Singapore, Singapore / ACCESSWIRE / February 15, 2024 / Derwent Investments, a leading Singapore-based wealth management firm, has released an analysis of the investment landscape in Singapore’s fintech space, highlighting a surge in funding for fintech companies, particularly early-stage and AI-focused. emphasized.
According to Derwent Investment data, AI fintech funding increased significantly in the second half of 2023 (H2 2023), reaching a staggering USD 333.13 million. This jump represents a significant 77% increase compared to the funding recorded in the first half of 2023.
Total investment in the AI sector in Singapore in 2023 reached USD 481.21 million across 24 deals, reflecting the growing importance of AI technologies within the fintech ecosystem.
In a broader context, Singapore’s fintech sector attracted a total of US$2.2 billion in funding in 2023, including mergers and acquisitions (M&A), private equity (PE) and venture capital (VC) deals. Although this figure is a 68% decrease compared to 2022, it underlines Singapore’s enduring position as a major player in APAC’s fintech landscape.
Edward Chandler, director of private equity at Derwent Investments, said: “The resilience of the fintech market, even in a challenging investment environment, highlights its strategic importance. “While recognizing the potential of fintech companies, they are increasing their focus on profitability.”
Despite an overall decline in funding and deal activity, Singapore remains at the forefront of APAC fintech funding, accounting for 21% of deals in the region.
Among notable deals in 2023, a venture capital deal with digital bank AnextBank secured a staggering US$359 million in funding, demonstrating investor confidence in Singapore’s fintech ecosystem. Additionally, insurtech company Volttech has secured US$246 million in funding, further cementing Singapore’s position as a hub for innovative fintech solutions.
Derwent Investments also saw a strategic shift among investors towards early stage companies and seed funding, with 74 and 63 deals respectively. This trend reflects efforts to diversify risk while exploring the commercial viability of new fintech business models.
About Derwent Investments PTE Ltd:
Derwent Investments is a leading Singapore-based wealth management company providing comprehensive financial services and investment strategies to clients across Asia Pacific. Derwent Investments aims to help clients navigate a dynamic and ever-changing market, with a focus on providing customized solutions. For more information about Derwent Investments, please visit https://www.derwentinv.com.
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Organization: Derwent Investments Pte Ltd
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Website: https://derwentinv.com/
Email: [email protected]
City: Singapore
Country: Singapore
sauce: Derwent Investments Pte Ltd
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