European WealthTech funding rebounded by two thirds in Q2 driven by deals over $100m

European WealthTech funding q2 2025

Key European WealthTech investment stats in Q2 2025:

  • European WealthTech funding rebounded by two thirds QoQ in Q2
  • Funding growth was driven by a 3.7x surge in deals over $100m
  • FNZ, a global end-to-end technology platform powering wealth and asset management businesses, secured the biggest European WealthTech deal of the second quarter with a $500m equity injection from its long-term institutional backers

European WealthTech funding rebounded by two thirds QoQ in Q2

In Q2 2025, the European WealthTech sector recorded just 13 deals, marking a sharp 71% drop from the 45 deals completed in Q2 2024 and a 46% decline from the 24 deals seen in Q1 2025.

Total funding for the quarter reached $700m, down 53% from the $1.5bn raised in Q2 2024 but up 67% compared to the $418.3m recorded in Q1 2025.

The steep YoY contraction in deal volume suggests a continued pullback in broad investor engagement, while the QoQ rise in funding indicates that, despite fewer deals, capital is being concentrated into a small number of higher-value opportunities.

The average deal size surged to $53.8m in Q2 2025, compared to $33.4m in Q1 2025 and $33.4m in Q2 2024, highlighting a clear market pivot toward fewer but larger transactions.

Funding growth was driven by a 3.7x surge in deals over $100m

Funding from deals under $100m in Q2 2025 totalled $200m, down 49% from $392.7m in Q2 2024 and 29% below the $282.8m raised in Q1 2025.

Meanwhile, deals valued at $100m or more brought in $500m during the quarter — a 55% drop from the $1.1bn raised by such deals in Q2 2024, but a sharp 3.7x increase from the $135.5m recorded in Q1 2025.

Despite the overall decline in activity, this QoQ surge in large-scale investments indicates that investor interest remains strong for high-growth or later-stage European WealthTech firms.

The capital shift away from early-stage deals and towards fewer, higher-value rounds continues to define market behaviour in an otherwise cautious funding environment.

FNZ, a global end-to-end technology platform powering wealth and asset management businesses, secured the biggest European WealthTech deal of the second quarter with a $500m equity injection from its long-term institutional backers

As a key player in modernising wealth management infrastructure, FNZ supports financial institutions worldwide with integrated solutions that streamline operations and enhance client engagement.

This substantial capital infusion strengthens the company’s financial foundation, enabling sustained investment in technology innovation, operational capabilities, and talent.

FNZ’s platform continues to reshape how wealth management services are delivered—improving accessibility, efficiency, and scale—while this latest funding round reflects deep investor confidence in its strategic execution and ambition to lead the future of digital wealth transformation.

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