What is the biggest opportunity in fintech right now?
It may not be another feature, product vertical or growth hack. It may be a more structural shift: more fintechs are moving into investing.
As regulation evolves, customer expectations rise and financial products become more integrated, investing is becoming a natural extension of many fintech propositions – from banking and payments to saving and budgeting.
For many firms, the opportunity is clear. The harder question is how to deliver investment capability without taking on the cost, complexity and regulatory burden of building the infrastructure in-house.
This shift is happening against a backdrop of unmet demand. According to an 11:FS report, produced in partnership with Seccl, 3 in 5 UK savers are “avoiding investing because it feels too risky”. At the same time, 60% of UK adults now use embedded finance services, with expectations of seamless, in-app financial experiences continuing to rise.
In simple terms, embedded investing allows fintechs to offer investment functionality within the digital products customers already use, without building the full underlying infrastructure themselves.
In this article, we explore five structural shifts shaping fintech in 2026 and why they are converging on embedded investing
1. Regulation is explanding what’s possible - and raising the bar
Regulation is evolving in ways that are opening up new opportunities for fintechs, while also making the case for specialist infrastructure stronger.
Across the UK and Europe, new frameworks are coming into force, while regulators are actively encouraging innovation through clearer, more predictable pathways.
In the UK, the FCA’s push toward open finance – alongside its commitment to "quicker, more proportionate and predictable authorisations” – points to a more supportive environment for firms expanding into new financial products. Government backing for scaling fintechs reinforces that direction of travel.
Across Europe, meanwhile – a market we and our clients are expanding into – frameworks like MiCA, the AI Act, DORA, PSD3 and FIDA are redefining how financial services operate. Increased data sharing, clearer regulatory pathways and cross-border alignment are unlocking new opportunities – particularly in areas like investing.
Taken together, these changes are creating a clear strategic tension. Investing is becoming more accessible and commercially attractive, but building and operating it in-house is becoming more complex and higher risk.
For most firms, this is no longer just a compliance question. It’s a strategic one. The decision is not whether to offer investing, but whether they can realistically build and run the required infrastructure themselves.
2. Mobile-first finance is becoming all-in-one finance
Mobile now accounts for more than half of all traffic, while fintech app usage has risen by 78% since 2020.
As financial experiences consolidate into mobile apps, users expect to move seamlessly between spending, saving and investing within a single journey. Switching between providers or platforms increasingly feels like friction.
This changes the role of investing. It no longer has to be a destination product – it can become part of a continuous financial experience.
That creates a clear challenge for fintechs: investing cannot sit outside the core product. Treated as an add-on, it creates friction. Integrated well, it can deepen engagement and improve retention.
3. AI is turning fintech into a decision-making layer
AI is shifting fintech from a set of tools to a layer of decision-making. Fintech apps are evolving from static tools into dynamic systems that provide insight, guidance and, increasingly, automated action.
Firms are already using AI to deliver personalised portfolios, contextual financial nudges and automated suitability assessments. AI agents are also beginning to execute transactions, with early examples of end-to-end AI-driven payments now emerging.
But for AI to be genuinely useful, it needs rich, continuous data.
Investment products generate exactly that – behavioural signals, risk preferences and long-term financial patterns. Without this layer, fintech apps might be able to unlock some value from AI, but nowhere near the full potential. With it, they can become true decision-making platforms.
That makes investing strategically important not just as a product, but as a data and engagement layer that powers more personalised insight, more relevant guidance and, increasingly, more automated action.
4. Fraud and risk are growing in complexity
As financial services become more advanced, the security threats around them are becoming more complex too.
The use of AI in fraud is expected to increase significantly over the coming years, while customers are interacting with more apps and services than ever before – increasing exposure to risk.
At the same time, regulators are placing greater emphasis on operational resilience, data protection and transparency.
Expanding into areas like investing significantly raises the stakes. Firms are no longer just facilitating transactions – they’re responsible for safeguarding assets and managing more complex regulatory obligations.
Taken together, these shifts change the nature of the decision for fintechs. The question is not just whether to offer investment products, but how to deliver them safely and at scale.
In practice, this is where the build versus buy question tends to be settled. Building in-house means taking on custody and client asset responsibilities, regulatory oversight, reporting and greater operational and security risk. For many firms, the safer path is to partner for infrastructure, while retaining control of the customer experience.
5. Embedded investing is the convergence point
Embedded investing is where all of these shifts converge.
In simple terms, it lets customers invest through the products they already use, creating more integrated digital journeys. For fintechs, it provides investment functionality without the need to build and operate the underlying infrastructure themselves.
This model is becoming increasingly attractive because it resolves the core tension facing fintechs: the need to expand into investing, and the complexity of delivering it in-house. Done well, embedded infrastructure can help firms move faster, reduce risk and maintain flexibility, while focusing on what actually differentiates them – the customer experience.
The embedded investing opportunity
Taken together, these shifts point in the same direction. Customer expectations are increasing. Regulation is becoming more structured. Products are becoming more integrated.
For fintechs, investing is becoming a natural extension of the core proposition rather than a separate product category.
The real strategic question is how to do it in a way that balances speed, control and long-term flexibility. For most firms, that means rethinking the role of infrastructure.
Platforms like Seccl are designed to support this shift, providing the underlying infrastructure – including custody, trading, pensions and other tax wrappers – while allowing fintechs to retain control over the user experience.
As fintech continues to evolve, the winners will be those who control the experience while leveraging the right infrastructure underneath.
If you’re exploring how to add investment capability without building the infrastructure from scratch, get in touch – we’d love to talk.
