Global FinTech investment more than doubles

Investment in financial technology ventures more than doubled across the world last year, with the UK and US both enjoying record levels of fundraising.


Friday 1

Global FinTech investment more than doubles

That is according to research by consultancy firm Accenture, which shows that FinTech investment reached $55.3bn (£41.8bn) in 2018, compared with $26.7bn the previous year.


The number of deals worldwide increased by 20%, and rose by 46% and 56% in the US and UK respectively.


But it was China that enjoyed the most investment, with deal value in the country increasing nine-fold to $25.5bn – nearly as much as the global total recorded in 2017.


“Even with the current volatility in global markets, and ongoing macroeconomic concerns, investment in the FinTech sector remains strong,” said Accenture’s financial services group chief executive, Richard Lumb, said.


“The demand for FinTech innovations by financial services companies continues to grow as they face regulatory and capital pressure, competition from new entrants and evolving security threats.”


How FinTech investment has changed since 2010 is shown below:

source: accenture


China accounted for 46% of all investments last year, which was largely thanks to $14bn of funding raised by Ant Financial, perhaps best known for its Alipay mobile payments service.


The value of deals in the US rose sharply to $16.6bn, although there was no single deal worth more than $1bn, despite the country historically having the busiest market.


There were also broad gains elsewhere around the world, with record fundraising in Canada, Australia, Japan and Brazil. Specifically, investments in Japan jumped more than five-fold to $542m.


And in the UK, investment increased by more to $3.9bn as the country launched new Open Banking regulations to make it easier for customers to share financial data with third party providers.


“There was much talk about how uncertainty due to Brexit would grip the success of FinTech from the UK,” Lumb continued. “However, our analysis shows that London, a pioneer in Open Banking, remains the FinTech capital of Europe.


“It’s vital that London continues to foster an environment that encourages competition in the banking industry, irrespective of uncertainty, and that banks continue to modernize their services for the digital age.”


Most popular

  1. Blockchain transaction value to rocket over coming years

    The value of global blockchain transactions is set to reach an unprecedented $3.4trn by 2023 as financial institutions increasingly look to the technology to improve their bottom lines.

    Wednesday 17

    17 April 2019

  2. Insurers told to prepare for new wave of digital disruption

    Insurance companies will have to offer personalised policies delivered in real-time if they are to thrive in a ‘post digital’ era, consultancy firm Accenture has warned.


    Friday 12

    12 April 2019

  3. Global businesses failing to scale automation technologies

    Investment in intelligent automation (IA) technology has failed to deliver fast enough returns, with many projects still stuck in “pilot mode”.


    Tuesday 2

    02 April 2019

White paper

  • Quarterly InsurTech Briefing Q1 2017

    Why InsurTech? A Pressured Insurance Value Chain

    By Andrew Sagon, Andrew Johnston and Matthew Wong

    InsurTech is a burgeoning phenomenon that is modernising the insurance industry. It is disrupting the traditional value chain whereby insurers offer loss protection, and shifting the emphasis to risk mitigation. Incumbents face disintermediation as investors in search of higher yields pour money into insurance-linked instruments in the capital markets. And entrepreneurial businesses are targeting friction costs and inefficiencies within every aspect of the traditional value chain.



  • Insurance big data – float like a butterfly, sting like a bee

    Nimbleness and agility will unlock potential

    By Elinor Friedman, Andrew Harley and Klayton Southwood

    Recent Willis Towers Watson surveys in the U.S. have shown that P&C and life insurers in developed markets are taking seriously the potential of big data and predictive analytics to improve their businesses. Nimbleness and agility, rather than brute force, are likely to be key to realizing that potential.

    Download PDF

  • The new era of insurance analytics

    Driven by technology, toolkits and talent

    By Claudine Modlin and Graham Wright

    Advanced analytics is helping some insurers offer innovative products and solutions. What do insurers need to know about the changing nature of analytics and whether it is worth the investment? Claudine Modlin and Graham Wright discuss technology, toolkits and talent — topics that may help you decide.

    Download PDF

  • How can we manage the dynamic nature of cyber-risk?

    Risk transfer is part of a comprehensive solution

    By Adeola Adele, Patrick Kulesa, Kevin Madigan and Alice Underwood

    Given the dynamic nature of cyber-risk, taking a multidimensional approach that integrates board governance, technology solutions, behavioral change and risk transfer solutions can help reduce risk to a manageable level.

    Whitepaper Form