Industry report

The Future of Funding & Innovation Report 2026-27

Discover the Australian investment community’s outlook on funding and innovation opportunities in 2026 and beyond

Message from the CEO: Australia’s investment community is poised for change

Caroline Macdonald

CEO, Black Tie Digital

Australia’s investment landscape is ever evolving, with new possibilities for investors and businesses to grow and scale. Our Future of Funding & Innovation Report 2026-27 reveals that government, financial institutions, and investors must work together to elevate the innovation agenda in Australia. With 9 in 10 Australian investors reporting a moderate-to-high risk tolerance, a calculated risk-reward mindset is emerging, with investors eager to take a leap of faith.

Read our report to learn what Australia’s investors are thinking about the challenges and opportunities in the current investment market. What is sparking innovation and risk appetite in 2026 and beyond? How are investors looking to get ahead in the market? Find the answers to these questions and more in our brand new report.

Black Tie Digital in the news

Watch our founder, Caroline Macdonald unpack our key report findings in exclusive interviews

Ausbiz interview

Ticker News interview

Insights for the future of Australia’s investment community

Despite huge interest in sparking innovation-led opportunities, Australia’s funding and innovation ecosystem is struggling to satiate investor appetite. Limited access to information, communication issues, and high perceived risk are key concerns keeping leaders up at night. Most investors and businesses have not yet realised the benefits of tokenised markets.

5 key takeaways from the report

01

Investors are highly opportunistic yet selective

Our report found that almost 85% of leaders currently invest in Australian-grown businesses or assets when opportunities align with their personal or financial objectives. Rather than constantly seeking new deals, investors are strategic and responsive to aligned opportunities.

02

There is huge investor appetite for innovation-driven assets

Given that 86% of respondents show huge interest in innovation-driven investment, cutting-edge decisions and startups are clearly perceived as the way forward. Technology and AI, healthcare and biotech, and clean energy are the most attractive sectors to invest in.

03

A calculated risk-reward mindset is shaking things up

Our report reveals that 90% of investors have moderate-to-high risk tolerance, reflecting a readiness to take calculated risks in pursuit of higher returns. More than ever before, investors are willing to make bold investment decisions with cutting-edge technologies and startups.

04

Clear return expectations and time horizons are evident

Our findings show that Australian investors have clear expectations on return and relatively near-term time horizons. Most respondents target returns within five years, typically aiming for 10–20%. Opportunities offering returns below 5% are generally considered unattractive.

05

Key barriers and motivators continue to shape investment decisions

According to our data, the most cited barrier for Australian investors is limited access to reliable and transparent information (26%). Other constraints include high perceived risk; insufficient capital; and restricted access to quality opportunities to invest and innovate.

What does this mean moving forward?

Despite strong investor appetite, our report shows that regulatory and funding hurdles continue to constrain innovation-led ventures. Structural barriers limit the full potential of the ecosystem, even as demand for innovation-led investments grows. These trends challenge traditional assumptions about investor preferences. Historically, the Australian government and other funding bodies have been conservative in their approach to risk-taking and innovation investment.

Black Tie insight

With startups being widely viewed as vehicles for growth and scalability, there is a rising need for mechanisms that support startup funding. Initiatives such as tokenised venture funding allow startups to access capital faster more efficiently and offer exciting opportunities for early-stage companies. However, unlocking their full potential will require investors to become more open to cross-border participation in
investment opportunities.

Advice to the sector in 2026 and beyond

In 2026 and beyond, Australian investors must continue to step into bold, risky territory that fosters innovation. Overcoming funding and investment barriers requires ongoing and coordinated effort across government, financial institutions, and the broader ecosystem. With targeted policies, stronger investor education, and enhanced support structures, Australia can unlock greater capital flows and truly accelerate growth across diverse funding streams.

01

Bridge the gap between investor demand and opportunity

Our report shows high demand for innovation-led opportunities in Australia. But with the ecosystem struggling to keep up, investors must look for new ways to remain agile. The time is now to bridge the gap between investor demand and access to timely opportunities.

02

Invest in innovation-driven assets to future-proof local businesses

Our data reveals that Australian investors want innovation-driven assets to future-proof business success and drive more strategic decision-making. There is an exciting opportunity for investors to capitalise upon assets like tokenisation to get ahead.

03

Take calculated risks to stay ahead of the game

Our report illustrates that Australian investors have a moderate-to-high tolerance for calculated risk-taking and decisions. For investors looking to remain relevant and competitive, taking highly strategic, calculated risks is key to standing out in our local funding and innovation arena.

04

Step up to support growth-oriented investment portfolios.

Our research shows that today’s investors favour growth-oriented assets over defensive strategies. Investors are now more proactive instead of reactive, with a significant focus on investment in startups and emerging sectors such as technology, AI, and digital infrastructure.

05

Embrace emerging technologies or be left behind

Our report shows that technology is disrupting Australian investment, with AI, health and biotech, clean energy and sustainability, FinTech, and blockchain top of the list. Investors must keep up by accelerating innovation, or risk falling far behind their competitors.

For more in-depth insights on current trends and opportunities in Australia’s funding and innovation landscape, download our 2026 report today.