The Global Bond Market is Segmented by Type (Treasury Bonds, Municipal Bonds, Corporate Bonds, High-Yield Bonds, Mortgage-Backed Securities, and More), by Issuer (Public Sector Issuers, Private Sector Issuers), by Sectors (Energy and Utilities, Technology, Media and Telecom, Healthcare, Consumers, Industrial, Real Estate and More), and Region. The Market Forecasts are Provided in Terms of Value (USD).

The yield on US 10 Year Note Bond Yield rose to 4.23% on August 29, 2025, marking a 0.02 percentage point increase from the previous session. Over the past month, the yield has fallen by 0.15 points, though it remains 0.33 points higher than a year ago, according to over-the-counter interbank yield quotes for this government bond maturity. US 10 Year Treasury Bond Note Yield - values, historical data, forecasts and news - updated on September of 2025.

The Corporate Bond Market report segments the industry into By Type Of Bonds (Investment-Grade Corporate Bond Funds, High-Yield Corporate Bond Funds, Sector-Specific Corporate Bond Funds), By Investor Type (Institutional Investors, Retail Investors), and By Geography (North America, Europe, Asia Pacific, South America, Middle East). Get historical data covering five years and forecasts for the next five years.

Bond Fund Sales Market Outlook

The bond fund sales market size was valued at approximately USD 10 trillion in 2023 and is projected to reach around USD 15 trillion by 2032, growing at a compound annual growth rate (CAGR) of 4.5%. This growth is primarily driven by increasing investor demand for stable and diversified income streams amidst global economic uncertainties. The market size expansion is fostered by factors such as an aging global population seeking more conservative investment options, heightened volatility in equity markets, and favorable regulatory changes supporting bond fund investments.

One of the primary growth factors for the bond fund sales market is the demographic shift towards an aging population, particularly in developed regions such as North America and Europe. As more individuals approach retirement age, there is a heightened need for investment products that offer steady income with reduced risk exposure. Bond funds, known for their relatively stable returns and lower volatility compared to equity funds, serve as an attractive option for this demographic. Additionally, the increasing life expectancy rates globally are pushing retirees to seek long-term investment solutions that can provide consistent income streams over extended periods.

Another significant growth driver is the evolving regulatory landscape that favors bond investments. Governments and financial regulatory bodies in various regions are implementing rules and guidelines that promote transparency and investor protection in the bond markets. These regulatory changes increase investor confidence and make bond funds more appealing to both retail and institutional investors. Furthermore, the introduction of green bonds and other socially responsible investment (SRI) products within the bond fund market is drawing interest from a growing segment of environmentally and socially conscious investors.

Technological advancements and the proliferation of digital investment platforms are also contributing to the growth of the bond fund sales market. Online platforms and robo-advisors are making it easier for retail investors to access and manage bond fund investments with lower fees and greater convenience. These platforms provide investors with tools and resources to make informed investment decisions, thereby increasing the participation rate of individual investors in the bond market. This digital transformation is democratizing access to bond funds and expanding the market's reach across various investor segments.

Regionally, the bond fund sales market exhibits diverse growth patterns. North America and Europe are expected to maintain their dominance due to their mature financial markets and high levels of investor awareness and engagement. However, the Asia-Pacific region is anticipated to exhibit the highest CAGR during the forecast period, driven by rapid economic growth, rising disposable incomes, and increasing investor sophistication. Latin America and the Middle East & Africa regions are also witnessing growing interest in bond funds, albeit at a slower pace, as these markets gradually develop and integrate into the global financial system.

Fund Type Analysis

Government bond funds are a cornerstone of the bond fund market, offering investors a relatively low-risk investment option backed by government securities. These funds have been traditionally appealing to risk-averse investors, including retirees and conservative institutional investors. The demand for government bond funds is amplified during periods of economic uncertainty, as they are perceived as safe havens. The increasing issuance of government bonds to finance fiscal stimulus and infrastructure projects globally is also contributing to the growth of this segment. Moreover, central banks' policies, such as quantitative easing, have increased the liquidity and attractiveness of these bonds.

Corporate bond funds represent a significant portion of the bond fund market, providing higher yields compared to government bonds, albeit with increased risk. These funds invest in bonds issued by corporations to finance their operations and expansions. The corporate bond market is highly dynamic, with companies frequently entering and exiting the market based on their financing needs and credit ratings. The growth of this segment is supported by strong corporate earnings and favorable economic conditions that enhance companies' ability to service their debt. Additionally, the trend towards globalization and cross-border investments is expanding the market for corporate bond funds.

Global bond market was valued at USD 141.34 Trillion in 2024 and is expected to reach USD 166.81 Trillion by 2030 with a CAGR of 2.8% during the forecast period.

The yield on US 30 Year Bond Yield eased to 4.95% on September 2, 2025, marking a 0.01 percentage point decrease from the previous session. Over the past month, the yield has edged up by 0.16 points and is 0.83 points higher than a year ago, according to over-the-counter interbank yield quotes for this government bond maturity. United States 30 Year Bond Yield - values, historical data, forecasts and news - updated on September of 2025.

As of July 22, 2025, the yield for a ten-year U.S. government bond was 4.38 percent, while the yield for a two-year bond was 3.88 percent. This represents an inverted yield curve, whereby bonds of longer maturities provide a lower yield, reflecting investors' expectations for a decline in long-term interest rates. Hence, making long-term debt holders open to more risk under the uncertainty around the condition of financial markets in the future. That markets are uncertain can be seen by considering both the short-term fluctuations, and the long-term downward trend, of the yields of U.S. government bonds from 2006 to 2021, before the treasury yield curve increased again significantly in the following years. What are government bonds? Government bonds, otherwise called ‘sovereign’ or ‘treasury’ bonds, are financial instruments used by governments to raise money for government spending. Investors give the government a certain amount of money (the ‘face value’), to be repaid at a specified time in the future (the ‘maturity date’). In addition, the government makes regular periodic interest payments (called ‘coupon payments’). Once initially issued, government bonds are tradable on financial markets, meaning their value can fluctuate over time (even though the underlying face value and coupon payments remain the same). Investors are attracted to government bonds as, provided the country in question has a stable economy and political system, they are a very safe investment. Accordingly, in periods of economic turmoil, investors may be willing to accept a negative overall return in order to have a safe haven for their money. For example, once the market value is compared to the total received from remaining interest payments and the face value, investors have been willing to accept a negative return on two-year German government bonds between 2014 and 2021. Conversely, if the underlying economy and political structures are weak, investors demand a higher return to compensate for the higher risk they take on. Consequently, the return on bonds in emerging markets like Brazil are consistently higher than that of the United States (and other developed economies). Inverted yield curves When investors are worried about the financial future, it can lead to what is called an ‘inverted yield curve’. An inverted yield curve is where investors pay more for short term bonds than long term, indicating they do not have confidence in long-term financial conditions. Historically, the yield curve has historically inverted before each of the last five U.S. recessions. The last U.S. yield curve inversion occurred at several brief points in 2019 – a trend which continued until the Federal Reserve cut interest rates several times over that year. However, the ultimate trigger for the next recession was the unpredicted, exogenous shock of the global coronavirus (COVID-19) pandemic, showing how such informal indicators may be grounded just as much in coincidence as causation.

The global high-yield bonds market size reached approximately USD 5.31 Trillion in 2024. The market is projected to grow at a CAGR of 4.30% between 2025 and 2034, reaching a value of around USD 8.09 Trillion by 2034.

Global green bond market was valued at USD 653.89 Billion in 2024 and is expected to reach USD 1026.17 Billion by 2030 with a CAGR of 7.8% during the forecast period.

Graph and download economic data for Interest Rates: Long-Term Government Bond Yields: 10-Year: Main (Including Benchmark) for United States (IRLTLT01USM156N) from Apr 1953 to Jun 2025 about long-term, 10-year, bonds, yield, government, interest rate, interest, rate, and USA.

Corporate Bond Market Outlook

According to our latest research, the global corporate bond market size reached USD 13.2 trillion in 2024, reflecting the robust appetite for fixed-income securities among investors worldwide. The market is projected to grow at a CAGR of 6.1% from 2025 to 2033, reaching a forecasted value of USD 22.4 trillion by 2033. This growth trajectory is underpinned by increasing corporate financing needs, persistent low interest rate environments in key economies, and the ongoing diversification strategies of institutional investors seeking stable returns and risk mitigation.

One of the primary growth drivers for the corporate bond market is the rising demand for alternative investment vehicles among institutional investors. Pension funds, insurance companies, and sovereign wealth funds are increasingly allocating larger portions of their portfolios to corporate bonds, attracted by the relatively higher yields compared to government securities. In addition, the growing sophistication of credit risk assessment tools and enhanced market transparency have made corporate bonds more accessible and attractive to a broader range of investors. The expansion of emerging markets, where corporations are turning to bonds as a means of raising capital for expansion and innovation, is also contributing significantly to the overall market growth.

Another critical factor fueling the growth of the corporate bond market is the evolving regulatory landscape. Regulatory reforms, such as Basel III and Solvency II, have encouraged financial institutions to maintain higher capital buffers, prompting them to invest in liquid and high-quality assets like investment-grade corporate bonds. Moreover, the proliferation of sustainable finance initiatives has led to a surge in the issuance of green and social bonds by corporations aiming to align with environmental, social, and governance (ESG) criteria. This trend is not only expanding the market but also attracting a new class of investors focused on responsible investing.

Technological advancements are also playing a pivotal role in the transformation of the corporate bond market. The adoption of electronic trading platforms, blockchain-based settlement systems, and advanced data analytics has streamlined the issuance, trading, and settlement processes. These innovations have enhanced market liquidity, reduced transaction costs, and increased transparency, making corporate bonds more accessible to both institutional and retail investors. Furthermore, the rise of online platforms and fintech solutions is democratizing access to corporate bonds, enabling a broader investor base to participate in this dynamic market.

From a regional perspective, North America continues to dominate the corporate bond market owing to the presence of mature capital markets, a large base of institutional investors, and a favorable regulatory environment. However, Asia Pacific is rapidly emerging as a key growth engine, driven by economic expansion, financial market liberalization, and increasing corporate bond issuances in countries like China, Japan, and India. Europe also remains a significant market, supported by robust investor demand and the widespread adoption of ESG principles. Meanwhile, Latin America and the Middle East & Africa are witnessing gradual growth, fueled by infrastructure development and efforts to deepen local capital markets.

Type Analysis

The corporate bond market can be broadly segmented by type into investment grade and high yield bonds. Investment grade bonds, which are issued by corporations with strong credit ratings, constitute the largest segment due to their lower risk profile and stable returns. These bonds are particularly favored by risk-averse investors such as pension funds, insurance companies, and central banks. The demand for investment grade bonds has been further bolstered by regulatory requirements mandating higher allocations to high-quality assets, as well as the growing emphasis on

Green Bond Market size was valued at around USD 224 billion in 2024 and is projected to reach USD 350 billion by 2030, growing at a CAGR of 8%.

Global Bond market size 2021 was recorded $13139.1 Billion whereas by the end of 2025 it will reach $14872.8 Billion. According to the author, by 2033 Bond market size will become $19056.6. Bond market will be growing at a CAGR of 3.147% during 2025 to 2033.

The size of the Green Bonds Market was valued at USD 609.64 Million in 2023 and is projected to reach USD 1123.06 Million by 2032, with an expected CAGR of 9.12% during the forecast period. Green bonds are fixed-income financial instruments designed to raise capital specifically for projects with positive environmental impacts. These bonds are issued by governments, corporations, and financial institutions to fund initiatives such as renewable energy, energy efficiency, clean transportation, sustainable water management, and conservation projects. The proceeds from green bonds are earmarked exclusively for green projects, ensuring that the funds contribute directly to environmental sustainability. Investors are attracted to green bonds not only for their financial returns but also for their role in promoting environmental stewardship. These bonds often come with tax incentives, making them more appealing compared to traditional bonds. Additionally, green bonds are typically verified by third-party organizations to ensure that the projects meet specific environmental criteria, adding a layer of credibility and transparency. Recent developments include: In December 2023: The African Development Bank Group partnered with the coalition of development finance institutions of the Global Green Bond Initiative. Both collaborated on technical assistance to promote Africa's green bond markets., In September 2023: The Inter-American Development Bank (IDB) partnered with the KfW Development Bank to Boost Green Bond Market Development. The Partnership gave IDB USD 2.15 million to support initiatives to create and advance best practices, guidelines, and financial tools to support the growth of the green bond markets in the Americas and the Caribbean.. Key drivers for this market are: Growing Number of Investors. Potential restraints include: Small Size of the Green Bond Market Compared to Traditional Bond Market. Notable trends are: Increasing Loans is Fuelling the Market.

The Global Green Bonds Market is Segmented by Issuer Type (Sovereigns, Supranationals & Agencies, Financial Corporates, Non-Financial Corporates, and Municipal & Local Authorities), Use-Of-Proceeds Sector (Energy, Buildings, Transport, Water & Wastewater, and More), Bond Format (Senior Unsecured, Asset-backed/Project Bond, Covered Bond, and More), and Geography. The Market Forecasts are Provided in Value (USD).

Convertible Bond Market Outlook

The global convertible bond market size was valued at approximately USD 300 billion in 2023 and is projected to reach around USD 500 billion by 2032, growing at a compound annual growth rate (CAGR) of 5.5% during the forecast period. This growth can be attributed to several factors, including increased demand for hybrid financial instruments that offer both debt and equity characteristics, favorable regulatory environments, and the continued search for higher yield investment opportunities amidst low interest rate scenarios globally.

One of the primary growth drivers for the convertible bond market is the increasing volatility in the equity markets, which has driven investors to seek instruments that offer both downside protection and upside potential. Convertible bonds, with their embedded equity options, provide a unique investment vehicle that meets these needs. Additionally, corporations have found convertible bonds to be an attractive financing option due to lower coupon rates compared to traditional bonds and the ability to convert debt into equity, which can be beneficial in managing their capital structure.

Another significant factor fueling the market's growth is the continuous innovation and customization of convertible bond structures. Financial institutions are developing new types of convertible bonds, such as contingent convertibles (CoCo bonds), which are designed to convert into equity under specific conditions. These innovations address the diverse needs of issuers and investors, enhancing the market's appeal and contributing to its expansion. Furthermore, the regulatory environment in key financial markets has been supportive of convertible bond issuance, providing a conducive framework for growth.

Moreover, the ongoing low-interest-rate environment in many developed economies has been a critical driver of the convertible bond market. Investors, in search of yield, are increasingly drawn to convertible bonds due to their potential for higher returns compared to traditional fixed-income securities. This trend is expected to continue as central banks maintain accommodative monetary policies, thereby supporting the demand for convertible bonds.

Regionally, North America holds the largest share of the global convertible bond market, driven by a robust financial infrastructure and a high level of corporate activity. However, Asia Pacific is anticipated to witness the fastest growth during the forecast period, fueled by increasing adoption of convertible bonds by corporations in emerging markets such as China and India. The dynamic economic environment in these countries, coupled with regulatory reforms aimed at deepening capital markets, is likely to boost the demand for convertible bonds.

Type Analysis

The convertible bond market can be segmented by type into Vanilla Convertible Bonds, Mandatory Convertible Bonds, Reverse Convertible Bonds, and Contingent Convertible Bonds. Vanilla convertible bonds are the most traditional form, offering straightforward conversion terms. Issuers favor these due to their simplicity and established market acceptance. The demand for vanilla convertibles is primarily driven by their balanced risk-reward profile, offering investors both fixed-income and equity upside potential, making them attractive in volatile market conditions.

Mandatory convertible bonds, on the other hand, require conversion into equity at a predetermined date. These bonds are particularly appealing to companies looking to raise equity capital without immediate dilution of existing shareholders. The structured conversion terms provide a predictable path for equity issuance, which can be advantageous for financial planning. Investors are drawn to mandatory convertibles for their higher yields compared to vanilla bonds, compensating for the mandatory conversion feature.

Reverse convertible bonds are more complex instruments that offer higher coupon rates but come with the risk of converting into equity if the underlying stock falls below a certain price. These bonds are typically used by sophisticated investors willing to take on additional risk for higher returns. Issuers benefit from lower costs compared to traditional debt, while investors benefit from attractive yields and potential equity participation. However, the inherent risk profile limits their appeal to risk-tolerant market participants.

Contingent convertible bonds (CoCo bonds) are designed to convert into equity under specific conditions, such as when a company&#0

Graph and download economic data for Market Yield on U.S. Treasury Securities at 30-Year Constant Maturity, Quoted on an Investment Basis (DGS30) from 1977-02-15 to 2025-08-28 about 30-year, maturity, Treasury, interest rate, interest, rate, and USA.

Resilience Retrofit Bond Market Outlook

According to our latest research, the global Resilience Retrofit Bond market size reached USD 10.24 billion in 2024, reflecting a robust expansion driven by increasing investments in climate adaptation and infrastructure resilience. The market is projected to grow at a CAGR of 8.1% from 2025 to 2033, ultimately reaching approximately USD 19.84 billion by the end of the forecast period. This notable growth is primarily fueled by heightened awareness of climate risks, government mandates for resilient infrastructure, and the growing attractiveness of sustainable finance instruments in both developed and emerging economies.

One of the primary growth factors for the Resilience Retrofit Bond market is the escalating frequency and severity of natural disasters worldwide. As climate change accelerates, extreme weather events—such as floods, hurricanes, and earthquakes—are becoming more common, causing significant damage to public and private infrastructure. Governments and private entities are increasingly compelled to invest in retrofitting and upgrading existing structures to withstand these threats. This surge in demand for resilient infrastructure directly stimulates the issuance of specialized bonds, including green bonds and catastrophe bonds, to fund such initiatives. The market is further buoyed by international policy frameworks, such as the Paris Agreement, which encourage sustainable finance solutions and prioritize climate adaptation measures.

Another critical driver is the growing integration of Environmental, Social, and Governance (ESG) criteria into investment decisions. Institutional investors and asset managers are actively seeking financial instruments that deliver both competitive returns and positive social or environmental impact. Resilience Retrofit Bonds offer a compelling value proposition, enabling investors to support projects that enhance community resilience while meeting ESG mandates. This trend is reinforced by the proliferation of sustainability-linked bonds and the increasing transparency in bond reporting, which boosts investor confidence and accelerates market growth. The entry of new market players, such as fintech platforms and impact investment funds, is also expanding the reach and accessibility of these bonds to a broader base of issuers and investors.

Technological advancements and innovative financing models further catalyze the expansion of the Resilience Retrofit Bond market. Digital platforms and blockchain-based solutions are streamlining bond issuance, monitoring, and reporting processes, reducing transaction costs and increasing market efficiency. These innovations facilitate the participation of smaller municipalities, non-profit organizations, and private sector entities that previously faced barriers to entry. Additionally, the emergence of blended finance models—combining public, private, and philanthropic capital—enables risk-sharing and enhances the scalability of resilience projects. As a result, the market is witnessing a diversification of bond types and distribution channels, fostering a more dynamic and resilient ecosystem.

From a regional perspective, North America and Europe currently dominate the Resilience Retrofit Bond market, accounting for over 60% of global issuance in 2024. These regions benefit from well-established financial markets, robust regulatory frameworks, and a high level of awareness regarding climate risks. However, rapid urbanization and infrastructure vulnerability in Asia Pacific and Latin America are expected to drive significant growth in these regions during the forecast period. Government-led initiatives, international development aid, and cross-border collaborations are accelerating the adoption of resilience retrofit bonds, particularly in countries prone to natural disasters. The Middle East & Africa, while representing a smaller share, is also witnessing increased activity, especially in the context of water scarcity and urban infrastructure resilience.

Bond Type Analysis

As of July 18, 2025, the major economy with the highest yield on 10-year government bonds was Turkey, with a yield of ** percent. This is due to the risks investors take when investing in Turkey, notably due to high inflation rates potentially eradicating any profits made when using a foreign currency to investing in securities denominated in Turkish lira. Of the major developed economies, United Kingdom had one the highest yield on 10-year government bonds at this time with **** percent, while Switzerland had the lowest at **** percent. How does inflation influence the yields of government bonds? Inflation reduces purchasing power over time. Due to this, investors seek higher returns to offset the anticipated decrease in purchasing power resulting from rapid price rises. In countries with high inflation, government bond yields often incorporate investor expectations and risk premiums, resulting in comparatively higher rates offered by these bonds. Why are government bond rates significant? Government bond rates are an important indicator of financial markets, serving as a benchmark for borrowing costs, interest rates, and investor sentiment. They affect the cost of government borrowing, influence the price of various financial instruments, and serve as a reflection of expectations regarding inflation and economic growth. For instance, in financial analysis and investing, people often use the 10-year U.S. government bond rates as a proxy for the longer-term risk-free rate.

The global bond trading platform market is experiencing robust growth, driven by increasing demand for fixed-income securities and technological advancements enhancing trading efficiency. Our analysis indicates a market size of approximately $15 billion in 2025, projected to grow at a Compound Annual Growth Rate (CAGR) of 8% from 2025 to 2033. This growth is fueled by several key factors, including the rising adoption of electronic trading platforms, the increasing complexity of bond markets requiring sophisticated analytical tools, and the growing need for regulatory compliance solutions integrated within trading platforms. Furthermore, the expansion of the global investor base, particularly among institutional investors and high-net-worth individuals, is contributing significantly to market expansion. The competitive landscape is characterized by a mix of established players like Charles Schwab and smaller, specialized firms catering to niche markets. The market segmentation is likely to evolve with the rise of specialized platforms focusing on specific bond types (e.g., government bonds, corporate bonds, municipal bonds), offering tailored functionalities and analytics. While regulatory hurdles and cybersecurity concerns represent potential restraints, innovative features such as AI-driven trade execution and enhanced risk management tools are anticipated to drive future market growth. The geographical distribution is expected to be geographically diverse, with significant contributions from North America and Europe, followed by the Asia-Pacific region experiencing accelerated growth due to increasing financial market sophistication. This presents considerable opportunities for both established and emerging players to capitalize on the expanding market.