Factors such as improving the accuracy of reports, creating clear audit trails, reinvesting in data analytics, alleviating the pressure on the finance team, and, evaluating a bank's operations and overall health are fostering growth in the global regulatory reporting software market.
Covid-19 Impact & Market Status
Businesses around the world are facing an unprecedented difficulty as a result of the unanticipated coronavirus (COVID-19) outbreak. Stakeholders in the market for regulatory reporting software have also been impacted by this epidemic. In order to protect their employees' health, businesses seeking regulatory reporting software are turning to the "work from home" policy.
Level of Integrity and Accuracy to Promote Regulatory Compliance Services
Services for regulatory compliance are utilized to fulfil any regulatory obligations that a business may have. When creating financial reports, company plans, annual reports, or any other form of document needed by law or regulation, it helps to maintain the greatest level of integrity and accuracy. Regulatory compliance service providers make sure that their clientele adheres to all the rules established by governmental entities worldwide.
Growing Awareness of Banks Toward Potential Risks
With almost 60.0% of the total revenue, the financial institution segment dominated the market for regulatory reporting software globally in 2021. The rise in demand for managing regulatory requirements related to a variety of activities, including AML/CTF compliance, fraud detection, and prevention, can be ascribed to the expansion in demand from numerous industries, including banking, insurance, and digital assets management. It is anticipated that financial institutions all over the world would adopt new laws like the Bank Secrecy Act (BSA) and International Anti-Money Laundering (IAML) in order to comply. Additionally, it is projected that over the forecast period beginning in 2015, banks' increasing awareness of the potential dangers connected with money laundering activities will further boost demand.
Asia-Pacific Followed by North America is Showing Positive Growth
One of the main drivers of regional growth is the expansion of financial institutions in the Asia-Pacific area, which is caused by the region's expanding economy and regulatory reforms. Furthermore, due to rising government investment in infrastructure development and other projects that call for compliance with numerous rules, Asia Pacific has seen a surge in demand for regulatory reporting systems. Over the anticipated term, this element will also be the main driver of regional growth. In 2015, banks and other financial institutions operating in the U.S., Canada, and Mexico accounted for more than 25% of the market in North America; however, due to its low penetration rate and rising economic activity across economies, Latin America is expected to experience significant growth during the forecast period.
A regulatory reporting software helps with risk and compliance management by offering automating the KYC data collection processes, real-time data analysis with flexibility and scalability attributes, and analyzing and identifying the key rules and related changes over time. They also help with digitalization, the use of automated technological solutions, and the rise in fraudulent activities.
The market for regulatory reporting software will expand at a rapid rate. The primary driver of the market for regulatory reporting software is the growing need for data simplification. The main use of regulatory reporting software is that they make it easier to monitor the business transactions that are carried out. It makes it easier to keep track of information like accounts, general performance, and other details, which in turn makes it easier to provide the reports needed for regulatory inquiries. The market for regulatory reporting software is also being driven by the greater reliability and enhanced performance of the solutions. Each of these elements has a favorable impact on market growth.
With more firms utilizing the technology, the market for regulatory reporting software is growing. Market-available financial solutions are interconnected with machine learning (ML) technology, business intelligence (BI) tools, and analytics, enabling companies to get insightful information, concentrate on reducing risks, and contribute to market expansion. Solutions for regulatory reporting that are cloud-based are growing in popularity since they are easy to use and give administrators the most flexibility.
Financial institutions and banks have been forced to switch from complicated and legacy-architected operations to a more logical approach due to rising digitalization and an increase in the volume of online financial transactions. Additionally, it is predicted that the industry would have profitable growth possibilities due to the growing demand to increase financial transparency and lower operational costs in financial institutions. Regulatory reporting software are popular because they help with risk and compliance management, offer real-time data analysis, and have qualities like scalability and flexibility. Additionally, depending on the jurisdiction, it makes it perfect for all regulatory reporting kinds.
The banking, insurance, and securities sectors are seeing rising demand for regulatory reporting software to satisfy compliance obligations. The adoption of regulatory reporting software is being driven by the demand for increased transparency and a better knowledge of financial performance across all business segments. Organizations must implement automated regulatory reporting technologies for timely compliance due to the rapid changes in rules. The market is expanding as a result of an increase in demand from small and medium-sized organizations for scalable and affordable regulatory reporting software.
The regulatory reporting software market revenue is expected to reach USD 20.00 Billion by 2029, growing at a CAGR of 15.7% for 2022 – 2029.
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Regulatory reporting software are pieces of software that gather information from numerous sources and use it to produce regulatory reports. These solutions help with the electronic delivery of the data and the automated workflow procedure. Banks and insurance businesses are the main users of this system for regulatory reporting. In order to regulate the customer's financial reporting, it is also employed by banking institutions for financial purposes. The regulatory reporting software enhances the report and gives the regulators a more accurate and thorough report. This programme keeps track of developments and offers legislative updates for standards that are always changing.
During the projected period, a complex corporate network can act as a restraint on the market for regulatory reporting software worldwide. Financial institutions are experiencing exponential growth in the number of individual transactions. As a result, regulatory reporting has become crucial in many nations worldwide. An automated registry of regulatory reporting for each transaction is necessary to meet the demand for quicker and more accurate regulatory reporting related to financial performance, risk management strategies and procedures, and accounting standards. It necessitates a solution with specific rules in accordance with institutional and governmental rules. Regulatory reporting, risk and compliance, and AI are all experiencing widespread use. Institutions are increasingly seeing AI as a standard statistical toolset that enables them to quickly integrate advanced data management skills in accordance with legislation and industry standards.
The major companies ranking on top in Regulatory Reporting Software Market- AxiomSL, Vermeg, Oracle, Moodys Analytics, SS&C Technologies, Wipro, TAS, Wolters Kluwer, Vena Solutions, Corvil, Workiva, Invoke, IBM, and BearingPoint are among all the well-established and emerging players.
Innovation
In August 2021, in order to increase the utilisation of the Abacus360 Banking solution for its additional regulatory reporting function in the U.K., Regnology and Revoult agreed into a cooperation.
Adenza AxiomSL and JWG, a prominent supplier of regulatory data for the financial services sector, joined forces in August 2021.
Regulatory Reporting Software Market Scope
| Metrics | Details |
| Base Year | 2023 |
| Historic Data | 2018-2022 |
| Forecast Period | 2024-2029 |
| Study Period | 2018-2029 |
| Forecast Unit | Value (USD) |
| Revenue forecast in 2029 | USD 20.00 Billion |
| Growth Rate | CAGR of 15.7% during 2019-2029 |
| Segment Covered | Type, Application, Regions |
| Regions Covered | North America, Europe, Asia Pacific, South America, Middle East and Africa |
| Key Players Profiled | AxiomSL, Vermeg, Oracle, Moodys Analytics, SS&C Technologies, Wipro, TAS, Wolters Kluwer, Vena Solutions, Corvil, Workiva, Invoke, IBM, and BearingPoint are among all |
Key Segments of the Global Regulatory Reporting Software Market
Type Overview (USD Billion)
- Regulatory Compliance Services
- Transaction Regulatory Reporting Services
- Managed Regulatory Reporting Services
Application Overview (USD Billion)
- Banking
- Financial Institutions
- IT & Telecom
- Others
Regional Overview (USD Billion)
North America
- U.S
- Canada
Europe
- Germany
- France
- UK
- Rest of Europe
Asia Pacific
- China
- India
- Japan
- Rest of Asia Pacific
South America
- Mexico
- Brazil
- Rest of South America
Middle East and South Africa
- UAE
South Africa
Frequently Asked Questions (FAQ) :
The market value of regulatory reporting software market in 2029 was USD 20.00 billion.
The regulatory reporting software market is growing at a CAGR of 15.7% over the forecast period.
The application of the regulatory reporting software market Financial Institutions, Banking, IT & Telecom and other.