2023 Annual Fintech Market Update Report

DATE: 2023
 

Our 2023 Annual Fintech report is out: get an overview of the latest industry developments, as well as our predictions for the Fintech space in 2024!

In the public markets, all Fintech verticals displayed strong growth with an average performance of c.20% QoQ and c.25% yearly across the entire set (excluding Crypto). The insurance and other fintech verticals had particularly strong years, each growing by 30%+.  B2C Fintech stocks outperformed their B2B peers in 2023 (38% vs 23% growth, respectively), although the latter group still displays more resilience in general since the start of 2022.

In terms of financing, 2023 saw a decrease in deal activity due to tightening market conditions and more stringent investment criteria. Fintech fundraising declined YoY, amounting to c.900 transactions and $41bn raised (vs c.1,100 transactions and $69bn in 2022).

On the M&A/LBO front, Nasdaq’s record $10.5bn acquisition of Adenza was the largest transaction of 2023 and is illustrative of the consolidation and mega deals trend that was felt across the Fintech landscape, specifically across the payments and Capital Markets and Wealth Management verticals. Given the increasing private equity activity, our report also includes the recent most notable private equity buyouts and exits.

Our report also includes an overview of recent IPO and SPAC activity, as well as an overview of the performance of SPACs listed from 2021 onwards. It also provides an overview of active investors across the venture capital  and private equity  sectors and a deep dive on financing for balance sheet  and B2B businesses.

Indicative Exhibits