But NY solidifies its position as #2 for fin tech investment although it remains a distant second to the Golden State.
Financial technology companies have been seeing a great deal of interest from the investors as of late. Traditionally, the hub for financial technology investment has been California as the Valley. With NY’s emergence as the east coast’s tech capital and it being the global financial capital, has NY become a center for financial technology investment? Within fin tech, we include tech companies building new payments technologies, consumer or business-focused accounting & finance applications, as well as asset management and trading applications.
As the data below illustrates, California maintains the top spot for fin tech financing and deals pulling in 40%+ deals in recent quarters as well as 70+% of funding. New York has claimed around 10% of venture capital deals and dollars invested in financial tech startups per quarter over the last five quarters. As also can be seen, New York fin tech funding and deal volume has been prone to more volatility, but the recent quarter (Q2 2012) was a solid one for New York as it took 12% of VC dollars and a 15% deal share.
After California and New York, Washington state makes a nice showing along with Massachusetts and Georgia which round out the top 5 for fin tech investment destinations.