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US NAICS 52312 | Industry Report

Securities Brokering in the US Industry Data and Analysis

CM
Cesar Maldonado
Analyst New York, United States January 2023

The Securities Brokering industry primarily serves as an intermediary between investors and investment securities such as stocks, bonds and derivatives. Brokerage firms match a client's buy order with a third party's sell order or fulfill the client's order with their own investment products. In the past five years, industry revenue grew at a CAGR of 4.2% to $188.2 billion, including 0.3% in 2023 alone. The industry has undergone a series of large mergers and acquisitions to better compete with internal and external competition. Also, the industry has shifted to zero commission trades in response to new disruptive mobile trading platforms entering the market. Even as the COVID-19 pandemic caused general havoc in 2020, it had mixed effects on industry revenue.

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What's included in this industry analysis

IBISWorld's research coverage on the Securities Brokering industry in the United States includes market sizing, forecasting, data and analysis from 2013-2028. The most recent publication was released January 2023.

About this industry

What's this industry report about?

The Securities Brokering industry in the United States operates under the NAICS industry code 52312. Companies in this industry act as agents that arrange transactions between securities buyers and sellers on a commission or transaction-fee basis. The Securities Brokering industry continues to converge with various other securities and banking industries due to regulatory, technological and market trends. Related terms covered in the Securities Brokering industry in the United States include alternative trading systems (ats), defined benefit plan, defined contribution plan, electronic communication networks and registered independent advisers (ria).

What's included in this industry?

Products and services covered in Securities Brokering industry in the United States include Brokering and dealing for debt instruments, Brokering and dealing for equities and Brokering and dealing for derivative contracts.

What companies are included in this industry?

Companies covered in the Securities Brokering industry in the United States include Charles Schwab Corp, Bank Of America Corporation and Wells Fargo & Company.

Performance

What's included in the Performance chapter?

The Performance chapter covers detailed analysis, datasets, detailed current performance, sources of volatility and an outlook with forecasts for the Securities Brokering industry in the United States.

Questions answered in this chapter include what's driving current industry performance, what influences industry volatility, how do successful businesses overcome volatility, what's driving the industry outlook. This analysis is supported with data and statistics on industry revenues, costs, profits, businesses and employees.

Products & Markets

What's included in the Products and Markets chapter?

The Products and Markets chapter covers detailed products and service segmentation and analysis of major markets for the for the Securities Brokering industry in the United States.

Questions answered in this chapter include how are the industry's products and services performing, what are innovations in industry products and services, what products or services do successful businesses offer and what's influencing demand from the industry's markets. This includes data and statistics on industry revenues by product and service segmentation and major markets.

Geographic Breakdown

What's included in the Geographic Breakdown chapter?

The Geographic Breakdown chapter covers detailed analysis and datasets on regional performance of the Securities Brokering industry in the United States.

Questions answered in this chapter include where are industry businesses located and how do businesses use location to their advantage. This includes data and statistics on industry revenues by location.

Competitive Forces

What's included in the Competitive Forces chapter?

The Competitive Forces chapter covers the concentration, barriers to entry and supplier and buyer profiles in the Securities Brokering industry in the United States. This includes data and statistics on industry market share concentration, barriers to entry, substitute products and buyer & supplier power.

Questions answered in this chapter include what impacts the industry's market share concentration, how do successful businesses handle concentration, what challenges do potential industry entrants face, how can potential entrants overcome barriers to entry, what are substitutes for industry services, how do successful businesses compete with substitutes and what power do buyers and suppliers have over the industry and how do successful businesses manage buyer & supplier power.

Companies

What's included in the Companies chapter?

The Companies chapter covers Key Takeaways, Market Share and Companies in the Securities Brokering industry in the United States. This includes data and analysis on companies operating in the industry that hold a market share greater than 5%.

Questions answered in this chapter include what companies have a meaningful market share and how each company is performing.

External Environment

What's included in the External Environment chapter?

The External Environment chapter covers Key Takeaways, External Drivers, Regulation & Policy and Assistance in the Securities Brokering industry in the United States. This includes data and statistics on factors impacting industry revenue such as economic indicators, regulation, policy and assistance programs.

Questions answered in this chapter include what demographic and macroeconomic factors impact the industry, what regulations impact the industry, what assistance is available to this industry.

Financial Benchmarks

What's included in the Financial Benchmarks chapter?

The Financial Benchmarks chapter covers Key Takeaways, Cost Structure, Financial Ratios, Valuation Multiples and Key Ratios in the Securities Brokering industry in the United States. This includes financial data and statistics on industry performance including key cost inputs, profitability, key financial ratios and enterprise value multiples.

Questions answered in this chapter include what trends impact industry costs and how financial ratios have changed overtime.

Industry Data

What's included in the Industry Data chapter?

The Industry Data chapter includes 10 years of historical data with 5 years of forecast data covering statistics like revenue, industry value add, establishments, enterprises, employment and wages in the Securities Brokering industry in the United States.

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Frequently Asked Questions

What is the market size of the Securities Brokering industry in the United States in 2026?

The market size of the Securities Brokering industry in the United States is $188.2bn in 2026.

How many businesses are there in the Securities Brokering industry in the United States in 2023?

There are 20,652 businesses in the Securities Brokering industry in the United States, which has declined at a CAGR of 1.9 % between 2018 and 2023.

How may import tariffs affect the Securities Brokering industry in the United States?

The Securities Brokering industry in the United States is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.

How may export tariffs affect the Securities Brokering industry in the United States?

The Securities Brokering industry in the United States is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.

Has the Securities Brokering industry in the United States grown or declined over the past 5 years?

The market size of the Securities Brokering industry in the United States has been growing at a CAGR of 4.2 % between 2018 and 2023.

What is the forecast growth of the Securities Brokering industry in the United States over the next 5 years?

Over the next five years, the Securities Brokering industry in the United States is expected to grow.

What are the biggest companies in the Securities Brokering industry in the United States?

The biggest companies operating in the Securities Brokering industry in the United States are Charles Schwab Corp, Bank Of America Corporation and Wells Fargo & Company

What does the Securities Brokering industry in the United States include?

Securities (e.g. stocks, bonds, currencies, derivatives and options) brokerage and Mutual fund sales are part of the Securities Brokering industry in the United States.

Which companies have the highest market share in the Securities Brokering industry in the United States?

The company holding the most market share in the Securities Brokering industry in the United States is Charles Schwab Corp.

How competitive is the Securities Brokering industry in the United States?

The level of competition is high and increasing in the Securities Brokering industry in the United States.

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