KPMG and CB Insights release their latest quarterly fintech venture capital (VC) report, highlighting a rebound in funding and deals.

TORONTO, May 25, 2016 /PRNewswire/ - After a significant pullback in funding in Q4'15, mega-rounds lifted quarterly investment into VC-backed fintech companies by over 150 percent, according to the Pulse of Fintech, the quarterly global report on fintech VC trends published jointly by KPMG International and CB Insights.

According to the new report, global investment in private fintech companies totaled US$5.7 billion in Q1'16, with US$4.9 billion specifically invested in VC-backed fintech companies across 218 deals, a 96 percent jump compared to the same quarter last year. The rise in funding was tempered by the fact that three mega-rounds accounted for 54 percent of VC fintech investment in Q1'16. On a quarter-over-quarter basis, VC-backed fintech deal activity rose 22 percent in Q1'16.

KPMG International and CB Insights will discuss findings from the Pulse of Fintech report, investment trends and key players in fintech during a live webinar on 31 May, 2016 at 11:00am EDT. Register here.

"Global VC investment into the technology sector may be experiencing a bit of a pause, however fintech, propelled by some very large mega-rounds, has proven to be an exception to the rule," said Warren Mead, Global Co-Leader of Fintech, KPMG International. "Investors are putting money into fintech companies all over the world – from the traditional strongholds of China, the US and the UK – to up and coming fintech hubs like Singapore, Australia and Ireland."

Anand Sanwal, CEO at CB Insights, added: "While fintech startups continue to attract large investment both in the US and abroad, and investors gravitate to areas yet untouched by much tech innovation including insurance, recent events and public market performance suggest that growth-stage fintech fundraising will be harder to come by moving forward in 2016."

Key highlights from the Pulse of Fintech: