Certificate of Deposit Market Scope
Certificate of deposit (CD) is type of money market instrument that is issues against the funds deposited. CD is provided by the banks or credit unions for fix time duration. It is available at various maturities and terms and types that meets individuals need. CDs are most popular investment opportunity among the ordinary individuals due to its safety and higher yield compared to saving accounts as it is a government-backed securities. Further, the federally insured banks offers CDs with insurance, and can also be issued to the NRIs on non-repatriable basis, which will create significant opportunities for the market.
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 estimates that United States Players will contribute to the maximum growth of Global Certificate of Deposit market throughout the predicted period.
Goldman Sachs (United States), Quontic Bank (United States), Morgan Stanley (United States), TIAA Bank (United States), Sallie Mae (United States), TAB Bank Holdings, Inc. (United States), Ally Bank (United States), Synchrony Bank (United States), Capital One (United States), First Tech Federal Credit Union (United States), Popular Bank (United States), Barclays (United Kingdom), Live Oak Bank (United States), Comenity Capital Bank (United States), JPMorgan Chase (United States), Crédit Agricole (France), MUFG Bank (Japan), BNP Paribas (France) and Deutsche Bank (Germany) are some of the key players that are part of study coverage.
Segmentation Overview
The study have segmented the market of Global Certificate of Deposit market by Type (Traditional CD, Bump-Up CD, Step-Up CD, Brokered CD, Liquid or No penalty CD and Others) and Region with country level break-up.
On the basis of geography, the market of Certificate of Deposit has been segmented into South America (Brazil, Argentina, Rest of South America), Asia Pacific (China, Japan, India, South Korea, 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).
Influencing Trend:
Emerging Trend of Digital Sales of Certificate of Deposits in the Market
Market Growth Drivers:
Growing Popularity of Certificate of Deposits Due to Lower-risk Investment and Higher Yields Compared to Regular Saving Accounts and Increasing Demand for Certificate of Deposits for Short-Term Period at Fixed Interest Rate
Challenges:
Availability of Other Safe Investment Options in the Market May Hamper the Growth and Early Withdrawal Penalties and Limited Accessibility to Cash Withdrawals or Fund Transfers
Restraints:
Limited Liquidity and Risk of Inflation May Slow Down the Investment in Certificate of Deposit and Disadvantages Associated with Floating Rate CDs Will Limit Adoption
Opportunities:
Availability of CDs at Various Maturity Terms and Types Will Create Significant Opportunities
In 2022, Quontic Bank introduced a tap-to-pay mobile payment ring to the U.S. market.Customers can link the ring to one of Quontic's three market-leading checking accounts. and In 2020, Morgan Stanley announced the launch of CashPlus. The CashPlus Account has taken the position of the Premier Cash Management program. CashPlus, Morgan Stanley's next generation of cash management, brings a client's cash activities front and center while providing a plethora of benefits and a seamless digital experience.
In 2021, RBI issued the amendment circular for CDs. Under the amendment RBI increased minimum domination of CDs to 5 lakh and after it investors can invests in multiple CDs of Rs 5 lakh.
Key Target Audience
New Entrants/Investors, Analysts and Strategic Business Planners, Certificate of Deposit Providers, Venture Capitalists and Private Equity Firms, Government Bodies and Research Organizations, End-Users and Others
About Approach
The research aims to propose a patent-based approach in searching for potential technology partners as a supporting tool for enabling open innovation. The study also proposes a systematic searching process of technology partners as a
preliminary step to select the emerging and key players that are involved in implementing market estimations. While patent analysis is employed to overcome the aforementioned data- and process-related limitations, as expenses occurred in that technology allows us to estimate the market size by evolving segments as target market from the total available market.