Report Overview

United States Securities Brokerage Market – Industry Trends & Forecast Report, 2031

United States Securities Brokerage Market size was estimated at USD 205.62 billion in 2024. During the forecast period between 2025 and 2031, United States Securities Brokerage Market size is projected to grow at a CAGR of 4.50% reaching a value of USD 279.82 billion by 2031. Prominent drivers of the market include the rising demand for personalized investment services, the increasing adoption of online trading platforms, and the ongoing shift toward digital financial solutions. Securities brokers—whether individuals or firms—facilitate trades, manage investments, or provide advisory services on behalf of clients. Their relevance is growing in developed markets like the United States, where securities typically offer higher returns than traditional investment vehicles. Brokers earn revenue either through fixed service fees or a percentage of client profits. As investors increasingly seek cost-effective and flexible options, the market is experiencing a transition toward online brokerage platforms that offer customized and user-friendly services. The surge in initial public offerings (IPOs), particularly on major exchanges like NASDAQ and NYSE, has further expanded investment opportunities and heightened brokerage activity. As of December 2022, NASDAQ was the largest stock exchange in the Americas by number of listed companies, reflecting a robust equity market landscape. Additionally, the widespread use of mobile applications and digital tools for trading, coupled with stringent regulatory oversight by the U.S. Securities and Exchange Commission (SEC), has reinforced investor confidence. The growing preference for investing in instruments like annuities and mutual funds also continues to support the steady expansion of the securities brokerage market in the United States.

Securities Brokerage – Overview

Securities brokerage refers to the service provided by individuals or firms that act as intermediaries between buyers and sellers in financial markets, facilitating the trading of securities such as stocks, bonds, mutual funds, and derivatives. Brokers execute trades on behalf of clients and may also offer investment advice, portfolio management, and market research. They earn revenue through commissions, fees, or a percentage of investment profits. Securities brokerages can operate as full-service firms, discount brokers, or online platforms. Regulated by financial authorities, they play a crucial role in ensuring efficient, transparent, and secure transactions within the capital markets for various investor types.

United States Securities Brokerage Market

Growth Drivers

Increased Retail Participation

United States Securities Brokerage Market has witnessed a significant surge in retail investor participation, driving market growth. Individual investors, often referred to as self-directed traders, have continued to actively engage in equity markets—even during periods of volatility—by capitalizing on market dips and investing in popular tech stocks and ETFs. Platforms like Robinhood have reported substantial inflows, with retail clients depositing billions amid market sell-offs. This growing involvement is further supported by sophisticated order routing systems that deliver best execution and price improvements. Despite some concerns about payment for order flow, retail trading continues to shape the market landscape, reinforcing its role as a key growth driver.

Challenges

Cybersecurity Threats

The increasing digitization of United States Securities Brokerage Industry has heightened exposure to cybersecurity threats, creating a major barrier to market growth. With brokerage firms managing extensive volumes of sensitive financial and personal data, they remain prime targets for cyberattacks, including hacking, data breaches, and identity theft. Such incidents not only jeopardize investor confidence but can also result in severe financial, legal, and reputational consequences. The rapid adoption of mobile trading apps and emerging platforms like DeFi further expands the attack surface. Moreover, ongoing compliance with stringent data protection regulations adds to operational pressures, making cybersecurity a persistent and costly challenge for market players.

Impact of Escalating Geopolitical Tensions on United States Securities Brokerage Market

Escalating geopolitical tensions could significantly impact the growth of United States Securities Brokerage Market by increasing market volatility and investor uncertainty. Heightened global conflicts often lead to abrupt fluctuations in asset prices, causing risk-averse behavior among retail and institutional investors. This can result in reduced trading volumes and cautious investment activity, directly affecting brokerage revenues. Additionally, rising tensions may trigger regulatory changes, sanctions, and disruptions in cross-border financial operations, further complicating the market landscape. Brokerage firms must navigate these challenges while maintaining investor confidence and operational stability. The uncertain geopolitical climate thus poses a notable restraint on sustained growth and profitability in the sector.

United States Securities Brokerage Market

Segmental Coverage

United States Securities Brokerage Market – By Type

Based on type, United States Securities Brokerage Market is divided into Full-Service Brokerage, Discount Brokerage, and Robo-Advisory Platforms segments. The robo-advisory platforms segment is expected to hold the highest share in United States Securities Brokerage Market by type during the forecast period. United States Securities Brokerage Market is witnessing a growing shift toward digitalization, with robo-advisory platforms emerging as a dominant force. These automated investment solutions leverage algorithms to offer personalized portfolio management based on individual risk profiles and financial goals. Their affordability, accessibility, and ease of use make them particularly attractive to younger, tech-savvy investors. As traditional advisory services give way to cost-efficient digital models, platforms like Betterment and Wealthfront are gaining widespread popularity. The convenience of mobile apps, real-time analytics, and low fees is fueling adoption, positioning robo-advisory platforms to capture the largest market share during the forecast period.

United States Securities Brokerage Market – By Asset Class

By asset class, United States Securities Brokerage Market is divided into Equities, Bonds, Derivatives, ETFs, and Mutual Funds segments. The equities segment holds the largest share of United States Securities Brokerage Market by asset class. It is driven by strong demand from both retail and institutional investors. Equities, including common and preferred stocks, ETFs, and index funds, are the most actively traded asset class due to the market's depth, liquidity, and accessibility. The rise of commission-free online trading platforms has further broadened participation, especially among younger and first-time investors. Additionally, the U.S. equity market offers a vast array of publicly listed companies, providing diverse investment opportunities. This widespread appeal and high trading volume position equities as the leading asset class in terms of both market share and revenue generation.

United States Securities Brokerage Market – By End User

On the basis of end user, United States Securities Brokerage Market is divided into Retail Investors, Institutional Investors, and High Net Worth Individuals (HNWIs) segments.

Competitive Landscape

Major players operating in United States Securities Brokerage Market include Webull Financial LLC, Merrill Lynch Life Agency Inc., Charles Schwab Corporation, Robinhood Markets, Inc., JPMorgan Chase & Co., Interactive Brokers LLC, Ally Financial Inc., Firstrade Securities Inc., Fidelity Brokerage Services LLC, Morgan Stanley & Co, LLC, E-Trade, Merrill Edge, JPMorgan Wealth Management, and Fidelity. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In November 2024 - The US SEC approved 24 Exchange, the first 24-hour stock exchange, signaling a shift toward continuous trading in financial markets. Backed by Point72 Ventures, the platform will begin with standard hours and later extend to overnight sessions. This move responds to rising demand, especially from retail investors used to 24/7 crypto markets.

Scope of the Report

By Type

• Full-Service Brokerage

• Discount Brokerage

• Robo-Advisory Platforms

By Asset Class

• Equities

• Bonds

• Derivatives

• ETFs

• Mutual Funds

By End User

• Retail Investors

• Institutional Investors

• High Net Worth Individuals (HNWIs)

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. United States Securities Brokerage Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Drivers
         1. Increased Retail Participation
         2. Zero-Commission Trading
         3. Favorable Regulatory Environment
      2. Restraints
         1. High Market Volatility
         2. Cybersecurity Threats
      3. Opportunities
         1. Expansion of Wealth Management Services
         2. Adoption of Blockchain & Tokenized Assets
      4. Challenges
         1. Regulatory Scrutiny
         2. Talent Shortages
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. United States Securities Brokerage Market: Marketing Strategies
5. United States Securities Brokerage Market: Pricing Analysis
6. United States Securities Brokerage Market Overview
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Type
         1. Full-Service Brokerage
         2. Discount Brokerage
         3. Robo-Advisory Platforms
      2. By Asset Class
         1. Equities
         2. Bonds
         3. Derivatives
         4. ETFs
         5. Mutual Funds
      3. By End User
         1. Retail Investors
         2. Institutional Investors
         3. High Net Worth Individuals (HNWIs)
7. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. United States Securities Brokerage Market Share Analysis, 2024
      1. Competitive Benchmarking, By Operating Parameters
   3. Key Strategic Developments (Mergers, Acquisitions, Partnerships)
8. Impact of Escalating Geopolitical Tensions on United States Securities Brokerage Market
9. Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
   1. Webull Financial LLC
   2. Merrill Lynch Life Agency Inc.
   3. Charles Schwab Corporation
   4. Robinhood Markets, Inc.
   5. JPMorgan Chase & Co.
   6. Interactive Brokers LLC
   7. Ally Financial Inc.
   8. Firstrade Securities Inc.
   9. Fidelity Brokerage Services LLC
   10. Morgan Stanley & Co, LLC
   11. E-Trade
   12. Merrill Edge
   13. JPMorgan Wealth Management
   14. Fidelity
   15. Other Prominent Players
10. Key Strategic Recommendations
11. Research Methodology
    1. Qualitative Research
       1. Primary & Secondary Research
    2. Quantitative Research
    3.  Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4.  Breakdown of Primary Research Respondents, By Region
    5.  Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       United States Retail Pharmacy Segmentation                   

Figure 2       United States Securities Brokerage Market Value Chain Analysis          

Figure 3       Company Market Share Analysis, 2024                  

Figure 4       United States Securities Brokerage Market Size, By Value (USD Billion), 2019–2031                            

Figure 5       United States Securities Brokerage Market Share, By Residential Services, By Value, 2019–2031                    

Figure 6       United States Securities Brokerage Market Share, By Commercial Services, By Value, 2019–2031                                       

Figure 7       United States Securities Brokerage Market Share, By Specialized Services, By Value, 2019–2031

Figure 8       United States Securities Brokerage Market Share, By Residential Services, By Value, 2019–2031

Figure 9       United States Securities Brokerage Market Share, By Commercial Services, By Value, 2019–2031

List of Tables

Table 1         United States Securities Brokerage Market Size, By Value (USD Billion), 2019–2031

Table 2         United States Securities Brokerage Market Share, By Residential Services, By Value, 2019–2031                    

Table 3         United States Securities Brokerage Market Share, By Commercial Services, By Value, 2019–2031                                       

Table 4         United States Securities Brokerage Market Share, By Specialized Services, By Value, 2019–2031

Table 5         United States Securities Brokerage Market Share, By Residential Services, By Value, 2019–2031

Table 6         United States Securities Brokerage Market Share, By Specialized Services, By Value, 2019–2031

Table 7         Webull Financial LLC Company Overview

Table 8         Webull Financial LLC Financial Overview

Table 9         Merrill Lynch Life Agency Inc. Company Overview

Table 10       Merrill Lynch Life Agency Inc. Financial Overview

Table 11       Charles Schwab Corporation Company Overview

Table 12       Charles Schwab Corporation Financial Overview

Table 13       Robinhood Markets, Inc. Company Overview

Table 14       Robinhood Markets, Inc. Financial Overview

Table 15       JPMorgan Chase & Co. Company Overview

Table 16       JPMorgan Chase & Co. Financial Overview

Table 17       Interactive Brokers LLC Company Overview

Table 18       Interactive Brokers LLC Financial Overview

Table 19       Ally Financial Inc. Company Overview

Table 20       Ally Financial Inc. Financial Overview

Table 21       Firstrade Securities Inc. Company Overview

Table 22       Firstrade Securities Inc. Financial Overview

Table 23       Fidelity Brokerage Services LLC Company Overview

Table 24       Fidelity Brokerage Services LLC Financial Overview

Table 25       Morgan Stanley & Co, LLC Company Overview

Table 26       Morgan Stanley & Co, LLC Financial Overview

Table 27       E-Trade Company Overview

Table 28       E-Trade Financial Overview

Table 29       Merrill Edge Company Overview

Table 30       Merrill Edge Financial Overview

Table 31       JPMorgan Wealth Management Company Overview

Table 32       JPMorgan Wealth Management Financial Overview

Table 33       Fidelity Company Overview

Table 34       Fidelity Financial Overview