Investment Professional of the Future

Investment Professional of the Future

Size and Growth of the Market for Investment Professionals

 
 
Exhibit 3

Core Investment Management Roles

Portfolio or Fund Managers

Investment Analysis

Buy- and sell-side research analysts

Investment analysts

Quantitative analysts

Risk managers/analysts

Performance analysts

Managers of managers

Investment strategists

Investment consultants

Credit analysts

Financial Advisers, Planners, and Wealth Managers

Chief Investment Officers

CEOs & CFOs (Investment Management subsector only)

CFA Institute commissioned Mercer to conduct a market sizing study to ascertain the number of core investment professionals working globally.

The total number of core investment professionals was estimated to be approximately 1.05 million at the end of 2018, as shown in Exhibit 4.

Mercer projects that in 10 years, there will be 1.2 million core investment professionals. This equates to a 10-year growth rate of 16% (1.5% compound annual growth rate, or CAGR). The size and growth expectations vary greatly by market. Among the four largest markets, India and China are projected to have 10-year growth of approximately 33% and 26%, respectively (2.9% and 2.3% CAGR), and more developed markets like the United Kingdom and United States are projected to have 10-year growth of 10% and 9%, respectively (1.0% and 0.9% CAGR).

Mercer’s projections are consistent with the findings from our industry leader survey, shown in Exhibit 5, in which 49% of respondents expect growth, 22% expect no growth, and 28% expect a decline in the number of investment professionals in the next 5–10 years).

 
Exhibit 4

APAC

AMERICAS

EMEA

Market

10-Year Growth Projection

Current Estimated Market Size*

India

33%

47K

Indonesia

29%

23K

Turkey

28%

4K

China

26%

139K

Australia

19%

21K

Mexico

19%

7K

Brazil

18%

17K

United Arab Emirates

17%

6K

Peru

15%

2K

Singapore

14%

14K

Argentina

12%

8K

Korea

11%

28K

Italy

10%

18K

Spain

10%

16K

France

10%

28K

United Kingdom

10%

50K

Netherlands

10%

5K

United States

9%

284K

Switzerland

9%

17K

Japan

8%

46K

Canada

8%

30K

Germany

4%

39K

Hong Kong SAR

4%

20K

Russia

2%

19K

Total

16%

1.05M

*NUMBER OF CORE INVESTMENT PROFESIONALS TOTAL INCLUDES REST OF WORLD ESTIMATE. Estimate was completed in 2018 based on 2017 available data.
 
Exhibit 5
Graph poses question asked of industry leaders,
SOURCE: INDUSTRY LEADER SURVEY