2016 was another year for a thriving fintech sector. Analytics providers have gathered numbers and opinions on how the Fintech industry did in 2016, and trends in different markets. CB Insights present an in-depth view of the global fintech scene while Fintech Mundi and Magna Carta Communications have created a report on the Nordic fintech scene. The report findings are based on a survey of Nordic business executives take on the trends in the fintech industry.
Key findings from CB Insights
- VC-BACKED FINTECH COMPANIES RAISE $12.7B ACROSS 836 DEALS IN 2016: Global investment to venture-backed fintech companies retreated from 2015’s high. On a year-over-year basis, funding to VC-backed fintech companies fell 13%. Deals dropped 1%.
- 22 FINTECH UNICORNS GLOBALLY VALUED AT $74B: The United States counts 11 of the 22 billion-dollar fintech companies, Europe counts four, while Asia counts seven not including the financial affiliates of China internet juggernauts JD.com and Alibaba.
- EUROPE FINTECH DEAL ACTIVITY REACHES FIVE-YEAR HIGH: In 2016, European VC-backed fintech companies raised $1.2B across 179 deals. While funding fell 25% on a year-over-year basis, European fintech deals rose 11% in 2016 and 124% compared to 2012’s total.
Key findings from Fintech Disruptors Report, Nordic Edition
- Over the last eighteen months, the region has seen the launch of six dedicated fintech accelerators, often backed or financed by regional banks.
- Compared with other parts of Europe – where fintech is more typically focussed on payment technologies – Nordic fintech innovation is broader-based with innovation focusing on a wider range of areas including new platforms for financial services delivery, security and authorisation and customised services for small business.
- Respondents predict a huge upsurge in levels of funding and in merger and acquisition activity in the sector over the next two years.
- Respondents believe that AI, Big Data and Machine Learning techniques are growing in importance, as well as better security and authorisation.