FinTech Global

Daily research from FinTech Global California continues to dominate the US RegTech space with a third of all deals in Q3 In Q3 2024, the US RegTech market experienced a notable decline in both funding and deal activity. The sector recorded 93 funding rounds, marking a 40% drop from the 155 deals completed in Q3 2023. RegTech companies in the US raised $855m during Q3 2024, a significant 58% decrease from the $2.03bn raised in the same period last year. This steep decline in both funding and deal volume reflects the broader challenges faced by the US RegTech sector, as economic uncertainty and investor caution have slowed down the pace of investments. California remained the most active RegTech market in the US, with companies in the state completing 30 deals (32.26% share) in Q3 2024, a 33% decrease from the 45 deals closed in Q3 2023. Notably, California's share of total RegTech deal activity increased, underscoring its continuing influence in the sector despite fewer deals. New York followed with 13 deals (13.98% share), down from 18 deals in Q3 2023, while Florida took the third spot with seven deals (7.53% share), replacing Massachusetts, which was the third most active state in Q3 2023 with 12 deals. The dominance of California and New York in deal activity highlights the concentrated interest in these key markets, even as overall deal activity has slowed. Vanta, a leading online security and compliance management platform, secured the largest US RegTech funding in Q3 2024 with a $150m investment led by Sequoia Capital, boosting its valuation to $2.45bn. This strategic funding will enable Vanta to advance its AI-driven platform, pushing the boundaries of compliance automation while expanding into the UK and Australian markets. With support from heavyweight backers like Goldman Sachs and JPMorganChase Chase, this latest round brings Vanta’s total funding to $353m since its founding in 2018. Serving over 8,000 clients, including companies like SmartRecruiters and ZoomInfo, Vanta’s platform accelerates compliance certification through process automation, replacing legacy compliance tools and positioning it as a pivotal player in the RegTech landscape.

⏰ Just 1 week left until Europe's most senior level gathering of #WealthTech leaders and innovators! ⏰ 🤝 Connect with industry leaders and innovators at the Global WealthTech Summit in London on Wednesday, 6 November. 📢 Hear from WealthTech leaders and innovators (part two in comments) -  Ross Liston, CEO, M&G Wealth Stuart Gunderson, Chief Operating Officer, Compliance Officer and MLRO, Seilern Investment Management Ltd Esa Kalliopuska, Chief Operating Officer - Distribution EMEA, Invesco Ltd. Matthew McLoughlin, Chief Commercial Officer and Partner, Liontrust Asset Management PLC Iain Cowell, Head of Wealth Technology & Customised Investment Solutions (EMEA, APAC), Franklin Templeton Carolina Bouvard Nuño, Global Head of Technology and Operations, Wealth Management and Insurance, Santander Elliott O'Brien, Partner & Head of Business Transformation, LGT Wealth Management Nigel Guy, Director and Head of Data Migration & Data Transition, Sumitomo Mitsui Banking Corporation – SMBC Group Diane O'Connor FPFS MBA CMgr FCMI, Head of Private Client Area Consultancy, St. James’s Place Tom Cunningham, Head of Investment Operations & Change, Hargreaves Lansdown Corinne Lord, Senior Investment Specialist, St. James’s Place Marie Dzanis, Former Chief Executive, Asset and Wealth Management, Industry Veteran Sonia Bainbridge, Head of Digital Distribution, EMEA, Invesco Ltd. Vipul Kapur, Head of Private Banking, Mashreq Bank Peter Lane, Co-Founder and Chief Commercial Officer, Jacobi Asset Management James Lawson, Co-Founder and Managing Partner, Tribe Impact Capital Zy Wernham CFA, Head of Investment Journey, HSBC Private Banking Stela Willemstein, Director, Group Frameworks Risk Management, UBS Alpesh Doshi, Managing Partner, Redcliffe Capital Nataliya (Kozachenko) Johnson, Founder and Chief Executive Officer, VASANT CAPITAL 🔝 See the latest innovation in the market from the leading disruptors (in comments)🔝 Limited tickets remaining, join the guest list now – https://lnkd.in/gaxqdvx #GWTS24

📢 Our latest speaker taking the stage at the Global WealthTech Summit – Dramane Meite, CFA, Head of Product, New Markets at Hashdex 📢 Dramane will be speaking on the panel titled: Risk Management in a New Era. Register to hear from the industry leaders shaping the #WealthTech landscape of tomorrow - https://lnkd.in/gaxqdvx #GWTS24 #Wealth

💡How can you enhance your organisation's compliance and client experience in the onboarding journey?💡 Get your questions ready for this Panel Discussion at the AML & FinCrime Tech Forum in London on 4 December, featuring: Pradeep Kochar - CAMS, CFCS, Managing Director – Head of CDD W&R, Rabobank Sadeque Ahmed, Executive Director, Product Lead - Client Onboarding & KYC Platform, JPMorganChase Mitul Malde, Head of Correspondent Banking and Onboarding, GHIB- Ghana International Bank Register for your ticket today - www.amltechforum.com #AMLTechForum24

FinTech Global news you can't afford to miss from yesterday 👉 New Napier AI report highlights $3.13trn potential savings with AI in AML compliance 👉 How AI is transforming compliance programs in the regulatory landscape 👉 The hidden costs of building in-house AML screening tools 👉 Navigating regulatory changes with pKYC for enhanced due diligence 👉 Nigerian FinTech Moniepoint Group secures $110m in Series C funding Mariya Pattara Greg Watson Salv Jacob Story Lucy Heavens 4CRisk.ai Yo McDonald Moody's Tinuke Bernard

📢 Our latest speaker taking the stage at the AI in Financial Services Forum – Mandy Louise Rawlinson, Head of Client Risk and Governance at abrdn 📢 Mandy will be a Speaker on the Panel Discussion: Navigating Compliance Challenges with the help of AI. Register to hear from the industry leaders shaping the #AI landscape of tomorrow - www.AIFinTechForum.com #AIFinTechForum24

📢 Our latest speaker taking the stage at the Global WealthTech Summit – Denny Dewnarain, Chief Product Officer at Amundi 📢 Denny will be Moderating the Panel Discussion: One Size Doesn’t Fit All: The Personalisation Revolution Register to hear from the industry leaders shaping the #WealthTech landscape of tomorrow - https://lnkd.in/gnqJeKK #GWTS24 #Wealth

New Napier AI report highlights $3.13trn potential savings with AI in AML compliance Napier AI, a RegTech company offering a range of compliance tools and services, has launched its inaugural AI / AML Index, revealing that artificial intelligence could enable global economies to save $3.13trn annually by enhancing the detection and prevention of money laundering and terrorist financing. This report, produced in partnership with GlobalData, ranks 35 nations by their AML (anti-money laundering) effectiveness, highlighting both high and low-performing regions. Read the story here: https://lnkd.in/gsThsNGT The AI/AML Index can be downloaded for free here:  https://bit.ly/3YqCnUE #FinTech #RegTech #AML Mariya Pattara

📢 Our latest speaker taking the stage at the Global WealthTech Summit – Alex Taylor Noble, Head of Digital at The Bank of London 📢 Alex will be a Speaker on the Panel Discussion: Bridging the Gap: Improving Communication Between Managers & Clients. Register to hear from the industry leaders shaping the #WealthTech landscape of tomorrow - https://lnkd.in/gnqJeKK #GWTS24 #Wealth

Choosing between building your own anti-money laundering (AML) screening or monitoring tools and buying from a provider is not as straightforward as it might seem. According to Salv, who recently put together an ebook on the topic of building your own AML screening or monitoring tools, while creating internal solutions may appear to offer greater control and cost savings – the complexity and risks involved often suggest otherwise. Read more here: https://lnkd.in/dxm95QZx Ester Eggert Jacob Story Lucy Heavens