KPMG reveals that the global fintech market continues to grow rapidly
In KPMG’s latest “The Pulse of Fintech” report, the auditing giant revealed that the global fintech market has continued to grow at a rapid rate, with total funding reaching $8.2bn across 274 deals in Q3 2017.
Although this deal volume was actually down from the $9.3bn recorded in Q2, year-on-year this was well up on the $6.3bn raised in Q3 2016.
The reason for continued growth can largely be attributed to the number of venture capital investments made in fintech firms through Q3, with this sitting at a five quarter high of $3.3bn. However, in addition to this, a large reason as to why there is continual growth is due to the industry’s diversity.
“The fintech market continues to rapidly evolve with an increasing diversity of funding participation and sources, geographic spread and areas of interest,” says Ian Pollari, Global Co-Lead, KPMG Fintech.
“We are seeing the emergence of fintech leaders who are looking to expand internationally to scale their platforms, as well as large technology giants moving into adjacencies to create new value for their customers. This is a trend that is expected to continue and could force incumbent financial institutions to take bolder steps in response.”
Moving forward, KMPG pinpoints the likes of blockchain, AI and insurance technology (Insurtech) as areas that it expects to see strong investments in the near future.