Future of Finance: FinTech Investments Triple to $12bn in 2014
Consultancy firm Accenture’s new report – ‘The Future of FinTech and Banking’ – highlights some interesting trends in global financial technology and the markets that are seeing the most growth.
Global investment in financial technology or ‘FinTech’ spiked in 2014 reaching more than $12bn in investment, demonstrating that the digital revolution in the sector is well underway. As FinTech companies continue to grow and disrupt the financial services industry, established financial institutions are taking big steps to make sure they stay ahead of the trend.
Global FinTech Investment Explodes in 2014
Global FinTech investment jumped 201% between 2013 and 2014, breaking the $12bn mark across more than 730 deals. The US still leads the way in terms of market share, but Europe experienced the highest level of growth, with an increase of 215% (year-on-year).
UK and Ireland Continue to Dominate European FinTech
Whilst the UK and Ireland dominate Europe’s FinTech investment, the rest of Europe is showing promise: the most significant levels of investments were in the Nordic countries ($345 million), the Netherlands ($306 million) and Germany ($82 million).
Silicon Valley Increases its FinTech Investment Pace
FinTech investment growth in the UK and Ireland was slightly slower (up 136% to $623 million) although the region accounted for 42% of European investment. Following a relatively slow 2013, FinTech investment in Silicon Valley more than doubled (117%), pushing the start-up hotspot over the $2 billion mark, more than the total investment in Europe ($1.48 billion).
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