Disclosure Management Market Size

Disclosure Management Market Analysis

The Disclosure Management Market size is estimated at USD 1.20 billion in 2024, and is expected to reach USD 2.56 billion by 2029, growing at a CAGR of 16.5% during the forecast period (2024-2029).

• Disclosure management in reporting assists organizations in creating and editing visually labeled extensible business reporting language (XBRL) filings to a regulatory body, such as a 10K or 10Q filed to the SEC or comparable government agencies. Financial statements, comments, and supporting schedules can be compiled in Microsoft Excel or Word and then mapped and delivered in PDF, XBRL, HTML, or EDGAR formats.
• The evolution of digital technologies has revolutionized the way financial disclosures are managed. The rise in artificial intelligence and automation usage is one of the key trends in this space. Automation enables streamlining processes, reducing errors, and improving disclosure management accuracy. Artificial intelligence (AI)-driven solutions can automate document review, data extraction, and analysis tasks. This authorizes faster processing times and improved precision when dealing with large volumes of data. Data management and security have also become increasingly essential considerations regarding financial disclosure management.
• Several multinational companies, including Comcast, Coca-Cola, Pfizer, and Procter & Gamble, have implemented AI-led automation tools to improve their financial reporting processes. By using machine learning algorithms, cloud-based platforms, and visualization software, these companies have reduced the time taken for financial reporting, improved the accuracy of their financial data, complied with regulations, and made more informed decisions based on their financial data.
• The improved focus on regulatory requirements and standards has led to more stringent enforcement actions against those firms that fail to adhere to them, resulting in higher fines and fines imposed upon violators. Furthermore, the shift toward more significant transparency has been further accelerated by the evolution of blockchain-based solutions, which allow secure real-time sharing of confidential data between parties without requiring third-party intermediaries, thus decreasing costs and complexity associated with conventional methods.
• There is a rising focus on sustainability reporting, which mandates companies to disclose environmental effects along with conventional financial performance metrics such as income growth or profit margins to better notify stakeholders about their overall implementation across multiple dimensions rather than just focusing solely on short-term gains at the expense of long-term viability. These are expected to drive the demand in the disclosure management market.
• However, constraints related to regulatory disclosure processes are expected to challenge the growth of the market studied. With the recent uptick in the adoption of the cloud among different end-users, the impact of the COVID-19 pandemic had further accelerated the offerings of DAM systems. For instance, according to a survey by MariaDB, 40 percent of global respondents were revving their move to the cloud, and 51 percent were planning to drive more applications to the cloud to prepare for future COVID-19 shutdowns. Such trends augmented the demand for cloud-based disclosure management solutions in the market.