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F-Prime Capital Launches the F-Prime Fintech Index

F-Prime Capital Launches the F-Prime Fintech Index

The F-Prime Fintech Index is accompanied by the release of The 2021 State of Fintech Report, analyzes the $1 trillion dollar market

F-Prime Capital announces the launch of The F-Prime Fintech Index, designed to track the performance of disruptive fintech companies enabling the delivery of core financial services across payments, banking, lending, insurance, real estate, wealth and asset management.

Alongside the launch of The F-Prime Fintech Index, F-Prime Capital has also released a 2021 State of Fintech Report, analyzing public and private markets, uncovering sector insights, trends and 2022 predictions across fintech.

In 2021, 77 fintech companies went public (57 IPOs and 20 SPACs), over 300 $100M+ rounds, and nearly 35% of global venture funding went into fintech startups, where historically, it accounted for only 10% of overall tech venture funding.

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“Fintech disruption has grown tremendously for the better part of a decade. Fintech startups are now raising more capital and a record number are exiting into the public market. For the first time, we have enough publicly-traded fintech companies to construct a meaningful Fintech Index,” said David Jegen, Managing Partner of F-Prime Capital’s Technology Fund. “We believe this is only the beginning. To see the scale, transparency and potential of these businesses, we want to accurately collect and benchmark the growth of the industry by creating an index to track the leading disruptors.”

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Currently, The F-Prime Fintech Index includes 54 publicly traded companies listed after 2000, with a December 31st, 2021 market capitalization of $1 trillion. The F-Prime Fintech Index will be evaluated and rebalanced on a quarterly basis. Included companies are selected based on the following criteria:

  • Capitalization: Each security must have a minimum market capitalization of $250 million
  • Liquidity: Each security must have minimum three-month average daily dollar trading volume of $5 million
  • Seasoning eligibility: The security must have seasoned for at least three months on an index-eligible exchange
  • Growth: The company must have an annual revenue growth rate of at least 15% for each of the last two full fiscal years

Fintech disruptors across most fintech categories have collectively captured significant market share and have generated the majority of industry growth over the past decade. What began as a new, digital front door to the traditional financial industry has evolved quickly into entirely new financial infrastructure.

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