Global fintech investment doubles
Global fintech investment more than doubled in the three months to the end of June to $8.4bn, compared with the previous quarter.
In Europe, Fintech investment surged by a similar amount with over €2bn invested in the quarter.
Global M&A investment helped drive the fintech market rebound, with US$5.9bn in deal value for M&A for the quarter, according to the latest KPMG Pulse of Fintech report.
Anna Scally, a partner at KPMG in Ireland, said fintech investment has made a comeback this quarter – a sign of renewed investor intent – particularly in the US and Europe.
"Corporates are increasingly accounting for significant amounts of fintech investment – a trend that isn’t likely to let up given the need for financial institutions to digitise the customer experience, become more cost efficient, and find new sources of earnings growth," Ms Scally said.
"A growing trend is for smaller, specialised B2C fintechs to form partnerships with other similar startups, allowing them to offer new options to consumers and compete on larger scale."
In terms of Brexit, Ms Scally said fintech companies haven’t had to be as quick as the banks and insurance companies to make decisions.
"But expect to see fintechs increasingly examining their options over the next six months," she said.