Pension Funds Market Report 2024

The pension funds market size has grown strongly in recent years. It will grow from $63.8 trillion in 2023 to $69.41 trillion in 2024 at a compound annual growth rate (CAGR) of 8.8%. The growth observed in the historic period was driven by several factors, including increasing aging populations, improving economic conditions and growth rates, fluctuating long-term interest rates, evolving legislative and regulatory frameworks, enhanced performance in stock and bond markets, varying inflation rates, and changes in corporate profitability.

The pension funds market size is expected to see strong growth in the next few years. It will grow to $97.59 trillion in 2028 at a compound annual growth rate (CAGR) of 8.9%. Anticipated growth in the forecast period is expected due to a heightened focus on sustainability and ESG (Environmental, Social, and Governance) investing, increased adoption of digital transformation and fintech, ongoing economic uncertainties, evolving regulatory frameworks, shifting trends in interest rates, rising longevity risks, and consolidation among pension funds. Major trends in this period include the rise of defined contribution (DC) plans, integration of digital tools in retirement planning, growing interest in private equity and alternative investments, adoption of liability-driven investment (LDI) strategies, and the impact of aging populations on fund management.

The increasing demographic demand from aging populations is expected to drive growth in the pension fund market in the coming years. This demographic shift is fueled by advancements in healthcare and medicine, which have extended life expectancy, coupled with declining birth rates that reduce the proportion of younger generations available to support elderly populations. As life expectancies rise, pension funds become increasingly crucial for providing financial security and sustainable income during retirement. For example, a July 2022 report from the United Nations forecasts that the global population aged 65 and above will grow from 10% in 2022 to 16% by 2050, indicating a substantial increase in this demographic worldwide by mid-century. Thus, the rising demographic demand from aging populations will be a key driver of growth in the pension fund market.

Leading companies in the pension funds market are enhancing pension portability solutions through advanced pension tracing services aimed at improving member experience and facilitating the transfer of pension assets across different plans. Pension tracing services offer comprehensive assistance in locating, verifying, and consolidating various pension plans accumulated over individuals' careers. For instance, in April 2024, Aviva plc, a UK-based insurance company, launched the UK’s first ‘find and combine’ pension tracing, checking, and consolidation service. This innovative service helps individuals locate their diverse pension schemes, verify their details, and consolidate them into a single, easily manageable plan. Leveraging advanced tools and technology, this service enables users to optimize their retirement benefits and maintain better control over their financial futures.

In December 2023, Edelman Financial Engines, a U.S.-based financial planning and investment management provider, acquired New England Pension Plan Systems to strengthen its position in the retirement plan market, particularly for small employers in the Northeast. New England Pension Plan Systems specializes in retirement plan services and investment management for small businesses in the United States.

Major companies operating in the pension funds market are Allianz SE, JPMorgan Chase & Co., Bank of America Corporation, Prudential Financial Inc, The Goldman Sachs Group Inc., UBS Group AG, Deutsche Bank AG, FMR LLC (Fidelity Investments), UTI Retirement Solutions Limited, Aegon NV, The Bank of New York Mellon Corporation, BlackRock Inc, State Street Corporation, HDFC Life Insurance Company Limited, The Vanguard Group Inc, Northern Trust Corporation, California Public Employees’ Retirement System (CalPERS), Mercer LLC, Reliance Nippon Life Insurance Company Limited, National Railroad Retirement Investment Trust, National Electrical Benefit Fund, ICICI Prudential Pension Funds Management Company Limited, SBI Pension Funds Private Limited, Tata AIA Life Insurance Company Limited, Legal & General Group PLC, Pacific Investment Management Company LLC (PIMCO)

North America was the largest region in the pension funds market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the pension funds market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the pension funds market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

A pension fund represents a collection of assets allocated by an employer, employees, or both, aimed at providing retirement income. These funds are strategically invested in various financial instruments to ensure growth over time, thereby guaranteeing regular payments or a lump sum to retirees. They serve to offer financial stability and security during retirement by providing a dependable income source.

Pension funds are categorized into three main types, distributed contributions, distributed benefits, and reserved funds. A distributed contribution (DC) plan involves employees contributing a fixed percentage of their salaries, often supplemented by employer contributions. These plans cater to diverse income brackets, serving governments, corporations, and individuals alike.

The pension funds market research report is one of a series of new reports that provides pension funds market statistics, including pension funds industry global market size, regional shares, competitors with an pension funds market share, detailed pension funds market segments, market trends and opportunities, and any further data you may need to thrive in the pension funds industry. This pension funds 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 pension fund market includes revenues earned by entities through contributions, investment management, portfolio advisory, actuarial consulting, fund administration, and retirement planning. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

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).

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.


This product will be delivered within 3-5 business days.