Key European WealthTech investment stats in Q1 2025:
- European WealthTech deal activity dropped by 85% QoQ in Q1 2025
- UK companies cemented their European WealthTech leadership attracting half of all deals
- Fundment, a UK-based tech platform transforming the wealth management space by streamlining administrative processes for financial advisers, secured one of the biggest European WealthTech deals of the quarter with a $55.5m Series C funding round
European WealthTech deal activity dropped by 85% QoQ in Q1 2025
In Q1 2025, the European WealthTech market experienced a steep decline in both funding and deal activity compared to the same quarter in the previous year.
Total funding fell to $418m, an 82% decrease from the $2.3bn raised in Q1 2024.
Similarly, deal volume dropped by 85%, with only 24 deals completed compared to 163 in Q1 2024.
This sharp contraction reflects a broader slowdown in investor appetite and heightened caution across the WealthTech landscape, as firms grapple with macroeconomic headwinds and a more selective funding environment.
UK companies cemented their European WealthTech leadership attracting half of the deals
The United Kingdom remained the most active international market for European WealthTech funding, with 19 deals in Q1 2025, representing a 51% share of all European transactions in the sector —up from 62 deals (27% share) in Q1 2024.
France secured the second spot with six deals (16% share), an increase in share despite a lower deal count compared to the 19 recorded in the same quarter last year.
Germany saw a significant drop, completing just three deals (8% share), down from 35 deals in Q1 2024.
The shifting distribution highlights how the UK continues to dominate cross-border WealthTech engagement, while other European markets have seen a relative decline amidst the broader funding market contraction.
Fundment, a UK-based tech platform transforming the wealth management space by streamlining administrative processes for financial advisers, secured one of the biggest European WealthTech deals of the quarter with a $55.5m Series C funding round
The round was led by Highland Europe and ETFS Capital.
Designed to replace fragmented and legacy infrastructure, Fundment’s platform delivers integrated core services, back-office tools, and discretionary investment management capabilities, enabling advisers to offer more personalised and efficient financial services.
Its technology supports tax wrappers, custom API integrations, and automation of complex regulatory tasks, addressing increasing demands for timely, data-driven client interactions.
With $68tn of assets expected to be transferred globally over the next 30 years, Fundment is well positioned to capitalise on intergenerational wealth shifts.
The platform is already integrated with major financial institutions including Legal & General, BlackRock, and HSBC, and supports a wide array of investment vehicles such as OEICs, Unit Trusts, ETFs, and equities.
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