An increasing emphasis on gaining alpha from hedge funds is expected to boost the demand for alternative data, according to a new ReaesrchAndMarkets report.
The global alternative data market is expected to reach USD69.36 billion by 2028 and expand at a CAGR of 58.5 per cent from 2021 to 2028, as asset managers at hedge funds, mutual funds, private equity funds, pension funds, unit trusts, life insurance companies, and other BFSI entities, increasingly use alternative data to derive predictive insights. In addition, the use of alternative data for risk management processes is also expected to drive the market.
North America dominated the market in 2020 with a share of more than 68.0 per cent and is estimated to continue dominating the market from 2021 to 2028. Asia-Pacific meanwhile, is expected to emerge as one of the fastest-growing regional markets over the forecast period.