Algorithmic Trading Market Growth Analysis: Regional Insights and Strategic Recommendations - 2028

According to a recent report published by Allied Market Research, the global algorithmic trading market size was valued at $12,143 million in 2020, and is projected to reach $31,494 million by 2028, registering a CAGR of 12.7% from 2021 to 2028.

The growth of the global algorithmic trading market is mainly driven by factors such as rise in demand for reliable, fast, and effective order execution; the emergence of favorable government regulations; and the need for market surveillance. In addition, rise in demand for reducing transaction costs fuels the demand for algorithmic trading.

However, insufficient risk valuation capabilities may hamper the market growth to some extent. On the other hand, emergence of AI and algorithms in the financial services are expected to provide lucrative opportunities for the market growth during forecast period. In addition, rise in demand for cloud-based solutions is anticipated to be opportunistic for the market growth during the forecast period.

Download Sample Report (Get Full Insights in PDF - 242 Pages) at: https://www.alliedmarketresearch.com/request-sample/A08567

In 2020, the solution segment exhibited the highest growth in the algorithmic trading market share, and is expected to maintain its dominance in the upcoming years, as the algorithmic trading solutions provides a number of benefits such as reduced transaction costs due to lack of human intervention and instant and accurate trade order placement. In addition, the market players are introducing advanced algorithmic trading solutions to serve various needs of their customers. For instance, in September 2019, BNP Paribas introduced an upgraded FX trading platform with real-time analytics and interactive algorithms. However, the services segment is expected to witness the highest growth, due to an extensive adoption of professional services among end users, as it ensures effective functioning of algorithmic trading solution throughout the process.

By type, the global algorithmic trading market share was dominated by the stock markets segment in 2020, and is expected to maintain its dominance in the upcoming years, due to increase in adoption of algorithmic trading solutions by investors to trade stocks as it operates through a computer program without a need for human interventions. However, the cryptocurrencies segment is expected to witness the highest growth, owing to rise in interest of trading professionals toward crypto-currency trading.

The current estimation of 2028 is projected to be higher than pre-COVID-19 estimates. The COVID-19 outbreak has low impact on the growth of the algorithmic trading industry, as the algorithmic trading adoption have increased in the face of unprecedented circumstances. For instance, in its recent publication, Reserve Bank of Australia stated that the COVID-19 pandemic may have only furthered the industry's shift toward electronic trading. In addition, the market players have introduced innovative algorithmic trading products during the pandemic to ensure better serving the increased volumes of   trading. This factor drives the algorithmic trading market growth. For instance, in March 2021, Cowen, an American multinational independent investment bank and financial services company launched an algorithmic trading solution to help institutional clients navigate market dynamics caused by increased retail trading volumes.

Buy Now & Get Exclusive Report at: https://www.alliedmarketresearch.com/algorithmic-trading-market/purchase-options

Asia-Pacific is expected to witness highest growth rate during the forecast period, due to heavy investments by public and private sectors to enhance their trading technologies fueling the demand for algorithmic trading solutions to automate trading process. In addition, the rapid expansion of global algorithmic trading market players creates lucrative growth opportunities for the market growth. For instance, in March 2021, Quantitative Brokers, the U.S. trading algorithm provider announced to extend its services to Japan, following a similar move in Singapore in previous year.

Geographic Market Dynamics

1. North America: Maintains leadership in algorithmic trading adoption, backed by technological infrastructure and regulatory support.

2. Asia-Pacific: Exhibiting rapid growth, driven by increasing financial market participation and technological investments, especially in countries like China, India, and Singapore.

3. Europe: Focused on regulatory refinement and sustainable trading practices, aligning with broader EU financial market directives.

Some of the key algorithmic trading industry players profiled in the report include 63MOONS, Virtu Financial, Software AG, Refinitiv Ltd. MetaQuotes Software Corp. Symphony Fintech Solutions Pvt Ltd. Argo SE, Tata Consultancy Services, Algo Trader AG, and Tethys. This study includes algorithmic trading market trends, algorithmic trading market analysis, and future estimations to determine the imminent investment pockets.

Regulatory Developments

1. Global Regulatory Harmonization: Efforts are underway to standardize regulations across jurisdictions, addressing challenges posed by cross-border trading activities.

2. Algorithmic Trading Compliance: Regulatory bodies emphasize the need for robust risk management systems, algorithm testing, and transparency in trading operations.

3. ESG Considerations: Environmental, Social, and Governance (ESG) criteria influence trading strategies, with algorithms being developed to factor in ESG metrics.

Access the full summary at: https://www.alliedmarketresearch.com/algorithmic-trading-market-A08567

Contact:
David Correa
5933 NE Wi
Toll-Free: 1-800-792-5285
UK: +44-845-528-1300n Sivers Drive
#205, Portland, OR 97220
United States
Hong Kong: +852-301-84916
India (Pune): +91-20-66346060
Fax: +1-855-550-5975
help@alliedmarketresearch.com
Web: https://www.alliedmarketresearch.com
Follow Us on: LinkedIn Twitter

About Us:

Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of "Market Research Reports" and "Business Intelligence Solutions." AMR has a targeted view to provide business insights and consulting to assist its clients in making strategic business decisions and achieving sustainable growth in their respective market domains.

Pawan Kumar, the CEO of Allied Market Research, is leading the organization toward providing high-quality data and insights. We are in professional corporate relations with various companies. This helps us dig out market data that helps us generate accurate research data tables and confirm utmost accuracy in our market forecasting. Every data company in the domain is concerned. Our secondary data procurement methodology includes deep presented in the reports published by us is extracted through primary interviews with top officials from leading online and offline research and discussion with knowledgeable professionals and analysts in the industry.

This release was published on openPR.