and interact with clients. In Singapore, the city-state's position as a leading financial hub in the region is attracting foreign investment and fostering collaboration between local and international players in the market.

Underlying macroeconomic factors, such as economic growth, market stability, and geopolitical dynamics, also impact the Investment Banking market in Asia. The region's rapid economic expansion, particularly in emerging markets like Indonesia and Vietnam, presents lucrative opportunities for investment banks to capitalize on growing wealth and capital markets. However, challenges such as trade tensions, currency fluctuations, and regulatory uncertainties can create volatility and impact investment decisions in the region.

Methodology

Data coverage:

Figures are based on the revenue generated by the Investment Banking market, as well as the transaction value, the number of transactions, and the average transactions size of the Mergers and Acquisitions (M&As) and Initial Public Offerings (IPOs) markets.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach and are based on a specific rationale for each market. As a basis for evaluating markets, we use market research and analysis, as well as data from annual financial reports. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus, such as GDP, wealth per capita, and total investment (% of GDP). This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita and total investment (% of GDP).

Additional Notes:

The market is updated twice per year in the event that market dynamics change.