Investment banking set to grow significantly by 2030 amid technological and regional shifts

According to a Mordor Intelligence report published via GlobeNewswire, the global investment banking market is valued at USD 112.47 billion in 2025 and is projected to reach USD 138.62 billion by 2030, implying a compound annual growth rate (CAGR) of 4.27% between 2025 and 2030. The research attributes the projected expansion to improving interest-rate conditions in the United States, easing inflationary pressure, strong corporate balance sheets that are reviving mergers and acquisitions (M&A) and capital-market activity, and renewed exit opportunities as private-equity firms reopen channels for disposals. Mordor Intelligence also highlights the growing impact of artificial intelligence adoption and early tokenisation initiatives on cost structures and product offerings within evolving regulatory frameworks.

North America remains the dominant regional market, the report states, supported by deep capital-market liquidity, a favourable monetary backdrop and active corporate refinancing and equity issuance. Mordor Intelligence’s separate analysis of the U.S. market estimates a 2025 valuation of USD 54.74 billion, rising to USD 66.15 billion by 2030 at a 3.86% CAGR, and points to sponsor-led M&A, a stabilising IPO calendar and expanding fee pools linked to energy-transition financing as key revenue drivers.

At the same time, the research identifies Asia‑Pacific as the fastest-growing region, driven by structural reforms, expanding local capital markets and digital trade‑finance investments targeting SMEs and mid-sized companies. Contributions from Japan, South Korea and Australia are cited as reinforcing activity in technology ventures, shareholder initiatives and infrastructure-related underwriting.

M&A and public listings are central to the narrative. Mordor Intelligence reports a resurgence in deal momentum across technology, healthcare and industrial sectors, and a return of SPAC and IPO activity as investor interest in artificial intelligence and life sciences strengthens. Industry data referenced in the report point to a pickup in cross-border transactions and a healthier advisory pipeline as buyout firms pursue delayed exits.

However, market-size forecasts differ notably between research providers. Industry Research projects the North American investment banking market will reach USD 202,512.84 million by 2034, with a 2.6% CAGR and a roughly 42.2% regional market share, emphasising contributions from the United States, Canada and Mexico and sector strengths in energy, mining and cross-border supply chains. A separate GlobeNewswire-circulated analysis in July offered a markedly lower global projection, estimating the investment banking industry to be worth USD 92.2 billion by 2030 and forecasting a 3.3% CAGR for the M&A advisory segment to reach USD 22.8 billion by 2030. These divergent numbers underscore methodological differences in scope, timeframes and segment definitions across research houses.

The competitive landscape remains concentrated among global and regional banks. Mordor Intelligence lists major investment banking houses including J.P. Morgan Chase & Co., Goldman Sachs, Morgan Stanley, BofA Securities, Citi, Barclays, Deutsche Bank, UBS, HSBC and others as primary market participants, noting also the role of specialised boutiques and non‑bank private‑credit providers in reshaping fee pools and advisory dynamics.

Segmentation in the report highlights product-led revenue buckets, M&A advisory, debt and equity capital markets, syndicated loans and other services, alongside deal‑size tiers from small‑cap to mega‑cap and client types ranging from SMEs to large enterprises. Industry observers cited by related reports say banks are vying to expand fees in high‑growth niches such as energy‑transition financing, technology and healthcare, while also pursuing digitalisation to lower operating costs and capture SME trade‑finance flows.

The outlook is therefore mixed but cautiously positive: improving macro conditions and a reactivated IPO and M&A pipeline support revenue prospects, while regulatory changes, higher policy rates and the rise of private credit could compress traditional profitability models for some banks. Global Growth Insights projects stronger growth in the M&A advisory submarket over a longer horizon, signalling continued demand for dealmaking expertise even as competition and market structure evolve.

In sum, Mordor Intelligence’s forecast frames 2025–2030 as a period of recovery and structural change for investment banking, with North America retaining scale, Asia‑Pacific delivering the fastest growth, and technology, both as an industry sector and an operational lever, reshaping services and margins. Other industry reports offer contrasting size estimates and growth rates, reflecting differing assumptions about market boundaries and the pace of recovery; taken together, they point to an industry in transition rather than an unequivocal, single‑path recovery.