“ Investors are particularly drawn to startups that solve real-world problems with innovative technology ”
PETER WOOD CHIEF STRATEGY OFFICER ,
SPECTRUM SEARCH
Cohen asserts : “ It will continue to be a ( cautious ) buyer ’ s market , at least in H1 until some of the economic and political uncertainty is cleared .
“ That doesn ’ t mean that opportunities don ’ t exist – quite the contrary – but expect funding and deal sizes to be more on the conservative side . With an ‘ IPO spring ’ on the horizon and bigger funding made available in the market , we should see an uptick in deal sizes , although , again , I expect that to happen in the latter half of the year .” Wood concurs that there will be “ a more nuanced investment climate in the fintech sector ”.
He adds : “ While there ’ s potential for increased funding , especially in cuttingedge areas like AI and blockchain , the market might also exhibit continued caution . “ This dual trend stems from investors seeking to balance the pursuit of innovative opportunities with the need for prudent risk management in a post-pandemic economy .”
Bradbury is more optimistic , however . While he admits “ uncertainty remains regarding ongoing geopolitical crises and the potential of the ‘ AI bubble ’ bursting ”, the anticipated fall of interest rates this year and the continued growth of AI-related technologies means 2024 “ should be a good year for fintech funding ”.
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