What is Online Alternative Investments Market?
When people think regarding investing, they generally think of the various traditional investments, namely stocks, bonds, and cash. Whether it's the index fund in 401 (k) or the cash in the savings account, these traditional investments are the most common places for most individual investors. But that's only part of the picture. There is another category of investments that go beyond traditional investments and are called alternative investments. As one of the most dynamic asset classes, alternatives cover a wide range of investments with unique characteristics. The alternative investment industry is expected to grow 59 percent through 2023 and reach USD 14 trillion in net worth. Many alternatives are becoming more and more accessible to retail or individual investors, so knowing about them becomes increasingly important to all types of investors and industry professionals. These types of investments can be very different in their accessibility and structure, but they have some key features:, • They're unregulated by the US Securities and Exchange Commission (SEC), • They're illiquid, meaning they can’t be easily sold or otherwise converted to cash and • They have a low correlation to standard asset classes, meaning they don’t necessarily move in the same direction as other assets when market conditions change
The market study is being classified by Type (Equity Crowdfunding, Private Equity, Physical Real Estate, Art Investment, Peer-to-Peer Lending, Commodities and Others), by Application (Corporate/Businesses and Personal) and major geographies with country level break-up.
iCapital Network (United States), Robinhood Markets, Inc. (United States), EquityMultiple (United States), Masterworks.io (United States), Livestock Wealth (South Africa), RealCrowd, Inc. (United States), Roofstock (United States), Wefunder (United States), Fundrise (United States), Rally (United States) and Acorns (United States) are some of the key players profiled in the study. Additionally, the Players which are also part of the research are Yieldstreet, Inc. (United States), Patch of Land (United States) and Betterment (United States).
The companies are exploring the market by adopting mergers & acquisitions, expansions, investments, new service launches, and collaborations as their preferred strategies. The players are exploring new geographies through expansions and acquisitions to avail a competitive advantage through combined synergies. Research Analyst at AMA predicts that United States Players will contribute to the maximum growth of Global Online Alternative Investments market throughout the predicted period.
Segment Analysis
Analyst at AMA have segmented the market study of Global Online Alternative Investments market by Type, Application and Region.
On the basis of geography, the market of Online Alternative Investments has been segmented into South America (Brazil, Argentina, Rest of South America), Asia Pacific (China, Japan, India, South Korea, Taiwan, Australia, Rest of Asia-Pacific), Europe (Germany, France, Italy, United Kingdom, Netherlands, Rest of Europe), MEA (Middle East, Africa), North America (United States, Canada, Mexico). Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth.
Market Drivers
- Increase in the Types of Online Alternative Investments over the Last Decade
- Increasing Allocator Interest
- Increasing Demand for More Flexible and Customizable Investments
- Increase in Adoption of Banking & Financial Services
Market Trend
- Growing Digitalization and Use of Internet and Mobile Phones
- The Rising Demand for Alternative Investments from Private Equity
Restraints
- The Increasing Emphasis on Regulations
- Traditionally used Direct Finance is Relatively Easily and has a Variety of Procurement Options
Opportunities
- Rising Collaborations with Fintechs with Innovative Ideas and Tools That Are Hard To Develop In a Legacy Environment
- Increasing Demand for Online Alternative Investments from Developed Countries
Challenges
- Lack of Awareness about Online Alternative Investments
Key Target Audience
Research Organizations and Consulting Companies, Potential Investors, Government Regulatory Bodies, Government Research Organizations, Downstream Vendors, End Users and Others