The report below gives a good overview of the Winter 2022 M&A activity in the Financial Services/Fintech Industry Sector. The financial services sector is estimated to reach $26.5 trillion by 2023, as per a report published by The Business Research Company. Environmental, social concerns and technology modernization are shaping the financial services industry.
The Covid-19 pandemic showed that the banking sector is more resilient than it was during the 2008 financial crisis as the banks did not suffer any unusual losses this time. According to a survey conducted by Mckinsey, out of 599 financial institutions, 65 institutions outperformed, and rest were at either loss or realized small gains. Most of the businesses that outperformed used a specialized, low-capital business model or operated in fast developing markets. In banking sector, digital banking accelerated, cash use decreased, savings increased, remote working became a part of life, and customers and authorities are more concerned about the environment and sustainability. Banks can currently take advantage of new opportunities by serving the undeserved communities and emphasize on clean energy as world move towards ESG. Moreover, Insurers are including climate mitigation into their overall company strategies, risk management and investment portfolios. Global fintech market has benefited from the popularity of digital payments, higher investments in technology-based solutions, favorable government legislations, and increased acceptance of IOT devices.
Posted by David Sinyard.
Read the Entire Winter 2022 Financial Services/Fintech Report Here