Health Overtakes Fintech as the Most Funded Industry in Q3 at $16.7B for the First Time Since 2021
According to MoneyTransfers.com’s analysis, the health sector has overtaken Fintech as the most funded industry in 2022. In the third quarter of this year, $16.7billion was invested in Health companies globally, compared to $13.4 billion in Fintech. This is the first time since Q1 2021 that Fintech has not been the most funded industry.
Speaking on the data, MoneyTransfers CEO Jonathan Merry said:
The health sector is an industry that is growing in importance and attracting more investment. This is partly due to the aging population, the rise of chronic diseases, and the changing health landscape. The health sector is also benefiting from the growth of new technologies such as AI and machine learning. Health companies are using these technologies to develop new treatments and improve patient care. This is making the health sector more attractive to investors.MoneyTransfers CEO Jonathan Merry
Why Are Investors Drawn to the Health Sector in 2022?
There are strong similarities between the financial and health sector. They are critical to the economies and have long-standing systems. They are also ripe for change and innovation, which investors see as an opportunity to get in on the ground floor of new companies.
The health sector has been growing in importance in recent years as the population ages and chronic diseases become more prevalent. This has made the industry more attractive to investors who see the potential for growth.
In addition, the COVID-19 pandemic has also had a significant impact on the sector. The pandemic has brought to light the health system’s shortcomings and spurred investment in companies that are working on solutions to these problems.
What Are Some of the Most Promising Areas in the Health Sector?
There are many promising areas in the health sector, but some of the most exciting ones are:
Precision medicine: This is a relatively new area of health that uses data and analytics to tailor treatments to individual patients. This personalized approach to medicine is already yielding better results and is attracting a lot of investment.
Digital health: The pandemic has accelerated the adoption of digital health solutions such as telemedicine. These technologies are making it easier for patients to access care and are improving outcomes.
Mental health: Mental health is often overlooked in the health sector, but it is crucial to overall well-being. The pandemic has spotlighted the need for better mental health services, and a lot of investment is going into this area.
One significant challenge in the health sector is the high cost of drugs. This issue is attracting a lot of attention from investors, and many companies are working on solutions.