US - Compliance Training Market for Financial Institutions by Courses and Delivery Mode - Forecast and Analysis 2023-2027

US Compliance Training For Financial Institutions Market Size 2023-2027

The US compliance training market for financial institutions size is forecast to increase by USD 1.13 billion at a CAGR of 13.65% between 2022 and 2027. The report includes historic market data from 2017 to 2021. One of the key factors driving the market growth is the emergence of cost-effective e-learning training modules. Financial institutions in the US are prioritizing the development of their workforce to adapt to technological improvements and changing business needs. Employees in this sector require updated skills to comply with rules and regulations, particularly in areas such as cyber security, diversity, and code-of-conduct and ethics. The increasing use of internet infrastructure, smart devices, and cloud computing has driven the demand for online training solutions.

Small and medium enterprises (SMEs) and large organizations alike are investing in new solutions to meet the complexities of their businesses, including SMAC technology, enterprise resource planning, and trade analytics and long-term solutions. Compliance training in areas like sexual harassment and cyber security is essential for all employees, regardless of their role or organization size. Driving factors include the increasing reliance on external talent and the need to keep up with laws and regulations. MNCs and legacy systems also necessitate compliance training to ensure smooth operations in areas like supply chain management, transport management systems, and centralized data storage. Offline training is still used, but online solutions offer greater flexibility and accessibility.

What will be the size of the US Compliance Training Market For Financial Institutions During the Forecast Period?

View Sample PDF at your Fingertips

Market Segmentation

This market report also extensively covers market segmentation by courses (professional courses and introductory courses) and delivery mode (offline learning and online learning). This report also includes an in-depth analysis of drivers, trends, and challenges. The market is experiencing growth due to the increasing need for employees to adhere to rules and regulations. This market encompasses small and medium enterprises (SMEs) and large organizations, with technological improvement and changing business needs driving demand. SMAC technology, including the Internet infrastructure and smart devices, facilitates online training solutions. New solutions in this market include sexual harassment training, code-of-conduct and ethics, cyber security, and diversity training. Driving factors include laws and regulations, such as those related to plastic-based containers and cloud computing, centralized data storage, and offline training. Complexity in businesses, including the use of legacy systems, enterprise resource planning, supply chain management, transport management systems, and trade analytics solutions, necessitates ongoing compliance training. MNCs are also significant contributors to this market.

By Courses

The professional courses segment is estimated to witness significant growth during the forecast period. Professional courses can be referred to as domain-specific certification courses, including risk management professional certificate and risk regulation: There is an increasing participation of professional or advanced courses as they offer detailed descriptions and applications of financial compliance concepts by leveraging tools and techniques through exercises unlike introductory courses.

Get a glance at the market contribution of various segments View PDF Sample

The professional courses segment was the largest segment and was valued at USD 445 million in 2017. Several market players in the market are offering professional courses online and on an on-demand basis. For instance, NYIF offers a wide variety of professional certificate courses, including a brokerage operations professional certificate, a credit risk analysis professional certificate, an online professional certificate in asset management, and a financial modeling professional certificate. Furthermore, the company provides these courses using multiple delivery formats. Hence, such factors are expected to fuel the growth of this segment which in turn will drive the market growth during the forecast period.

Market Dynamics and Customer Landscape

The market is experiencing significant growth due to the ever-changing business needs and technological improvements in the industry. Employees in both small and medium enterprises (SMEs) and large organizations require continuous training to adhere to rules and regulations, ensuring information security and regulatory compliance. Training programs cover various topics such as sexual harassment, code-of-conduct and ethics, cyber security, diversity, and partnership strategies. Financial institutions are increasingly investing in cloud computing solutions for long-term compliance training solutions. Learning analytics technologies enable personalized training programs, improving overall effectiveness. Internet infrastructure and smart devices facilitate remote training, making it more accessible and convenient for employees. It is essential for financial institutions to maintain a strong regulatory stance and protect against potential risks. As the financial sector continues to evolve, the demand for comprehensive and up-to-date solutions will persist. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Significant Market Trends

A key factor shaping the market's growth is the introduction of gamification and simulation-based compliance training. The market is experiencing significant growth due to the increasing importance of rules and regulations, technological improvement, and changing business needs. With the advancement of the internet infrastructure and the prevalence of smart devices, online solutions have become increasingly popular. Both small & medium enterprises and large organizations are adopting these new solutions to enhance their programs. Driving factors for this market include the complexity of businesses, the need for cyber security training, code-of-conduct and ethics, sexual harassment training, and diversity training. SMAC technology (Social, Mobile, Analytics, and Cloud) plays a crucial role in this market, enabling centralized data storage and analysis through cloud computing.

Laws and regulations, such as those related to plastic-based containers, require comprehensive training programs. Enterprise resource planning, supply chain management, transport management systems, and trade analytics solutions are also essential components of these programs. Learning analytics facilitates personalized e-learning experiences, predicting employee performance, increasing retention rates, and improving cost efficiency. Technological improvements, such as SMAC technology and learning analytics, are essential for financial institutions to stay competitive in today's business environment.

Major Market Challenge

The availability of open-source training platforms is one of the key challenges hindering the market growth. The market faces challenges due to the availability of open-source training platforms. Employees in both small and medium enterprises and large organizations are required to adhere to rules and regulations. Technological improvement and changing business needs have led to the adoption of SMAC technology and online solutions. Open-source companies offer query, reporting, and training on federal regulations at no cost. This affects the revenue of vendors offering paid introductory courses. Key areas of include sexual harassment, code-of-conduct and ethics, cyber security, and diversity. New solutions include cloud computing, centralized data storage, and offline training. Driving factors for the market include laws and regulations, complex business needs, and the presence of multinational corporations. The market is influenced by the use of plastic-based containers, enterprise resource planning, supply chain management, transport management systems, and trade analytics solutions.

Customer Landscape

The report includes the adoption lifecycle of the market, from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on market penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies. 

Customer Landscape

Who are the Major Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

American Bankers Association: The company offers compliance training for financial institutions which provides day-to-day banking activities, explores critical compliance risk issues and topics, and learns decision-making through team-based exercises.

The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about 16 market companies, including:

• Association of Certified Anti Money Laundering Specialists LLC
• Bank Administration Institute
• ComplianceResource LLC
• Delinian Ltd.
• FINRA
• FORVIS LLP
• Learning Pool
• Lorman Business Center LLC
• MetricStream Inc.
• NAVEX Global Inc.
• New York Institute of Finance Inc.
• Redcliffe TrainingAssociates Ltd.
• Regulatory Affairs Professionals Society
• S.W.I.F.T. SC
• Thomson Reuters Corp.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Market Analyst Overview

Compliance training is an essential aspect for financial institutions to ensure adherence to regulatory requirements and maintain a strong ethical culture. The market is witnessing significant growth due to the increasing complexity of financial regulations and the need to mitigate risks. It covers various areas such as anti-money laundering regulations, data privacy, risk management, and ethical conduct. The use of technology, including learning management systems and e-learning modules, is becoming increasingly popular to deliver training effectively and efficiently. Moreover, the need for continuous training and updating of employees on regulatory changes is driving the demand for compliance training. The global market is expected to grow at a steady pace due to these factors. The market is competitive, with several players offering compliance training solutions. Financial institutions prefer vendors that offer tailored compliance training solutions to their specific needs and regulatory requirements. The market also offers a range of pricing models, including subscription-based and pay-per-use, to cater to different budgets and training requirements. In conclusion, the market is a growing and competitive market, driven by the need to adhere to regulatory requirements and mitigate risks. The use of technology and customized solutions is becoming increasingly important to meet the evolving needs of financial institutions.

The market is witnessing rapid growth, driven by the increasing demand for the e-learning market to conduct corporate compliance training tailored to the specific needs of the industry. Training and development activities, including blended and online training, are crucial for maintaining compliance standards amidst evolving regulations. Leading platforms like Cornerstone and OpenSesame Plus Subscription offer custom-built compliance training solutions, catering to the multilingual and diverse workforce in financial institutions. Interactive training techniques and analytics play a vital role in ensuring learning effectiveness and efficiency, particularly in areas such as information security training and CoC and ethics training. As financial institutions adapt to manufacturing sector shutdowns and work-from-home policies, continuous monitoring strategies and the adoption of new technology are essential for long-term compliance solutions. Through innovative approaches and expertise in cutting-edge technology, the market is set to address the evolving needs of end-use industries while maintaining compliance with regulatory requirements.

Segment Overview

The market report forecasts market growth and provides an analysis of the latest trends and growth opportunities from 2017 to 2027. 

• Courses Outlook 
  • Professional courses
  • Introductory courses
• Delivery Mode Outlook 
  • Offline learning
  • Online learning

Market Scope
Report Coverage	Details
Page number	117
Base year	2022
Historic period	2017-2021
Forecast period	2023-2027
Growth momentum & CAGR	Accelerate at a CAGR of 13.65%
Market growth 2023-2027	USD 1.13 billion
Market structure	Fragmented
YoY growth 2022-2023(%)	12.87
Competitive landscape	Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks
Key companies profiled	American Bankers Association, Association of Certified Anti Money Laundering Specialists LLC, Bank Administration Institute, ComplianceResource LLC, Delinian Ltd., FINRA, FORVIS LLP, Learning Pool, Lorman Business Center LLC, MetricStream Inc., NAVEX Global Inc., New York Institute of Finance Inc., Redcliffe TrainingAssociates Ltd., Regulatory Affairs Professionals Society, S.W.I.F.T. SC, and Thomson Reuters Corp.
Market dynamics	Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

View PDF Sample

What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting between 2023 and 2027
• Precise estimation of the market size and its contribution to the market in focus on the parent market
• Accurate predictions about upcoming trends and changes in consumer behavior
• Market growth analysis across the US
• A thorough analysis of the market’s competitive landscape and detailed information about companies
• Market forecasting of factors that will challenge the growth of market companies 

We can help! Our analysts can customize this market research report to meet your requirements. Get in touch