INDUSTRIES & MARKETS

The rise of neobrokers

 Are neobrokers here to stay and expand?
Key questions answered in this report
What is the market size of the
neobroker industry?
• Neobroker assets under
management (AuM) reached 410
billion U.S. dollars in 2022.
• Neobroker revenue was estimated
at 2.85 billion U.S. dollars.
• With a penetration rate of 0.9
percent in 2022, neobrokers were
used by 66 million users
worldwide.
2
Which are the largest markets
for neobrokers?
• The U.S. accounts for over 50
percent of the neobroker market
worldwide.
• China is the second largest market
in terms of AuM, with 34 billion
U.S. dollars.
• The UK is the second leading
market in terms of AuM per user,
with a value of 4,540 U.S. dollars.
Who are the leading players
in the sector?
• In 2022, Robinhood reported an
AuM total worth over 60 billion
U.S. dollars and 11.4 million
monthly active users (MAUs).
• eToro counted over 31 million
registered users as of 2022.
• The WeBull app was downloaded
over 22 million times as of
February 2023.
 Methodology

$
In this report, neobrokers are defined as:

$ $

Trading Social trading Retail investment

platforms platforms platforms

Neobrokers are digital-only online brokers, trading platforms, The revenue estimates and forecasts in conventional financial enterprises.
social trading platforms, or retail investment platforms. this report are built on Statista’s primary Companies that only provide robo-
Neobrokers require digital onboarding of their clients and do not research (the Statista Digital Market advisory services and/or only facilitate the
have physical branches to provide services to their customers. Insights) as well as other primary data trading of cryptocurrencies are also
Neobrokers can charge fees for their services, but some provide from the Statista platform and third-party excluded from the scope of this market.
them for free. Given the nature of online trading activities, neobroker data sources. The companies within the Cryptocurrencies were excluded from the
services can be accessed either via a mobile app or via a website. market scope do not belong to scope of this market as well.

3 Notes: Robo-advisory services involve a digital financial advisor that uses software and algorithms to provide automated investment advice and portfolio management services to clients to determine asset allocation and investment strategies.
 What is the
market size of
1 the neobroker
industry?

Users are investing more and more assets through neobrokers

Value of assets under management (AuM) of neobrokers between 2017 and 2022 with a forecast until 2027, and AuM share by country in 2022

Neobroker AuM share in 2022, by country Value of AuM of neobrokers from 2017 to 2022 with a forecast
until 2027 (in billion U.S. dollars)
Others 15.2% China 8.7%
599.9

$
409.8

$
Germany 4.6%
101.1
Canada
1.7%

Spain Australia
1.8% 1.4%
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

4 Notes: Worldwide; 2017 to 2022; 2023 to 2027 are forecasts; data shown is using current exchange rates and reflects market impacts of the Russia-Ukraine war.

Sources: Statista Digital Market Insights; ID 1324384; ID 1315136

 What is the
market size of
1 the neobroker
industry?

Neobroker revenue grows as users are committed to investing more

Revenue of neobrokers between 2017 and 2022 with a forecast until 2027, and revenue share by country in 2022

Neobrokers emerged in the early 2010s as a new type of brokerage Neobroker revenue share in 2022, by country
offering a digital platform for investors to buy and sell securities. Driven
by advances in technology and changing consumer attitudes towards Others 14.0% China 7.8%
digital services, the neobroker industry has grown steadily in recent
years, with an estimated revenue of 2.85 billion U.S. dollars and assets
under management (AuM) exceeding 400 billion U.S. dollars globally in
2022 (page 4). The neobroker market is expected to keep growing in the %
next few years, though at a lower rate.

Neobroker revenue from 2017 to 2022 with a forecast until

2027 (in billion U.S. dollars)
3.67
2.85

0.83

2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

5 Notes: Worldwide; 2017 to 2022; 2023 to 2027 are forecasts; data shown is using current exchange rates and reflects market impacts of the Russia-Ukraine war.

Sources: Statista Digital Market Insights; ID 1312656; ID 1324343

 What is the
market size of
1 the neobroker
industry?

After the initial enthusiasm, growth in user number is expected to slow down
Estimated number of neobroker app users and penetration rate worldwide from 2017 to 2022, with a forecast until 2027

The growth in assets under management and revenue has been fueled by an Neobroker popularity and usage, however, vary greatly across regions.
increasing number of people choosing neobrokers over – or in addition to – Neobrokers are most popular in North America and Europe: The United States
traditional investment firms. While it is difficult to provide the exact number, has the highest penetration rate at five percent, followed by Sweden with 3.9
Statista estimated that, in 2022, there were approximately 66 million neobroker percent (page 7).
users worldwide, with a penetration rate of 0.9 percent.
120m 1.1% 1.2%

100m 0.9% 1.0%

80m 87.4m 0.8%

60m 66.1m 0.6%

40m 0.4%
0.2%
20m 0.2%
16.4m
0m 0.0%
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

6 Notes: Worldwide; 2017 to 2022; 2023 to 2027 are forecasts.

Sources: Statista Digital Market Insights; ID 1315147; ID 1315157

 Which are the
largest markets
2
for neobrokers?

Neobroker adoption is highest in most developed countries

Penetration rate of neobrokers worldwide in 2022, by country

Country Penetration rate

United States 5%

Sweden 3.9%

Ireland 3.7%

Norway 3.6%

Finland 3.4%

Netherlands 3%

United Kingdom 3%

Denmark 2.9%

Belgium 2.9%

New Zealand 2.8%

France 2.7%

Germany 2.7%
Penetration rate
Austria 2.7%
0% 1% 2% 3% 4% 5%
Canada 2.7%

7 Notes: Worldwide; 2022

Sources: Statista Digital Market Insights; ID 1313058

 Which are the
largest markets
2
for neobrokers?

The U.S. dominates the market, with largest revenue, AuM, and user base
Neobroker revenue, assets under management (AuM), number of users, revenue per user, and AuM per user in largest markets in 2022

Revenue AuM Number of users Revenue per user AuM per user
(in U.S. dollars) (in U.S. dollars) (in millions) (in U.S. dollars) (in U.S. dollars)

United
1.54bn 219.6bn 16.89 91.13 6,550
States

China 0.22bn 33.98bn 12.09 18.27 1,340

United
0.14bn 18.33bn 2.06 56.23 4,540
Kingdom

Germany 0.12bn 19.54bn 2.28 61.47 4,460

Japan 0.11bn 12.98bn 2.19 50.1 3,200

8 Notes: Worldwide; 2022

Sources: Statista Digital Market Insights; ID 1325412

 Which are the
largest markets
2
for neobrokers?

Country spotlight: United States

2017

2017 2022 2027 Thanks to a combination of factors such as a

highly developed financial services industry, a
large population of investors, and a rather
CAGR CAGR open regulatory environment, the United
0.5bn +25.2% 1.54bn +4.1% 1.88bn States represents by far the most developed
USD USD USD
and competitive market for neobrokers. In
Revenue 2022, neobroker revenue in the U.S. exceeded
1.5 billion U.S. dollars, growing at an average
CAGR CAGR of 25 percent year-on-year since 2017.
+29.1% +6.7% Similarly, assets under management have
61.2bn 219.6bn 303.4bn
USD USD USD increased 29 percent year-on-year during the
Assets under same period. While the U.S. market is
management expected to continue to expand, growth
should slow down, with revenue estimated to
CAGR CAGR
+23% +2.8% increase on average by 4.1 percent and assets
under management by 6.7 percent year-on-
6m 16.9m 19.4m
year from 2022 to 2027.
Users

9 Notes: United States; 2017 and 2022; data for 2027 is a forecast; CAGR stands for compound annual growth rate.

Sources: Statista Digital Market Insights; ID 1215480; ID 1215535; ID 1215699 Sources: Credit Suisse; Gallup; ID 710680
 Who are the
leading players in
3
the sector?

Neobroker app downloads soared during 2020 and 2021

Monthly and cumulative number of downloads of select neobrokers apps from December 2016 to February 2022

Monthly number of downloads of select neobroker apps from 2015 to 2022 Cumulative number of downloads of select neobroker apps from 2016 to 2022

Robinhood WeBull eToro Robinhood WeBull eToro

3m 100m

80m 21.9m

2m
60m 22.5m

40m
1m
50.1m
20m

0m 0m
Jun Dec Jun Dec Jun Dec Jun Dec Jun Dec Jun Dec Jun Dec Jun Dec Dec Jun Dec Jun Dec Jun Dec Jun Dec Jun Dec Jun Dec Feb
'15 '15 '16 '16 '17 '17 '18 '18 '19 '19 '20 '20 '21 '21 '22 '22 '16 '17 '17 '18 '18 '19 '19 '20 '20 '21 '21 '22 '22 '23

10 Notes: Worldwide; December 2016 to February 2023 Notes: Worldwide; December 2016 to February 2023

Sources: AppMagic; ID 1325378 Sources: AppMagic; ID 1325330

 Who are the
leading players in
3
the sector?

Company spotlight: Robinhood – the most downloaded app

Assets under management

Robinhood
62.2bn Menlo Park, California, U.S.
U.S. dollars
Funded accounts

22.9m 2013

Vladimir Tenev

As the first neobroker to gain widespread attention,

Robinhood is a commission-free trading app used to invest in
Revenue stocks, options, ETFs, and cryptocurrencies. Since its

1.36bn Monthly foundation, Robinhood has been able to attract 6.2 billion
active users U.S. dollars in funding. Despite facing scrutiny and

11.4m
U.S. dollars controversy over its business practices and security breaches,
the company continues to expand: As of its last public
disclosure, Robinhood reported having 23 million funded
accounts and 62 billion U.S. dollars in assets under
management, making it by far the largest player in the
neobrokers market.

11 Notes: Worldwide; 2022; Funded account refers to an account into which the user makes an initial deposit of money or asset transfer, of any amount, during the relevant period.

Sources: Robinhood; ID 1283988 Sources: Crunchbase; Robinhood

 Who are the
leading players in
3
the sector?

Company spotlight: eToro – the app with a global reach

Assets under management

eToro
5.8bn Tel Aviv, Israel
U.S. dollars
Funded accounts

2.8m 2007

Yoni Assia, Ronen Assia, David Ronen

eToro is another popular neobroker that offers a social

trading platform for investors. What sets eToro apart from
Revenue other neobrokers is its social trading feature, which allows

0.6bn Registered users to see and copy the trades of other investors on the
users platform. As of 2022, eToro reported having over 30 million

31.4m
U.S. dollars registered users – but only approximately three million
funded accounts – in more than 100 countries around the
world. As of 2023, the company has also raised 572.7 million
U.S. dollars in funding from various investors over 17 funding
rounds.

12 Notes: Worldwide; 2022

Sources: eToro; ID 1313881 Sources: Crunchbase; eToro

 Who are the
leading players in
3
the sector?

Company spotlight: WeBull – the secretive competitor

WeBull

New York City, U.S.

Market value

1bn 2017

U.S. dollars
Wang Anquan

Unlike Robinhood, which is a listed company, and eToro,

which is looking to go public, WeBull is privately owned and
does not seem to like public disclosures. Despite the lack of
Number of app Monthly active available data, in an interview from December 2021, WeBull
downloads users CEO Anthony Dernier revealed that the company had over

22.5m 2.7m seven million account holders with an average account size of
4,000 U.S. dollars. According to the CEO’s statement, the total
value of assets under management would have been
approximately 28 billion U.S. dollars at that time.

13 Notes: Worldwide; 2021

Sources: AppMagic; Business of Apps; ID 1325417; ID 1313290; ID 1325378 Sources: CNBC; WeBull
 Outlook
What is the market size of the
neobroker industry?
After growing at an impressive pace in
the last few years, the neobroker
industry is expected to keep
expanding, though at a slower pace.
AuM grew on average 26 percent
between 2017 and 2022, while it is
projected to grow 6.5 percent on
average between 2022 and 2027. The
number of users is expected to reach
87 million by 2027.
14
Which are the largest markets
for neobrokers?
By far the most developed market for
neobrokers, the U.S. counted nearly 17
million users who committed 220
billion U.S. dollars as of 2022. By 2027,
the number of users in the U.S. is
projected to reach 19.4 million and the
AuM to exceed 300 billion U.S. dollars.
Neobroker revenue in the U.S. is
projected to increase four percent on
average between 2022 and 2027.
Who are the leading players
in the sector?
The neobroker industry is made up of
several players. Robinhood is no doubt
the biggest neobroker worldwide, but
only operates in the United States.
This leaves room for other neobrokers
to develop in other parts of the world.
Operating in more than 60 markets,
eToro is the neobroker with the
broadest reach and likely the highest
potential for growth.
 Sources Further reading
If you would like to know more about this topic and related topics, check out
our recommendations below:

AppMagic This Statista report explores the development of

Business of Apps the global economy in 2022 and 2023, with a
focus on the largest economies worldwide,
CNBC
through the development of key indicators of a
Credit Suisse
recession.
Crunchbase

eToro

Gallup The quarterly Statista report Crypto Pulse Check

Robinhood compares 50 cryptocurrency markets on a
country-by-country basis and investigates how
Statista Market Insights
users trade and invest.
WeBull

This Statista report on Mobile Payments

investigates the trends that are shaping mobile
payment markets across different regions of the
world on a country-by-country basis.

15
Author

Sebastiano Lucchitta
Research Expert – Financial Service and Real Estate

sebastiano.lucchitta@statista.com

Sebastiano Lucchitta is a researcher working on financial services

and insurance research topics. Since joining Statista, he has built
expertise on the impact of technology in the financial services
sector, focusing on fintech, digital banking, and alternative finance.

www.statista.com