Market Pulse: Fintech Jobs and Careers
The tech landscape in 2023 looks dramatically different than 2021. Gone are the days of high-flying valuations and large, recurring investment rounds. New projects, products, and growth initiatives are no longer prioritized.
The theme is for companies (of all sizes) to scale back, minimize operating costs, and focus on core operations & revenue. In the US, fintech companies cut back over 125K jobs in the last 12 months.
Despite the shift towards reduced corporate spending, companies are still hiring in the near-term. The surplus of quality talent in the market has companies willing to create new roles for candidates with a strong fit. Many jobs are also broadening their candidate mix to skill sets and experience outside of traditional tech companies.
Here’s a pulse check on the market, applicants being able to bridge gaps, guidance in starting out a search, and growing areas within FinTech that are hiring.
STARTUPS
With modern FinTech only ~15 years old, the majority of companies (and job opportunities) are with startups.
Head count can vary between 5 - 80 employees spread out across the globe as remote work became standard during the pandemic. Funding stage & maturity also varies (from seed to Series D+) for fintechs, which in turn impacts staffing size, lines of business, and channels within a company.
The common term associated with hiring for startups is ‘self-starter’, which comes from the need to take on projects and tasks head-on — no prescribed set of rules or directions. Staff need to be able to wear many ‘hats’ (i.e. handle multiple responsibilities), pivot from day-to-day on what’s most important, and not wait for instructions or established processes. No two days (or two weeks) are the same at startups, especially for smaller companies & teams.
The benefits for employees are exposure to multiple parts of a company (including executives), numerous ways to build experience, and opportunities to quickly advance in role and responsibilities. The downside is that your performance may be difficult to measure and support (of your role, team) will make or break your job experience. Established tech companies may have more layers of management and overall structure, but during times of urgency this can go away quickly.
It’s difficult for hiring managers to gauge important interpersonal skills (such as grit, resilience), but these are highly valued at startups in which the environment tends to be fluid and ever-changing.
the need for non-technical skills
To double-down on this, soft skills have increased in demand in the FinTech sector. Having a growth mindset, excellent communication, effective teamwork, and active listening are top priorities for recruiters looking to secure strong candidates.
Unfortunately, hiring teams still struggle finding talent with these types of strengths. Part of the answer lies with candidates believing that a technical background is mandatory to get in the door with these companies. The truth is that various roles are available and this outdated mindset no longer applies.
There will be some high-level knowledge needed (some possibly technical) that can increase the likelihood of landing a new position. This is true in the payments, financial data, and infrastructure areas within fintech. However, applicants should focus on demonstrating critical soft skills throughout the hiring process (which are harder to earn or teach) — once selected, they can focus on bridging the knowledge gap.
REFRESHER on navigating the market
Warm referrals and introductions to companies and decision-makers is still the name of the game. This makes networking the biggest lever for job seekers to pull on — especially important in a job market that has seen considerable layoffs in the last year. Local events and meetups have still not come back in full force post pandemic, but there are a few niche groups (blockchain, banking, minority-focused) organizing virtual and in-person gatherings.
Personal connections (even from weak or dormant contacts) can provide the opening needed for a recruiter to schedule an interview. Alumni networks from college or past employers (such as large financial institutions, Bank of America and JPMorgan Chase) are great starting points. These organizations may also offer resources for career planning and coaching.
LinkedIn profiles are living resumes for working professionals. Whether an individual is actively or passively searching, maintaining work dates, titles, and job activities current is critical. For the those already on top of profile updates, leverage LinkedIn to share content about your field (or job) of interest and comment on top posts from industry leaders or trending keywords.
Content strategy is more of a long play in starting a new career, but when done consistently it can immediate relevancy to you as a candidate (especially if switching industries). If there’s a topic you’re really passionate about it, create your own article to showcase research and subject matter expertise. This can be publicly shared in your LinkedIn profile or in other forums (such as Medium.
At networking events, in 1:1 coffee meetings, or on LinkedIn, the goal is to stand out and show how your combination of skills and experience make you valuable to a new company and team.
Once a candidate lands an interview, showcase a personal connection to a company’s mission and approach to making an industry impact.
INDUSTRY AREAS TO LOOK OUT FOR
Despite large layoffs, most of these tech professionals (nearly 80%) are succeeding in starting a new role within 3 months. The industry dynamic has become more methodical due to less overall funding and condensed usage of financial services. New job openings are for strategic roles or to back-fill positions due to organizational restructuring (as companies try to operate in a leaner way).
#TechIsHiring is a trending hashtag on Twitter with posts from various companies looking for talent and candidates looking for openings. From web developers, business analysts, customer success, and legal counsel, FinTech firms are still actively recruiting for strong additions to their teams.
Industry job boards give a broad level overview of what’s available throughout the year. FintechIsFemme, ThisWeekInFintech, NYCFintechWomen, and EmpireStartups have numerous posts on their boards for positions in the US and abroad from well-known fintech brands.
Among ‘hotspot’ fintech sectors, demand is still high for Web3 — especially skills & experience in blockchain. The recent fallout of crypto dampened interest in this area. As clarity with regulators and strong use cases emerge (hopefully by end of 2023), expect a bounce back. Up & coming companies are hiring aggressively — this Web3 job board has over 20K openings across 4K+ projects. Candidates will need to carefully validate which companies and roles meet their career interests.
Venture capital is another high-demand area that broadly touches multiple sectors across tech. Since VC can seem like a challenge to break into (especially with the level of connections needed), top companies & leaders in the space have set out to share resources for candidates and recruiters. The team at Cowboy Ventures has key insights in their Medium post which are segmented into 3 slide decks that cover breaking into venture, what to prioritize in your first year, and sourcing strategies. In this current downturn of market valuations, the job market may be narrowed due to reductions in fund sizes and headcounts. Overall, VCs still welcome diverse perspectives that can lead to ground breaking & innovative programs.
OUTLOOK for 2023
Unless there’s an uptick in the economy, improved sentiment for future business growth, or a jump in investment activity, expect a spotty, uneven job market for the rest of the year.
Some niche pockets may appear with machine learning & artificial intelligence, cross-border payments, and banking in developing markets, but no overall lift across the industry.
It’s a year for consolidation. Companies in fintech, crypto, and even regional banks will need to decide on shutting down or being acquired.
Opportunities to join emerging leaders and established players will be there. New careers can take off for candidates that are prepared and ready to take the leap. Researching industry verticals, market dynamics, prospective employers, matching individual passion with company mission — all go a long way. Adding networking with recruiters and decision makers will boost success rates further.
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