San Francisco-based investment bank Financial Technology Partners, founded by former Goldman investment banker Steve McLaughlin, publishes some excellent research for the fintech sector and has just released their “Q2 2019 Fintech Insights” report.
For wealth managers with personal and/or client investments in financial technology, the report offers insights into sector investment trends (remember, fintech is very broad-based), markets that are trending the highest for investment and the current key movers and shakers in the space.
According to the firm, their latest Q2 2019 research reveals the following:
• “Global FinTech financing volume in Q2 2019 reached $10.9 billion, making it the second most active quarter ever. When excluding Ant Financial's $14 billion financing round in Q2 2018, Q2 2019 was the most active quarter ever. 52% of the FinTech financing volume in 2019 year-to-date came from North America.
• 2019 is on track to be the second strongest year ever for global fintech financing volume.
• Q2 2019 included 24 financing rounds that were $100 million or more, a 20% increase over the 20 in Q2 2018.
• The largest financing of the quarter was Greensill's $800 million funding round led by SoftBank, while the largest North American financing was UiPath's $568 million Series D round led by Coatue.
• Both Europe and North America are trending towards all-time highs for total financing volume in 2019, while Asia is holding steady at historical levels (when excluding Ant Financial's mega rounds from 2016 and 2018).
• Venture appetite for fintech remains strong, with nine VC firms making 10 or more new and follow-on investments during the first half of 2019.
• Strategic participation in FinTech financing also remains strong, with four corporate venture firms making more than 5 new and follow-on investments during the first half of the year.