WealthTech Investment Plummets: US Remains Global Hub as Deals Drop 47% in 2025

The global WealthTech sector experienced a significant downturn in 2025, with both funding and deal activity sharply declining. Despite this market correction, the United States solidified its position as the leading hub for WealthTech innovation and investment worldwide.

Key statistics from global WealthTech investment in 2025 reveal a challenging landscape:

• Global WealthTech deal activity witnessed a substantial 47% year-over-year fall in 2025.
• The US maintained its status as the primary WealthTech center globally, with companies based in the country securing 45% of all deals.
• Indian WealthTech platform Groww closed one of the year’s largest deals, securing a $202.3m private equity funding round.

Global WealthTech Deals See Significant Contraction

The year 2025 marked a continued contraction for the global WealthTech market, extending a sharp correction observed since 2021. The sector recorded only 809 deals, representing a staggering 47% decrease from the 1,533 deals completed in 2024. This figure also highlights a dramatic 90% decline when compared to the 7,959 deals recorded at the market’s peak in 2021.

Total funding deployed across the sector fell to $10.8bn, marking a 44% reduction from the $19.2bn raised in 2024. This also represents a substantial 92% drop from the $133.8bn peak in 2021. This persistent downturn underscores a sustained recalibration of global WealthTech investment levels, with both capital deployment and transaction volumes remaining considerably below their previous cycle highs.

US Dominance Continues Amidst Shifting Geographic Landscape

From a geographical standpoint, the United States firmly retained its position as the dominant WealthTech market globally in 2025. US-based companies were involved in 363 deals, accounting for a robust 45% share of global activity. While this represents a 37% decrease from 572 deals in 2024, the US managed to increase its share from 37% in the previous year.

India emerged as the second-largest market, securing 78 deals (a 10% share), despite a 19% decline from 96 deals in 2024 (where it held a 6% share). The United Kingdom followed in third place with 74 deals (a 9% share), down 39% from 121 deals in 2024 (which accounted for an 8% share).

Despite an absolute decrease in deal numbers across these top three markets, each country notably increased its share of global deal activity. This trend suggests a growing concentration of WealthTech investment within these established leading ecosystems, even as overall market activity slows.

Groww Secures Major Funding, Highlights India’s Potential

Demonstrating resilience and growth potential within a challenging market, Groww, an Indian-based WealthTech platform, secured one of the year’s most significant private equity funding rounds. The company, which empowers users to invest in stocks, ETFs, and IPOs, raised an impressive $202.3m. This funding round saw participation from prominent investors such as GIC and ICONIQ Capital, valuing the company at an estimated $7bn.

This substantial capital injection follows a remarkable 3.5x increase in Groww’s valuation since the previous year and positions the company strategically as it prepares for a potential public listing. The funds are earmarked for scaling its core investment platform, expanding the reach of its subsidiary offerings, and further enhancing its technology-driven solutions tailored for retail investors.

Founded in 2017, Groww achieved profitability in FY25, reporting a profit after tax of $212.1m. This financial success was propelled by a 30% surge in operating revenue, reaching $448m. Groww’s impressive growth trajectory and profitability underscore its strong market traction and its leading role in India’s dynamic digital wealth management landscape.

Source: fintech.global