Liquidity Asset Liability Management Solutions Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The liquidity asset liability management solutions market size has grown rapidly in recent years. It will grow from $2.04 billion in 2024 to $2.25 billion in 2025 at a compound annual growth rate (CAGR) of 10.2%. The growth in the historic period can be attributed to adoption of advanced technology for modeling and analysis, expansion of digital banking and fintech innovations, demand for real-time liquidity monitoring and reporting, heightened focus on stress testing and scenario analysis, demand for real-time liquidity monitoring and reporting.

The liquidity asset liability management solutions market size is expected to see strong growth in the next few years. It will grow to $3.29 billion in 2029 at a compound annual growth rate (CAGR) of 9.9%. The growth in the forecast period can be attributed to evolving regulatory landscape, cloud-based solutions, focus on sustainability, focus on customer-centricity, focus on user experience and explainability. Major trends in the forecast period include integration with blockchain technology, advanced analytics and big data management, robotic process automation, cybersecurity mesh architecture adoption.

The growth of digital transformation is expected to drive the expansion of the liquidity asset-liability management (ALM) solutions market. Digital transformation involves integrating digital technology into all aspects of an organization, leading to significant changes in operations and the way value is delivered to customers. The increasing need for efficiency, productivity, security, agility in remote work, and data-driven decision-making is fueling the demand for digital transformation. Liquidity asset-liability management solutions play a key role in supporting this transformation within financial institutions by providing advanced analytics, automation, and real-time insights into liquidity risk management. For example, in February 2024, Kissflow Inc., a US-based software company, reported that 74% of organizations viewed digital transformation as a top priority, surpassing cybersecurity (73%) and cloud implementation (65%). Additionally, approximately 70% of companies have either developed or are actively working on a digital transformation strategy. As a result, the increase in digital transformation is contributing to the growth of the liquidity asset-liability management solutions market.

Major companies in the liquidity asset-liability management (ALM) solutions market are innovating with advanced technologies, such as Artificial Intelligence (AI) and Machine Learning (ML). These technologies are being integrated to enhance predictive analytics, automate decision-making processes, and improve risk assessments by analyzing large datasets more efficiently. For example, in January 2023, Finastra, a UK-based financial software company, introduced its asset-liability management (ALM) solution, ALM IQ. This tool is designed to assist community banks in managing risk and compliance effectively, which are key aspects of ALM. ALM IQ offers capabilities for assessing liquidity risk, interest rate risk, and regulatory compliance - critical components in ALM frameworks. By strengthening risk management and regulatory functions, ALM IQ helps community banks maintain stable asset-liability strategies, ensuring their financial resilience and stability.

In November 2023, Cetera Financial Group, a US-based independent financial services company, completed the acquisition of Avantax for $82 billion. This strategic move aims to drive growth, enhance competitiveness, and generate value for clients and shareholders by leveraging expanded services, a diversified client base, geographic reach, synergies, and strategic positioning in the financial services industry. Avantax, a US-based company specializing in providing tools and services for effective asset and liability management, complements Cetera Financial Group's objectives. The acquisition strengthens Cetera Financial Group's capabilities and market presence, positioning the company for sustained growth and success in the dynamic financial services landscape.

Major companies operating in the liquidity asset liability management solutions market are The International Business Machines Corporation, Oracle Corporation, SAP SE, Fiserv Inc., Infosys Limited, Fidelity National Information Services Inc., Polaris Financial Technology Limited, Wolters Kluwer N.V., Moody's Corporation, Experian Information Solutions Inc., Finastra International Limited, Carta Inc., Intellect Design Arena Limited, Israel Vesttoo, Betterment, Axiom Software Laboratories Inc., Arrakis Finance, Tenderize, FalconX, Keyrock, Transcend Street, Flowdesk SAS, Fnality International Limited, AcreTrader, Globacap Ltd.

North America was the largest region in the liquidity asset liability management solutions market in 2024. The regions covered in the liquidity asset liability management solutions market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the liquidity asset liability management solutions market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The liquidity asset liability management solutions market consists of revenues earned by entities by providing services such as balance sheet management and optimization, treasury management advisory services, funding strategy development, stress testing, and scenario analysis. The market value includes the value of related goods sold by the service provider or included within the service offering. The liquidity asset liability management solutions market also includes sales of servers for hosting the software, storage devices for storing data, networking equipment for connectivity, and backup systems for data protection. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

Liquidity Asset Liability Management (ALM) solutions are financial tools and strategies designed to aid financial institutions in effectively managing liquidity risk and optimizing their balance sheets. These solutions typically comprise various tools for projecting cash flows, performing scenario analysis and stress testing, and collateral management. They play a critical role in helping financial institutions manage liquidity risk, optimize their balance sheets, and ensure compliance with regulatory requirements.

The primary components of liquidity asset liability management solutions include hardware, solutions, and services. Liquidity asset liability management (ALM) hardware comprises physical components such as servers, storage devices, and networking equipment utilized to support ALM software applications and processes. These hardware components are deployed across both on-premises and cloud environments by institutions including banks, broker dealers, specialty finance firms, and wealth advisors.

The liquidity asset liability management solutions market research report is one of a series of new reports that provides liquidity asset liability management solutions market statistics, including liquidity asset liability management solutions industry global market size, regional shares, competitors with a liquidity asset liability management solutions market share, detailed liquidity asset liability management solutions market segments, market trends and opportunities, and any further data you may need to thrive in the liquidity asset liability management solutions industry. This liquidity asset liability management solutions market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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