The US Mutual Fund Market is Segmented by Fund Type (Equity, Bond, Hybrid, and More), by Investor Type (Retail, Institutional), by Management Style (Active, Passive), and by Distribution Channel (Online Trading Platform, Banks, Securities Firm, Others). The Market Forecasts are Provided in Terms of Value (USD).

The total global net assets of mutual funds registered in the United States amounted to approximately 25.5 trillion U.S. dollars in 2023, compared to around 5.53 trillion U.S. dollars in 1998. Mutual funds - additional information Mutual funds are investment funds in which the capital is pooled from a number of different investors and then used to buy securities such as stocks, bonds or money market instruments. Although investing in mutual funds, rather than direct investment in individual securities, still presents a certain degree of risk, it has become more and more common practice around the world. One of the biggest advantages of this type of investment is the fact that the fund assets are managed by professionals, who aim to eliminate some of the risk involved in investing in individual stocks and bonds through diversification of assets. As of 2022, there were almost 7,400 mutual funds domiciled in the United States. There are four main types of mutual funds, categorized by the nature of their principal investments, namely: stock or equity funds (whether domestic or international), bond or fixed income funds, money market funds and hybrid funds. In 2022, domestic equity funds were the most popular category in the United States, representing 46 percent of all mutual fund and ETF assets.

Graph and download economic data for Mutual Funds; Total Financial Assets, Market Value Levels (BOGZ1LM654090000Q) from Q4 1945 to Q1 2025 about mutual funds, assets, and USA.

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Mutual Funds Market Size 2025-2029

The mutual funds market size is forecast to increase by USD 85.5 trillion, at a CAGR of 9.9% between 2024 and 2029.

The market is characterized by the significant growth of mutual fund assets in developing nations, driven by increasing financial literacy and expanding middle classes. This trend is fueled by the desire for diversified investment opportunities and the convenience of mutual funds as an investment vehicle. Asset managers must mitigate these risks through effective risk management software and practices and transparent communication with investors. However, these regions also pose risks such as political instability, regulatory uncertainties, and currency fluctuations. Banks, FIIs, insurance companies, and other financial institutions offer mutual funds, providing access to a diverse range of securities. Companies seeking to capitalize on market opportunities must navigate these challenges effectively by implementing robust risk management strategies and maintaining transparency with investors.
Additionally, they can explore partnerships with local financial institutions and offer tailored investment solutions to cater to the unique needs of developing markets. By focusing on risk mitigation and local market expertise, mutual fund providers can effectively tap into the vast potential of emerging markets and drive sustainable growth.

What will be the Size of the Mutual Funds Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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In the ever-evolving mutual fund market, dynamics continue to unfold, shaping the landscape across various sectors. Index funds, with their passive investment strategy, have gained significant traction, challenging active management's traditional dominance. Performance measurement remains a critical focus, with benchmarks providing a yardstick for evaluation. Fund compliance adheres to regulations, ensuring transparency and fairness. Active management persists, with fund managers employing diverse investment strategies, from value investing to ESG and quantitative approaches. Fund holdings and returns are closely monitored, with tax implications and volatility influencing investor decisions. Fund advisory services offer guidance, while private equity and alternative investments broaden the investment universe.

Expense ratios and fund administration costs are under constant scrutiny, with risk management and fund distribution channels optimizing accessibility. The investment horizon, asset allocation, and fund ratings influence investor behavior. Fund sales, rebalancing, and redemption processes continue to evolve, ensuring flexibility for investors. Fund transparency and disclosure are paramount, with share classes catering to different investor needs. Hedge funds and mutual funds coexist, offering distinct investment opportunities. Fund prospectuses provide essential information, while marketing and comparison tools facilitate informed decisions. Investment objectives and reviews enable continuous improvement. The mutual fund market's continuous dynamism underscores the importance of adaptability and knowledge.

How is this Mutual Funds Industry segmented?

The mutual funds industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD trillion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  Stock funds
  Bond funds
  Money market funds
  Hybrid funds


Distribution Channel

  Advice channel
  Retirement plan channel
  Institutional channel
  Direct channel
  Supermarket channel


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    Spain
    UK


  APAC

    Australia
    China
    India


  Rest of World (ROW)

By Type Insights

The stock funds segment is estimated to witness significant growth during the forecast period.

Mutual funds, specifically stock mutual funds, offer investors a diverse range of investment opportunities in corporate equities. These funds differ significantly, with various types catering to distinct investment objectives. For instance, growth funds focus on stocks with high growth potential, while income funds prioritize stocks yielding regular dividends. Index funds mirror a specific market index, such as the S&P 500, and sector funds invest in a particular industry sector. The mutual fund market is regulated, ensuring transparency and compliance with securities laws. Portfolio management plays a crucial role in selecting and managing the fund's holdings to achieve the investment strategy's objectives.

The fund's liquidity, represented by its ability to buy and sell shares, is essential for investors. Exchange-traded fu

United States Mutual Funds Market was valued at USD 34.58 Trillion in 2024 and is expected to reach USD 43.25 Trillion by 2030 with a CAGR of 3.8% during the forecast period.

The US mutual fund industry experienced steady growth between 2019 and 2022, with a market size of $34.35 million in 2022. This growth was mainly driven by positive economic conditions, rising investor confidence, and the increasing popularity of mutual funds as a convenient and cost-effective investment tool. However, since 2022, the industry has faced headwinds due to market volatility, interest rate fluctuations, and geopolitical uncertainties, leading to a slowdown in growth. The mutual fund industry in the United States is highly fragmented, with numerous players offering a diverse range of products. The top five fund management companies, namely BlackRock, The Vanguard Group, State Street Global Advisors, Fidelity Investments, and J.P. Morgan Asset Management, collectively account for a significant market share. The industry is expected to witness continued consolidation in the future, as smaller players struggle to compete with larger firms that have economies of scale and extensive distribution networks. Recent developments include: November 2022: Asset manager BlackRock acquired US battery energy storage developer Jupiter Power from EnCap Investments., September 2022: BlackRock Real Assets acquired SolarZero, a leading solar and smart battery sector player based in New Zealand.. Notable trends are: US Mutual Funds Market Scenario.

Revenue for the Open-End Investment Funds industry has been increasing over the past five years. Open-end investment funds revenue has been growing slightly but remaining relatively steady at a CAGR of 0.0% to $196.1 billion over the past five years, including an expected increase of 4.2% in the current year. In addition, industry profit has climbed and comprises 33.1% of revenue in the current year. Overall, revenue has been increasing alongside overall asset growth, despite operators being forced to lower fees to meet shifting consumer preferences. The industry has encountered volatility due to the high-interest rate environment for most of the period. Higher interest rates reduce liquidity and make fixed income securities more attractive to investors due to less risk and more predictable interest payments. The industry has also encountered increased growth for ETFs and retail investors. The greatest shift in the industry has been an evolving investor preference for exchange-traded funds (ETFs). While mutual funds account for the majority of industry assets, growth in ETF assets has significantly outpaced that of mutual funds. Expenses that mutual fund investors incur have fallen from 0.5% of assets in 2018 to 0.4% in 2023, as industry operators have cut fees to attract new capital due to pressure from new funds (latest data available). Despite the high interest rate environment, the Fed slashed rates in 2024 and is anticipated to cut rates further in the latter part of 2025, which will boost asset prices. Open-end investment funds' revenue is expected to grow at a CAGR of 0.3% to $198.7 billion over the five years to 2030. The fears over inflation and a possible recession are expected to dominate the beginning of the outlook period. The Federal Reserve is expected to continue cutting interest rates as inflationary pressures ease. Investment companies' importance will continue to grow, with mutual funds and ETFs representing key channels for individual and institutional investors to access financial markets.

The North American mutual fund industry, exhibiting a Compound Annual Growth Rate (CAGR) exceeding 5%, presents a robust investment landscape. Driven by increasing household savings, favorable regulatory environments, and the growing adoption of digital investment platforms, the market is poised for significant expansion throughout the forecast period (2025-2033). The industry is segmented by fund type (equity, bond, hybrid, money market) and investor type (households, institutional investors), with the United States dominating the market share within North America, followed by Canada and Mexico. Major players like Vanguard, Fidelity Investments, BlackRock, and others compete fiercely, offering diversified product portfolios to cater to various investor risk appetites and financial goals. The increasing demand for passive investment strategies, including index funds and ETFs, alongside the growing adoption of robo-advisors, are shaping the industry's future. While regulatory changes and market volatility pose potential restraints, the overall outlook remains positive, fueled by long-term growth prospects and a rising investor base seeking professional asset management solutions. The substantial market size, estimated at several trillion dollars in 2025, reflects the maturity and significance of this sector. Growth is expected to be particularly strong in the equity and hybrid fund categories, driven by investor confidence and a desire for higher returns. The institutional investor segment is likely to maintain a significant share of the market, with continued institutional allocations to mutual funds for diversification and long-term investment strategies. Geographical diversification within North America will continue, with potential for higher growth rates in Canada and Mexico compared to the already large US market. Competition among leading firms will remain intense, prompting innovation in product offerings, investment strategies, and customer service to maintain market share and attract new investors. The industry's ongoing adaptation to technological advancements and evolving investor preferences will be crucial for sustained success in the coming years. This report provides a detailed analysis of the North America mutual fund industry, covering the period from 2019 to 2033. It offers in-depth insights into market size, growth drivers, challenges, and future trends, incorporating data from the historical period (2019-2024), base year (2025), and forecast period (2025-2033). The report is crucial for investors, fund managers, and industry stakeholders seeking a comprehensive understanding of this dynamic market. Key search terms included: North America mutual funds, mutual fund industry trends, US mutual fund market, Canadian mutual funds, mutual fund investments, equity funds, bond funds, investment management, financial services. Recent developments include: In 2021, Fidelity Investements along with Visa backed Jumo, an emerging fintech startup which offers savings and credit products to entrepreneurs in emerging markets, as well as financial services infrastructure to partners such as eMoney operators, mobile fintech platforms and banks. it raised atotal of USD 120 million., In Dec 2021, T. Rowe Price Group, Inc. announced its acquisition of Oak Hill Advisors, L.P. (OHA), a leading alternative credit manager. The acquisition accelerates T. Rowe Price's expansion into alternative credit markets, complementing its existing global platform and ongoing strategic investments in its core investments and distribution capabilities.. Notable trends are: Market Securities Held By Mutual Funds in United States.

The statistic presents the share of market securities held by mutual funds in the United States in 2023, by security type. As of 2023, U.S. mutual funds held 19 percent of municipal securities in the United States.

United States Mutual Funds: ICI: Net Cash Flow: US: Money Market Funds data was reported at 18.085 USD bn in Oct 2018. This records an increase from the previous number of -6.609 USD bn for Sep 2018. United States Mutual Funds: ICI: Net Cash Flow: US: Money Market Funds data is updated monthly, averaging -1.408 USD bn from Jan 1998 (Median) to Oct 2018, with 250 observations. The data reached an all-time high of 160.423 USD bn in Jan 2008 and a record low of -155.787 USD bn in Mar 2010. United States Mutual Funds: ICI: Net Cash Flow: US: Money Market Funds data remains active status in CEIC and is reported by Investment Company Institute. The data is categorized under Global Database’s United States – Table US.Z028: Mutual Funds: Net Cash Flow.

Graph and download economic data for Money Market Funds; Total Financial Assets, Level (MMMFFAQ027S) from Q4 1945 to Q1 2025 about MMMF, IMA, financial, assets, and USA.

Graph and download economic data for Holding Companies; Equity and Investment Fund Shares Excluding Mutual Fund Shares and Money Market Fund Shares; Asset, Transactions (BOGZ1FA733181105A) from 1946 to 2024 about fund shares, shares, mutual funds, MMMF, companies, equity, transactions, investment, assets, and USA.

Graph and download economic data for Households and Nonprofit Organizations; Equity and Investment Fund Shares Excluding Mutual Fund Shares and Money Market Fund Shares; Asset (IMA), Transactions (BOGZ1FA153081105A) from 1946 to 2024 about fund shares, shares, mutual funds, MMMF, IMA, nonprofit organizations, equity, transactions, investment, assets, households, and USA.

United States Mutual Funds: ICI: Assets: US: Tax Free Money Market Funds data was reported at 131.300 USD bn in Sep 2018. This records an increase from the previous number of 130.800 USD bn for Aug 2018. United States Mutual Funds: ICI: Assets: US: Tax Free Money Market Funds data is updated monthly, averaging 265.500 USD bn from Jan 1996 (Median) to Sep 2018, with 273 observations. The data reached an all-time high of 505.800 USD bn in Aug 2008 and a record low of 127.200 USD bn in Sep 2017. United States Mutual Funds: ICI: Assets: US: Tax Free Money Market Funds data remains active status in CEIC and is reported by Investment Company Institute. The data is categorized under Global Database’s USA – Table US.Z027: Mutual Funds: Net Assets.

Domestic equity funds constituted 46 percent of the mutual fund and ETF assets in the United States in 2023, by far and away the most common asset class for U.S. investment funds. Following this was bond funds, then money market and world equity funds. Hybrid and other funds only comprised five percent of U.S. investment funds at this time.

United States Net Issues: Flow: Money Market Mutual Fund (MM) data was reported at -54.345 USD bn in Mar 2018. This records a decrease from the previous number of 99.599 USD bn for Dec 2017. United States Net Issues: Flow: Money Market Mutual Fund (MM) data is updated quarterly, averaging 0.000 USD bn from Dec 1951 (Median) to Mar 2018, with 266 observations. The data reached an all-time high of 411.944 USD bn in Dec 2008 and a record low of -332.086 USD bn in Mar 2010. United States Net Issues: Flow: Money Market Mutual Fund (MM) data remains active status in CEIC and is reported by Federal Reserve Board. The data is categorized under Global Database’s USA – Table US.AB041: Funds by Instruments: Flows and Outstanding: Money Market Mutual Fund Shares.

United States Mutual Funds: ICI: Number: US: Tax Free Money Market Funds data was reported at 84.000 Unit in Sep 2018. This stayed constant from the previous number of 84.000 Unit for Aug 2018. United States Mutual Funds: ICI: Number: US: Tax Free Money Market Funds data is updated monthly, averaging 263.000 Unit from Jan 1996 (Median) to Sep 2018, with 273 observations. The data reached an all-time high of 343.000 Unit in Jan 2000 and a record low of 82.000 Unit in Jan 2018. United States Mutual Funds: ICI: Number: US: Tax Free Money Market Funds data remains active status in CEIC and is reported by Investment Company Institute. The data is categorized under Global Database’s United States – Table US.Z029: Mutual Funds: Number of Funds.

United States Mutual Funds: ICI: Number: US: Taxable Money Market Funds data was reported at 299.000 Unit in Sep 2018. This stayed constant from the previous number of 299.000 Unit for Aug 2018. United States Mutual Funds: ICI: Number: US: Taxable Money Market Funds data is updated monthly, averaging 567.000 Unit from Jan 1996 (Median) to Sep 2018, with 273 observations. The data reached an all-time high of 705.000 Unit in Sep 2000 and a record low of 298.000 Unit in May 2018. United States Mutual Funds: ICI: Number: US: Taxable Money Market Funds data remains active status in CEIC and is reported by Investment Company Institute. The data is categorized under Global Database’s United States – Table US.Z029: Mutual Funds: Number of Funds.

Graph and download economic data for Households; Corporate Equities and Mutual Fund Shares; Asset, Market Value Levels (BOGZ1LM193064005Q) from Q4 1987 to Q1 2025 about mutual funds, market value, equity, assets, households, and USA.

United States Assets: Flow: Money Market Mutual Funds (MM): saar data was reported at 293.791 USD bn in Jun 2018. This records an increase from the previous number of 34.674 USD bn for Mar 2018. United States Assets: Flow: Money Market Mutual Funds (MM): saar data is updated quarterly, averaging 0.000 USD bn from Dec 1951 (Median) to Jun 2018, with 267 observations. The data reached an all-time high of 1,639.994 USD bn in Mar 2008 and a record low of -1,089.814 USD bn in Mar 2010. United States Assets: Flow: Money Market Mutual Funds (MM): saar data remains active status in CEIC and is reported by Federal Reserve Board. The data is categorized under Global Database’s USA – Table US.AB024: Funds by Sector: Flows and Outstanding: Mutual Funds.