Forest vertical stratification directly affects the transfer of solar radiation and water evapotranspiration in the canopy. Consequently, leaf photosynthesis varies in different parts of the canopy, affecting the growth of trees and the succession process of the plant community. The vertical distribution of forest structural parameters, such as the leaf area index (LAI) and clumping index (CI), is critical not only for understanding of the forest carbon, nitrogen, and water cycles and remote sensing radiative transfer processes, but also for forest monitoring and management practices. Forest vertical LAI and CI can be obtained through field measurement and remote sensing inversion methods. For field measurements, LAI-2200, digital hemispherical photography, and photosynthetically active radiation sensors are frequently used instruments. Vertical structural measurements are usually carried out through destructive sampling, tower-base measurement, and mobile elevators. In general, field measurements are more accurate; however, they are time-consuming and laborious, making them unsuitable for large-scale applications. Remote sensing technology uses the passive optical method, the light detection and ranging (LiDAR) technology, and synthetic aperture radar (SAR) methods to estimate forest vertical LAI and CI. The classical passive optical method is based on either the empirical vegetation index estimation method or physical model inversion method. The vegetation index method establishes an empirical relationship between vegetation structural parameters and vegetation indices. Subsequently, the relationship is used to estimate the structural parameters for different layers. The physical model inversion method is based on a physical radiative transfer model. In general, the application of both passive optical and SAR methods in forest vertical parameter retrieval is limited. As an active remote sensing technology, the LiDAR technology has shown its unique advantages in the inversion of vertical structural parameters. Based on the platform used, LiDAR can be classified into three categories: Terrestrial laser scanning (TLS), airborne laser scanning (ALS), and spaceborne laser scanning. The basic rationale of the LiDAR technology is based on the Beer-Lambert Law, which estimates canopy LAI and CI from the canopy gap fraction; both empirical statistical and physical inversion methods are used during the process. The use of LiDAR to estimate LAI and CI is gaining popularity worldwide, but most of the research is based on TLS and ALS. The development of new space-based LiDAR technologies, such as the Global Ecosystem Dynamics Investigation on the International Space Station, will greatly advance the acquisition of forest vertical structural information on a global scale. However, the relatively complex operation and data processing requirements have limited its widespread application. The vertical distribution of forest LAI can be represented by the normal, Weibull, beta, chi-square, and Johnson’s S-B distributions. The CI values usually decrease with the increase in canopy height because the upper part of the canopy usually has larger gaps. However, mature global vertical LAI and CI products that can meet the application requirements are currently unavailable. Due to the limits of ground measurements, forest vertical LAI and CI retrieved from remote sensing lack sufficient ground validation. In field measurements, the LAI values of trees, shrubs, and herbs should be acquired simultaneously in order to validate the remote sensing LAI. The development of wireless sensor networks and unmanned aerial vehicles provides convenient and effective methods to obtain a large amount of vertical structural information useful for validation purposes. Forest vertical LAI and CI have been applied in land surface and radiative transfer models and forest management studies. In future research, new field measurement and remote sensing inversion methods should be explored. Various LiDAR data sources can be used to generate high-quality vertical structural products, and these vertical products should be fully validated to better meet the requirements proposed by the research and management communities.