Wealth Management - Hungary

Hungary

In Hungary, the Wealth Management market is anticipated to witness a significant growth in the coming years.
It is projected that the Assets under Management in this market will reach a staggering US$35.27bn by the year 2024.
The dominant player in this market is the Financial Advisory sector, which is expected to have a market volume of US$34.34bn in 2024.
Looking ahead, the Assets under Management are forecasted to exhibit a steady annual growth rate of 1.25% from 2024 to 2028.
This growth trajectory is expected to result in a market volume of US$37.06bn by the year 2028.
The Wealth Management market in Hungary is poised for continued expansion and opportunities for investors and financial institutions.
The demand for personalized wealth management services in Hungary is on the rise, as affluent individuals seek tailored solutions to navigate market uncertainties.

Key regions: United States, United Kingdom, Germany, Hong Kong, Singapore

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Analyst Opinion

The Wealth Management market in Hungary has been experiencing significant growth and development in recent years.

Customer preferences: Hungarian customers have shown a strong inclination towards wealth management services, seeking professional advice and guidance to manage their financial assets. This preference can be attributed to the increasing complexity of financial markets and the desire for personalized and tailored investment strategies. Customers in Hungary are also becoming more aware of the importance of long-term financial planning and are actively seeking ways to maximize their wealth.

Trends in the market: One of the key trends in the Wealth Management market in Hungary is the growing demand for digital wealth management solutions. With the advancement of technology and the increasing accessibility of online platforms, customers are increasingly turning to digital channels to access wealth management services. This trend is driven by the convenience and flexibility offered by digital platforms, as well as the ability to access a wider range of investment options. Another trend in the market is the increasing focus on sustainable and socially responsible investing. Hungarian customers are becoming more conscious of the environmental and social impact of their investments and are seeking wealth management solutions that align with their values. This trend is in line with the global shift towards sustainable investing and reflects the growing importance of environmental, social, and governance (ESG) factors in investment decision-making.

Local special circumstances: The Wealth Management market in Hungary is also influenced by local special circumstances. One such circumstance is the relatively high level of income inequality in the country. This has created a demand for wealth management services among affluent individuals who are looking to preserve and grow their wealth. Additionally, the Hungarian pension system has undergone significant reforms in recent years, leading to a greater need for private retirement planning and wealth management services.

Underlying macroeconomic factors: The development of the Wealth Management market in Hungary is also supported by underlying macroeconomic factors. The country has experienced stable economic growth in recent years, which has resulted in an increase in disposable income and wealth accumulation. Furthermore, the low interest rate environment has made traditional savings and investment options less attractive, prompting individuals to seek alternative ways to grow their wealth. In conclusion, the Wealth Management market in Hungary is experiencing growth and development driven by customer preferences for professional advice and personalized investment strategies. The market is also influenced by trends such as the demand for digital wealth management solutions and the focus on sustainable investing. Local special circumstances, such as income inequality and pension reforms, further shape the market. The underlying macroeconomic factors of stable economic growth and low interest rates also contribute to the development of the market.

Methodology

Data coverage:

The data encompasses B2C enterprises. The figures are based on gross revenues, assets under management, and user & advisor data of relevant services and products offered within the Wealth Management market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research activities (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as: GDP, gross national income (GNI), consumer spending, total investment (% of GDP), high income (% of population), and number of high-net-worth individuals (HNWI). This data helps us 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 relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).