In the United States, Latinos historically have not had access to many of the benefits of financial services, which has contributed to persistent inequalities. But there’s an opportunity for institutions to better serve customers and boost revenues, find senior partner Lucy Pérez and colleagues. For example, our analysis shows that revenue from Latino households (whom we refer to as savers) and from small and medium-size businesses in the financial-services market could grow from $170 billion in 2022 to approximately $265 billion by 2030.
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A series of square tree-map pie charts show the proportional share of financial-services revenues from Latino savers and Latino small and medium-size businesses in billions of dollars. The first square shows 2022 at a total of $172 billion, segmented into 3 areas: bank, $69 billion; insurance, $92 billion; and wealth management, $11 billion. The second square shows a 2030 projection, where the total is $265 billion segmented into 3 areas: bank, $103 billion; insurance, $140 billion; and wealth management, $22 billion. The 3rd square represents the full potential, a scenario in which Latino market penetration and utilization rates equal those of their non-Latino White counterparts, at a total of $425 billion segmented into 3 areas: bank, $157 billion; insurance, $218 billion; and wealth management, $50 billion.
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To read the report, see “The economic state of Latinos in America: Advancing financial growth,” December 11, 2023.