| Study Period | 2019 - 2032 |
| 2024 Market Size | USD 35.5 billion |
| 2025 Market Size | USD 37.8 billion |
| 2032 Forecast | USD 62.6 billion |
| Growth Rate(CAGR) | 7.5% |
| Largest Region | Northeast |
| Fastest Growing Region | West |
| Nature of the Market | Consolidated |
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The U.S. custody, asset & securities services market size stood at USD 35.5 billion in 2024, and it is expected to grow at a CAGR of 7.5% during 2025–2032, to reach USD 62.6 billion by 2032.
This market is driven by the need for regulatory compliance, growth in the number of institutional investors, technological advancements, diversification across asset classes, market volatility, and high trading activity. Digital asset custody services, ESG reporting & analytics integration, blockchain adoption for real-time clearing, and AI & cloud-based reporting tools are the major trends.
State Street reported a 39% increase in quarterly profit in 2025 Q1 from 2024 Q1, driven by higher fee income and reduced expenses.
Custody held the largest market share, of 70%, in 2024 because they form the key part of securely managing financial assets. It consists of secure storage and handling of assets as stocks, fixed-income securities, and alternative investments for large clients, such as pension funds, insurance companies, asset managers, and sovereign wealth funds.
Digital asset custody will have the highest CAGR, during the forecast period due to the rise of cryptocurrency, blockchain technology, and token-based assets. Storing digital assets, such as Bitcoin or Ethereum, is challenging because they are decentralized and secured with cryptography, requiring special technology and expertise. The interest of institutions in digital assets is driven by the potential of higher returns, better diversification, and increasing acceptance of digital currencies as a valid asset class.
These service types were analyzed:
Institutional investors held the largest market share, of 75%, in 2024. This is because they manage trillions of dollars spread across many kinds of assets, including equities, fixed income, alternatives, and foreign securities. Their portfolios are complex, requiring advanced custody services for secure storage, accurate reporting, and regulatory compliance.
Asset managers will have the highest CAGR, during the forecast period. This is credited to the increasing demand for custody and securities solutions for ETFs and index funds, which are growing faster than the systems managing them. The growth in passive investing has created a high requirement for custody and securities services.
These client types were analyzed:
Fixed income held the largest market share, of 65%, in 2024. Government bonds, corporate bonds, and municipal bonds are key parts of the financial system. They are comparatively safe and include large investments, such as pension funds, insurance companies, and sovereign wealth funds. The U.S. fixed-income market is one of the largest markets in the world, with several trillion dollars in assets under custody.
Digital assets will have the highest CAGR, during the forecast period. Digital assets include cryptocurrencies, such as Bitcoin and Ethereum, tokenized securities, and other blockchain-based assets, which are finding rapid adoption by institutional players. The emergence of decentralized finance (DeFi) and new regulations makes investing in them clearer and safer. Custodians are responding by creating customized solutions to handle digital assets, such as secure storage, processing transactions, and compliance services.
These asset classes were analyzed:
Financial services are the largest market share, of 80%, in 2024 as it includes banks, asset managers, hedge funds, private equity firms, insurance companies, and financial institutions. Financial institutions manage trillions of dollars in assets, from traditional equity and bonds to alternative sources, such as private equity and real estate. The large volume of assets under management requires strong custody and servicing solutions to keep the assets safe, report accurately, and abide by regulations.
The corporate sector will have the highest CAGR, during the forecast period because public companies, private firms, and multinational corporations require custody and asset services. As corporate treasury management becomes more complex, especially with global expansion, companies are relying on custodians to handle assets across different regions, currencies, and regulations. Therefore, the demand for cross-border custody and asset services continues to increase among corporations.
These end uses were analyzed:
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The Northeast held the largest market share, of 35%, in 2024 because of the large number of high-net-worth individuals, major financial institutions, and global corporations in New York City, Jersey City, Boston, and Philadelphia. As a result, a large number of custody and asset management companies and investors are headquartered here. Even those based in other regions have major offices in the Northeast due to the position of NYC as one of the two biggest financial hubs on earth.
West will have the highest CAGR, during the forecast period. This is because of the growth of companies focused on technology, innovation, and sustainability. California’s Silicon Valley and Washington’s Seattle lead in fintech, digital assets, and sustainable investing. The stringent regulations, skilled talent, and strong investment make the region a key hub for providers of custody and securities services.
The regions and countries analyzed for this report include:
The market is consolidated because few major players hold large market shares. They mainly include multinational financial giants, such as Bank of New York Mellon (BNY Mellon), State Street Corporation, J.P. Morgan Chase & Co., Citigroup, and Northern Trust. These firms dominate the market as they provide custody and related services to institutional investors, asset managers, and companies, handling a large share of the industry. They also possess ample lobbying power and the capability to comply with government regulations aimed at maintaining financial stability.
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