Asia-Pacific Mutual Fund Industry Market Size (2024 - 2029)

The Asia Pacific mutual funds market is experiencing a transformation influenced by the COVID-19 pandemic, which has moderately impacted the market size due to increased corporate defaults and disrupted cash flows. Despite these challenges, the market is witnessing a shift towards online platforms for mutual fund investments. The fund distribution landscape in Asia remains fragmented, with varying dominance of retail banks and securities firms across different countries. The region's potential is driving regulatory changes aimed at streamlining the industry and enhancing transparency, which are expected to influence the market size positively.

Market Size of Asia-Pacific Mutual Fund Industry

Asia-Pacific Mutual Fund Industry (2020-2025)
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR 9.00 %
Market Concentration Medium

Major Players

Asia-Pacific Mutual Fund Industry Major Players

*Disclaimer: Major Players sorted in no particular order

Asia Pacific Mutual Fund Market Analysis

The COVID-19 pandemic has pulled the world into unchartered waters. Slow growth and wafer thin margins have been key concerns in APAC region. COVID-19 pandemic has a moderate impact on the mutual fund assets market in APAC, owing to increased cases of corporate defaults as the cash flow position has been hampered tremendously. However, as lockdown in several regions has severely impacted the movement of consumers and disruption of businesses across the globe, customers are availing offers of mutual funds via online platforms.

In Asia, fund distribution is still highly fragmented, with no single route dominating every area. Retail banks dominate the sale of fund products in Hong Kong and China, whereas securities firms dominate the market in Korea.

A number of B2B robo advisers and ones aimed towards the middle-class market are already making inroads in a number of APAC markets and tie-ups with asset managers and banking distribution platforms are taking place.

Given the growing potential of this region, many countries are bringing in regulations to streamline the industry with free flow of funds among countries and also to curb unwarranted results. Japan's Financial Services Authority released finalized principles regarding fiduciary duty, setting out seven overarching principles that will aid the economy in pursuing sustainable economic growth and the stable financial accumulation of Japanese household assets. In India, regulations of mutual fund mergers have been tightened to improve transparency and eliminate product ambiguity for investors. Similarly, a new regulatory framework in China will enhance market surveillance and transparency.

Asia Pacific Mutual Fund Industry Segmentation

An understanding of the Asia-Pacific mutual fund industry, regulatory environment, MF companies and their business models, along with detailed market segmentation, product types, current market trends, changes in market dynamics, and growth opportunities. In-depth analysis of the market size and forecast for the various segments.

By Fund Type
Equity
Bond
Hybrid
Money Market
Others
By Geography
China
India
Singapore
Taiwan
Hong Kong
Korea
Rest of Asia-Pacific
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Asia-Pacific Mutual Fund Industry Size Summary

The Asia Pacific mutual funds market is navigating through a landscape shaped by the COVID-19 pandemic, which has introduced challenges such as slow growth and thin margins. Despite these hurdles, the market is witnessing a shift towards online platforms for mutual fund offerings, as traditional distribution channels remain fragmented across the region. Retail banks and securities firms dominate in key markets like Hong Kong, China, and Korea. The emergence of B2B robo-advisers and strategic partnerships with asset managers and banking distribution platforms are gaining traction, reflecting the region's potential for growth. Regulatory developments in countries like Japan, India, and China aim to enhance transparency and streamline operations, fostering a more stable and sustainable financial environment.

The market is also influenced by broader economic trends, such as rising inflation and interest rates, which are impacting private equity investments and sector concentration. The emerging affluent population in the region is increasingly prioritizing mutual funds as a primary savings method, shifting away from traditional savings accounts. This trend is supported by major mutual fund companies like Matthews Asia Funds, E Fund Management, HDFC Mutual Fund, BlackRock, and Fidelity Investments, which are adapting their offerings to meet evolving client needs. Notable developments include HDFC Mutual Fund's introduction of a Defence Fund in India and Fidelity International's strategic mergers and focus on sustainability and income solutions, highlighting the dynamic nature of the market.

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Asia-Pacific Mutual Fund Industry Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 A Brief on Regulatory Environment

    3. 1.3 Insights on Various Types of Schemes or Funds Offered in Mutual Fund Industry

    4. 1.4 Technological Innovations Shaping The Industry

    5. 1.5 Market Drivers

    6. 1.6 Market Restraints

    7. 1.7 Porters 5 Force Analysis

      1. 1.7.1 Threat of New Entrants

      2. 1.7.2 Bargaining Power of Buyers/Consumers

      3. 1.7.3 Bargaining Power of Suppliers

      4. 1.7.4 Threat of Substitute Products

      5. 1.7.5 Intensity of Competitive Rivalry

    8. 1.8 Impact of COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Fund Type

      1. 2.1.1 Equity

      2. 2.1.2 Bond

      3. 2.1.3 Hybrid

      4. 2.1.4 Money Market

      5. 2.1.5 Others

    2. 2.2 By Geography

      1. 2.2.1 China

      2. 2.2.2 India

      3. 2.2.3 Singapore

      4. 2.2.4 Taiwan

      5. 2.2.5 Hong Kong

      6. 2.2.6 Korea

      7. 2.2.7 Rest of Asia-Pacific

Asia-Pacific Mutual Fund Industry Market Size FAQs

The Asia-Pacific Mutual Fund Market is projected to register a CAGR of greater than 9% during the forecast period (2024-2029)

Matthews Asia Funds, E Fund Management, HDFC Mutual Fund, BlackRock and Fidelity Investments are the major companies operating in the Asia-Pacific Mutual Fund Market.

Asia Pacific Mutual Funds Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)