Key US WealthTech investment stats in Q3 2025:
- US WealthTech deal activity grew by 39% YoY in Q3
- New York emerged as the main WealthTech hub as companies based in the state secured 31% of all deals in Q3
- Allocate, WealthTech platform revolutionising private market investing through AI-driven infrastructure, secured one of the biggest US WealthTech deals of the third quarter with a $30.5m Series B funding round
US WealthTech deal activity grew by 39% YoY in Q3
In Q3 2025, the US WealthTech market experienced mixed performance, with deal activity increasing but overall funding levels declining.
The sector recorded 107 funding rounds, a 17% increase from 91 deals in Q2 2025, and a 39% rise from 77 deals in Q3 2024, signalling stronger engagement from investors.
However, total funding reached $887.8m, down 27% from $1.2bn in Q2 2025 and a substantial 50% decrease from $1.8bn in Q3 2024.
This divergence between deal count and funding volume suggests a shift towards smaller deal sizes and early-stage investments, as investors continue to show interest in innovative WealthTech platforms while maintaining a cautious approach to large-scale funding commitments.
New York emerged as the main WealthTech hub as companies from the state secured 31% of all deals in Q3
New York emerged as the leading state for WealthTech activity in Q3 2025, as companies secured 33 deals (31% share), nearly doubling from the 17 deals (22% share) in Q3 2024.
California followed closely with 27 deals (25% share), marking a 50% rise from 18 deals (23% share) during the same period.
Florida ranked third with 7 deals (7% share), up 17% from 6 deals (8% share) in Q3 2024.
Despite the overall drop in funding, both New York and California saw increases in their number of deals and share of national activity, reflecting their continued dominance in the US WealthTech ecosystem.
The rising deal share for these states indicates sustained investor confidence in established innovation hubs, even as the market adjusts to a leaner funding environment.
Allocate, WealthTech platform revolutionising private market investing through AI-driven infrastructure, secured one of the biggest US WealthTech deals of the third quarter with a $30.5m Series B funding round
The round was led by Portage Ventures, with participation from Andreessen Horowitz, M13, and Fika Ventures.
The raise brings Allocate’s total funding to $64m and will be used to accelerate the development of its private market AI and workflow automation capabilities, expand integrations, and enhance adoption among wealth advisors and institutional family offices.
Operating as an intelligent operating system for private markets, Allocate simplifies the traditionally complex landscape of private equity, venture capital, and private credit investing through its modular platform comprising Allocate Curations, Fund Solutions, and Insights.
These tools enable advisors to access high-quality opportunities, streamline fund creation, and manage portfolios with transparency and efficiency.
With over $2.5bn in assets on its platform and more than 1,200 advisory firms and family offices served, Allocate is modernising private market infrastructure and bringing institutional-grade tools to the wealth management ecosystem.
The company’s data-driven approach not only bridges inefficiencies across private market operations but also promotes responsible, scalable participation in alternative investments—positioning Allocate at the forefront of AI-powered WealthTech innovation.
Keep up with all the latest FinTech research here
Copyright © 2025 FinTech Global
