Hot Topics In Financial Services M&A

Key Takeaways

• Wealth and asset management businesses are increasingly popular targets for acquisition, including from private equity buyers.
• Consolidation continues in banking and insurance, driven by the pursuit of economies of scale and competitive pressures in the market.
• The payments sector is set for further consolidation following the implementation of the Retail Payment Activities Act, amidst increasing regulatory demands.

M&A and material partnerships in the financial services sector have remained a bright industry spot over the last few years, with significantly increased activity and fanfare. In the first half of 2025, there were 1,125 announced global financial services sector deals, an increase from 1,106 in the first half of 2024. A record 2,222 deals were announced in that year. According to the KPMG M&A Trends Report, deal values surged in the second quarter of 2025, up 22% from the prior quarter and more than 50% from the prior