Private markets are on track to become the dominant revenue engine of the global asset management industry, generating an estimated $432.2 billion and accounting for more than half of total industry revenues by 2030, according to PwC’s 2025 Global Asset & Wealth Management Report. The shift is being accelerated by rapid advances in technology, rising individual investor appetite for digital assets, and the increasing adoption of tokenized investment products. 

PwC’s analysis—based on a survey of 300 asset managers, institutional investors, and distributors across 19 countries—projects that global AUM will surge from $139 trillion in 2024 to $200 trillion by 2030, a compound annual growth rate of 6.2%. Total global investable wealth is expected to surpass $481 trillion by decade’s end. 

Yet even as revenues rise, asset managers are grappling with tightening profitability and shrinking margins. Nearly 89% of firms reported profit pressure over the last five years, with PwC finding that profit per dollar of AUM has fallen 19% since 2018. A further 9% decline is expected by 2030, driven by intense competition, persistent fee compression, escalating talent costs, and rising investment needs across increasingly complex client segments. 

Cost pressures remain acute: 68 cents of every revenue dollar is consumed by expenses. Meanwhile, nearly 60% of institutional investors say they are likely—or very likely—to replace managers solely due to high fees. 

“Asset managers are evolving in the Intelligence Age, as new technologies—from Generative AI to Agentic AI—reshape how value is created and delivered,” said Albertha Charles, Global Asset & Wealth Management Leader at PwC UK. “The winners won’t be those who gather the most assets, but those who rewire fastest.”