Risk Analytics Market

Market Definition

The market encompasses advanced analytical solutions and methodologies used to identify, quantify, and mitigate risk across critical business functions. It includes risk management platforms, predictive modeling tools, analytical engines, and visualization systems. 

The market covers applications within financial services, healthcare, manufacturing, energy, and telecommunications, enabling precise assessment of credit, operational, compliance, and cybersecurity risks. The report examines industry trends, regional developments, and regulatory frameworks impacting market growth through the forecast period.

Risk Analytics Market Overview

The global risk analytics market size was valued at USD 33.62 billion in 2024 and is projected to grow from USD 36.41 billion in 2025 to USD 68.97 billion by 2032, exhibiting a CAGR of 9.55% during the forecast period. 

Increasing cyber threats and rising integration of ESG risk factors into analytics frameworks are compelling enterprises to adopt advanced, comprehensive risk analytics solutions, driving the market.

Major companies operating in the risk analytics industry are Moody’s Corporation, Marsh LLC., FIS, Aon plc., EY, PwC., WTW., Lockton Companies., Oracle, IBM, SAP SE, Riskonnect, Archer Technologies LLC., Z2Data, and SafetyCulture.

The market is driven by the growing integration of cloud-based platforms that provide scalable infrastructure, real-time data processing, and enhanced accessibility. These solutions support dynamic risk modeling, streamline analytics workflows, and reduce reliance on traditional systems. 

As enterprises seek agile and cost-efficient risk management frameworks, cloud adoption continues to accelerate, reinforcing the market’s expansion across finance, healthcare, and manufacturing sectors.

Key Highlights:

1. The risk analytics market size was valued at USD 33.62 billion in 2024.
2. The market is projected to grow at a CAGR of 9.55%% from 2025 to 2032.
3. North America held a market share of 36.54%% in 2024, with a valuation of USD 12.28 billion.
4. The software segment garnered USD 19.64 billion in revenue in 2024.
5. The financial risk segment is expected to reach USD 23.91 billion by 2032.
6. The on-premise segment secured the largest revenue share of 58.51% in 2024.
7. The small and medium-sized enterprises (SMEs) segment is poised for a robust CAGR of 10.95% through the forecast period.
8. The banking, financial services, and insurance (BFSI) segment garnered USD 12.02 billion in revenue in 2024.
9. The market in Asia Pacific is anticipated to grow at a CAGR of 10.81% during the forecast period.

Market Driver

Rising Cybersecurity Threats

The market is driven by increasing incidents of cyber threats, including ransomware, phishing attacks, and data breaches. These increasing risks compel enterprises to implement advanced analytical tools for early threat detection, real-time monitoring, and effective risk mitigation.

Growing digital vulnerabilities are accelerating the adoption of comprehensive risk analytics solutions across industries to safeguard critical assets and ensure regulatory compliance.

• In February 2025, the World Economic Forum reported that the cyber threat landscape will be dominated by increasingly sophisticated attacks, with ransomware, social engineering, and AI-driven cybercrime continuing to pose major concerns.

Market Challenge

Data Integration Complexities and Evolving Regulatory Requirements

The risk analytics market faces challenges related to the integration of diverse data sources and the management of large volumes of unstructured data, which complicate accurate risk assessment. Additionally, evolving regulatory requirements demand continuous updates to analytical models, increasing operational complexity. 

Several companies are investing in advanced analytics platforms with enhanced data processing capabilities and ML algorithms. Collaborations with regulatory bodies are also pursued to ensure compliance and facilitate the development of adaptable risk management frameworks.

Market Trend

Integration of ESG Factors in Risk Analytics

The market is characterized by the increasing integration of environmental, social, and governance (ESG) risk factors into analytical frameworks. The emphasis on incorporating comprehensive ESG data alongside traditional risk metrics is growing. 

This trend demonstrates wider adoption across industries, reflecting a shift toward more holistic risk assessment models that address evolving regulatory requirements and stakeholder expectations in diverse business environments.

• In October 2024, EY released a Handbook on Environmental, Social, and Governance (ESG) Implementation and Disclosure for the Vietnamese business community. This handbook provides businesses with guidelines and reference materials to embed ESG into their governance, strategy, and operations, enabling them to manage risks and capitalize on sustainability-related opportunities.

Risk Analytics Market Report Snapshot

Segmentation	Details
By Component	Software (Extract, Transform, and Load (ETL) Tools, Governance, Risk, and Compliance (GRC) Software, Scorecard and Visualization Tools, Others (Risk Monitoring and Strategic Planning Tools, portfolio management, operational risk management, human resource risk management), Services (Consulting, Implementation & Integration, Customization and Training Services)
By Type	Financial Risk, Operational Risk, Compliance Risk, Others (Reputational Risk, Strategic Risk, Environmental Risk)
By Deployment Mode	On-premise, Cloud-based
By Enterprise Size	Large Enterprises, Small and Medium-sized Enterprises (SMEs)
By Industry Vertical	Banking, Financial Services, and Insurance (BFSI), IT and Telecommunications, Retail and Consumer Goods, Healthcare and Life Sciences, Others (Manufacturing, Energy and Utilities, Government and Defence)
By Region	North America: U.S., Canada, Mexico
	Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe
	Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific
	Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa
	South America: Brazil, Argentina, Rest of South America

Market Segmentation:

• By Component (Software and Services): The software segment earned USD 19.64 billion in 2024, due to its ability to provide advanced data processing, real-time analysis, and scalable solutions that enhance decision-making accuracy and efficiency.
• By Type (Financial Risk, Operational Risk and Compliance Risk): The financial risk segment held 38.54% share of the market in 2024, due to the increasing need for organizations to manage and mitigate risks related to market fluctuations, credit, and liquidity effectively.
• By Deployment Mode (On-premise and Cloud-based): The on-premise segment is projected to reach USD 39.06 billion by 2032, owing to the preference of organizations for greater data security, control, and customization of risk management solutions.
• By Enterprise Size (Large Enterprises, Small and Medium-sized Enterprises (SMEs)): The large enterprises segment earned USD 18.26 billion in 2024, due to its higher budget allocation and greater demand for comprehensive risk management solutions to safeguard complex operations.
• By Industry Vertical (Banking, Financial Services and Insurance (BFSI), IT and Telecommunications, Retail and Consumer Goods, Healthcare and Life Sciences): The banking, financial services, and insurance (BFSI) segment held 35.75% share of the market in 2024, due to the critical need for robust risk assessment and regulatory compliance in managing large volumes of financial transactions and exposures.

Risk Analytics Market Regional Analysis

Based on region, the global market has been classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.

North America accounted for 36.54% share of the risk analytics market in 2024, with a valuation of USD 12.28 billion. This market dominance is attributed to its mature financial sector and widespread adoption of advanced analytics technologies. 

The region’s robust data infrastructure, combined with increasing regulatory compliance requirements, drives the demand for sophisticated risk management solutions. Additionally, significant investments in AI and ML enhance predictive capabilities, enabling proactive risk mitigation. These factors collectively reinforce North America’s dominant position in the market.

The risk analytics industry in Asia Pacific is poised for significant growth at a robust CAGR of 10.81% over the forecast period. This growth is attributed to the increasing adoption of cloud-based analytics platforms offering scalability and cost efficiency. 

The region is witnessing a surge in small and medium enterprises (SMEs) embracing digital solutions, further fueling demand. Additionally, governments are implementing initiatives focused on enhancing cybersecurity and data protection, accelerating the integration of risk analytics and positioning Asia Pacific as a key growth region in the global market.

Regulatory Frameworks

• In the U.S., the Securities and Exchange Commission (SEC) oversees risk analytics in the financial sector, mandating firms to implement comprehensive risk management and reporting protocols to protect investors and ensure the integrity of the financial system.
• In China, the China Banking and Insurance Regulatory Commission (CBIRC) oversees risk management practices across the banking and insurance sectors, mandating the use of analytical tools to assess credit, operational, and financial risks in accordance with prudential regulatory standards.

Competitive Landscape

The risk analytics market is registering continuous product launches aimed at expanding analytical capabilities and enhancing precision in risk assessment. Key players are introducing advanced platforms and solutions tailored to evolving enterprise requirements across finance, healthcare, and insurance. 

These launches are focusing on real-time data processing, integration flexibility, and regulatory compliance. The competitive landscape is being shaped by the continuous rollout of differentiated offerings to strengthen market positioning.

• In January 2024, Tech Mahindra announced the launch of i.Riskman, an ESG risk assessment platform aimed at helping organizations identify, evaluate, and manage climate-related risks. i.Riskman offers a centralized, scalable enterprise risk management solution with an automated risk register, real-time analysis, advanced data visualization, and access to the latest climate models enabling informed decision-making with up to 95th percentile accuracy on financial risk impact.

 List of Key Companies in Risk Analytics Market:

• Moody’s Corporation
• Marsh LLC.
• FIS
• Aon plc.
• EY
• PwC.
• WTW.
• Lockton Companies.
• Oracle
• IBM
• SAP SE
• Riskonnect
• Archer Technologies LLC. 
• Z2Data
• SafetyCulture

Recent Developments (M&A/ Launches)

• In April 2025, Aryza acquired RiskLogix Solutions, a provider of governance, risk, and compliance solutions, strengthening its Credit & Debt Lifecycle Management SaaS portfolio. The integration offers an expanded range of products and services, creating a comprehensive solution that meets evolving market needs. Combining the capabilities of both companies is expected to enhance functionality and deliver increased value to customers.
• In May 2024, Marsh McLennan unveiled Sentrisk, an advanced AI-driven platform integrated with advisory services, aimed at transforming how businesses manage global supply chain risks. Amid rising geopolitical tensions and climate-related disruptions impacting critical goods, energy, and food logistics, Sentrisk helps organizations gain deeper insights into supply chain vulnerabilities and enhance their operational resilience.
• In March 2024, Signal AI introduced Ask AIQ, an innovative conversational and agentic AI solution designed for reputation and risk professionals. This advanced AI-powered analytics tool revolutionizes how enterprises gather, interpret, and act on risk and reputation intelligence. It enables executives to address complex and urgent business queries with exceptional speed, precision, and regulatory compliance.