RegTech Market Size, Share, Growth Trends Analysis Forecast 2020-2026

Industry Insights

[175+ Pages Report] According to the report published by Facts Factors, the global RegTech market size was worth around USD 5.31 billion in 2019 and is predicted to grow to around USD 33.1 billion by 2026 with a compound annual growth rate (CAGR) of roughly 21.27% between 2020 and 2026. The report analyzes the global RegTech market drivers, challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the RegTech market.

This specialized and expertise oriented industry research report scrutinizes the technical and commercial business outlook of the RegTech industry. The report analyzes and declares the historical and current trends analysis of the RegTech industry and subsequently recommends the projected trends anticipated to be observed in the RegTech market during the upcoming years.

The RegTech market report analyzes and notifies the industry statistics at the global as well as regional and country levels in order to acquire a thorough perspective of the entire RegTech market. The historical and past insights are provided for FY 2016 to FY 2019 whereas projected trends are delivered for FY 2020 to FY 2026. The quantitative and numerical data is represented in terms of value (USD Million) from FY 2016 – 2026.

Key Insights from Primary Research

• As per our primary analysis, the global RegTech market is  expected to reach around USD 33 billion 2026
• Rising cost of compliance paired with growing saas-based offerings is expected to propel the growth of global RegTech market in coming years.
• Expanding business through a partnership will be the key to sustain in the competition in global RegTech market
• According to our respondent, North America held the largest region for the global RegTech market and it accounted for the highest market share of total revenue generated in 2018. The major factors driving the market are the presence of prominent market players like IBM, Accuity, Broadridge, Deloitte, Thomson Reuters, and Trulioo etc. in this region. The U.S. is the leading market in the North American region and holds the significant market share in the global market. Increasing adoption of the RegTech solutions in the North American region to reduce compliance cost by the financial industries using advanced technology such as blockchain, Artificial Intelligence (AI), big data, Machine Learning (ML), and cloud computing is helping in the growth of global RegTech market.

Key Recommendations from Analysts

• As per our analysts, RegTech market revenue was around USD 5.5 billion in 2019.
• Asia Pacific emerged as the fastest growing region for the global RegTech market in the analysis period. The developing countries in the region such as China, India and other Southeast Asian countries are highly contributing in the growth of the global RegTech market. The growth in this region is due to the high adoption of digital transformation, extensive development of infrastructure, and rapid expansion of domestic enterprises. The major implementation of FinTech solutions in various business processes in the countries such as China, India, Japan, and Singapore are driving the global RegTech market in the region.
• Based on application, risk and compliance management together held the 49% of revenue market share in 2019.
• IBM, Acuity, Wolters Kluwer, PWC, Alto Advisory, Abside Smart Financial Technologies and Broadridge are the amongst the major market participant in global RegTech marketplace.

The quantitative data is further underlined and reinforced by comprehensive qualitative data which comprises various across-the-board market dynamics. The rationales which directly or indirectly impact the RegTech industry are exemplified through parameters such as growth drivers, restraints, challenges, and opportunities among other impacting factors.

Throughout our research report, we have encompassed all the proven models and tools of industry analysis and extensively illustrated all the key business strategies and business models adopted in the RegTech industry. The report provides an all-inclusive and detailed competitive landscape prevalent in the RegTech market.

The report utilizes established industry analysis tools and models such as Porter’s Five Forces framework to analyze and recognize critical business strategies adopted by various stakeholders involved in the entire value chain of the RegTech industry. The RegTech market report additionally employs SWOT analysis and PESTLE analysis models for further in-depth analysis.

The report study further includes an in-depth analysis of industry players' market shares and provides an overview of leading players' market position in the RegTech sector. Key strategic developments in the RegTech market competitive landscape such as acquisitions & mergers, inaugurations of different products and services, partnerships & joint ventures, MoU agreements, VC & funding activities, R&D activities, and geographic expansion among other noteworthy activities by key players of the RegTech market are appropriately highlighted in the report.

By geography, the global RegTech market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. North America held majority of the revenue share in the global RegTech market for the year 2019 coupled with the highest growth rate in the forecast period.

The increased popularity of regulatory sandbox approach, cost of compliance, and low entry barrier for SaaS-based offerings provided by the RegTech solutions are driving the global RegTech market significantly. Banking and financial institution plays a major role in the adoption of RegTech solutions owing to the continuous changing regulations to prevent money laundering and restrict terrorist funding. The hefty amount spent by the banks due to fines and penalties for non-compliance with regulations is increasing the demand for RegTech solutions in the market. Further, the need for transparent and consistence standards for regulatory process for the financial industry is expected to drive the global RegTech market in the coming years. However, unpredictable regulation between different jurisdictions which is a big issue in the financial sector where interconnectedness and the free flow of capital is critical. This factor is hindering the growth of the global RegTech market. The use of AI in regulatory compliance is expected to provide good opportunity for the RegTech market in the forecast period.

The RegTech market research report delivers an acute valuation and taxonomy of the RegTech industry by practically splitting the market on the basis of different segments and regions. Through the analysis of the historical and projected trends, all the segments and sub-segments were evaluated through the bottom-up approach, and different market sizes have been projected for FY 2020 to FY 2026.

Report Scope

The regional segmentation of the RegTech industry includes the complete classification of all the major continents including North America, Latin America, Europe, Asia Pacific, and Middle East & Africa. Further, country-wise data for the RegTech industry is provided for the leading economies of the world.

The RegTech market is segmented based on application, organization size size and region. Based on application, the global RegTech market is categorized into compliance management, regulatory intelligence, risk management, regulatory reporting, identity management and fraud management. Large organization and SME’s are the organization size segments.

Some of the leading players in the global market include

Fenergo, Jumio, London Stock Exchange Group (LSEG), IBM, Infrasoft Technologies, Wolters Kluwer, MetricStream, Broadridge, Thomson Reuters, Abside Smart Financial Technologies, Accuity, Compendor, Compliance Solutions Strategies (CSS), ACTICO, Deloitte, EastNets, NICE Actimize, RIMES Technologies, SAI Global, PwC, Sysnet Global Solutions and Trulioo

• Jumio
• London Stock Exchange Group (LSEG)
• IBM
• Infrasoft Technologies
• Wolters Kluwer
• MetricStream
• Broadridge
• Thomson Reuters
• Abside Smart Financial Technologies
• Accuity
• Compendor
• Compliance Solutions Strategies (CSS)
• ACTICO
• Deloitte
• EastNets
• NICE Actimize
• RIMES Technologies
• SAI Global
• PwC
• Sysnet Global Solutions and Trulioo

The report segments of the global RegTech market as follows:

By Application Segment Analysis

• Compliance Management
• Regulatory Intelligence
• Risk Management
• Identity Management
• Fraud Management
• Regulatory Reporting

By Organization Size Segment Analysis

• Large enterprise
• SME’s

By Regional Segment Analysis

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • France
  • Germany
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America

• Middle East & Africa
  • GCC Countries
  • South Africa
  • Rest of MEA