US Pension Funds Market Insights Forecasts to 2033

• The Market is growing at a CAGR of 9.19 % from 2023 to 2033
• The US Pension Funds Market Size is expected to hold a significant share by 2033

The US Pension Funds Market is expected to hold a significant share by 2033, growing at a CAGR of 9.19 % from 2023 to 2033.

Market Overview

An investment aimed at providing retirement income is known as a pension fund. Pension funds have always assigned money to long-term investments in bonds and stocks. However, given recent market volatility, they have diversified their portfolios by investing money into alternative investments including real estate, hedge funds, and private equity. As the world's population ages and demographics change, the need for pension funds to provide retirement income and ease the financial strain on social security systems has become more and more clear. Based on the principles of long-term saving and investment, pension funds pool contributions from employers, employees, and occasionally governments. Pension funds use a range of investing strategies, from more aggressive kinds focused on long-term growth and capital appreciation to more cautious ones focused on income generation. Pension funds are essential to preserving individuals' financial security in retirement and long-term economic stability because they are always evolving and adapting to shifting market conditions.

Report Coverage

This research report categorizes the market for the US pension funds market based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the US pension funds market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the US pension funds market.

Driving Factors

Several factors driving the expansion of the pension funds market, including an aging population, long-term saving, retirement planning, and economic growth. Furthermore, regulatory governance, operations, and investing activities of pension funds are affected by the legal environment that surrounds them, which is a crucial component of the pension companies. Additionally, the allocation of assets in pension funds is propelling the market growth.

Restraining Factors

The major factors hindering the growth of the market, such as risks of investment, regulatory compliance, pension liability, and longevity risk. Furthermore, inflationary pressures are another restraining factor that hinders the growth of the pension fund market.

Market Segmentation

The US pension funds market share is classified into plan type and fund type.

• The distributed contribution segment is expected to hold the largest market share through the forecast period.   

The US pension funds market is segmented by plan type into distributed contribution, distributed benefit, reserved fund, and hybrid. Among these, the distributed contribution segment is expected to hold the largest market share through the forecast period. Plans that come under the category of defined contribution (DC) plans are defined contribution pension schemes, which are defined contribution plans that transfer investment and longevity risk from employers to employees. This gives employees more control and flexibility over their retirement savings.

• The public pension funds segment dominates the market with the largest market share over the predicted period.

The US pension funds market is segmented by fund type into public pension funds, private pension funds, and occupational pension funds. Among these, the public pension funds segment dominates the market with the largest market share over the predicted period. The main purpose of these funds, which are usually sponsored and administered by public institutions or governments, is to furnish retirement payments to qualified residents. Public pension funds, which are frequently an essential part of social security systems, act as a safety net for retirees by providing them with financial support during their post-employment years.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the US pension funds market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Social Security Administration
• TD Ameritrade
• California Public Employees' Retirement System
• California State Teachers
• 1199 Seiu National Benefit Fund
• Franklin Templeton
• Federal Retirement Thrift
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments

• In January 2023, the California Public Employees' Retirement System is risking $1 billion on the idea that smaller private equity firms, which lack the financial might of the largest buyout organizations, may increase the profits and influence of the pension giant.

Market Segment

This study forecasts revenue at US, regional, and country levels from 2020 to 2033. Spherical Insights has segmented the US pension funds market based on the below-mentioned segments:

US Pension Funds Market, By Plan Type

• Distributed Contribution
• Distributed Benefit
• Reserved Fund
• Hybrid

US Pension Funds Market, By Fund Type

• Public Pension Funds
• Private Pension Funds
• Occupational Pension Funds