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Fintech

Fintech investment comes off the boil as valuations cool

The funding frenzy in financial technology has cooled with some investors fearing that valuations have become too heady

Square's IPO priced at less than half a 2014 $6bn valuation
Square's IPO priced at less than half a 2014 $6bn valuation Photo: Getty Images

The funding frenzy in financial technology has cooled with some investors fearing that valuations have become too heady.

The value of deals struck in the fourth quarter of 2015 was 47% down from the previous quarter at $2.21 billion, according to Preqin data. The fall in the number of deals is more modest - 6% - but it is the second quarter in a row of decline.

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