FACTOID # 29: 73.3% of America's gross operating surplus in motion picture and sound recording industries comes from California.
 
 Home   Encyclopedia   Statistics   States A-Z   Flags   Maps   FAQ   About 
   
 
WHAT'S NEW
 

SEARCH ALL

FACTS & STATISTICS    Advanced view

Search encyclopedia, statistics and forums:

 

 

(* = Graphable)

 

 


Encyclopedia > Venture capital
Financial market
participants

Investors
There are two basic financial market participant catagories, Investor vs. ... Image File history File linksMetadata Size of this preview: 800 × 600 pixelsFull resolution (2816 × 2112 pixel, file size: 2. ... An investor is any party that makes an investment. ...

Speculators
speculation
Speculation is the buying, holding, and selling of stocks, commodities, futures, currencies, collectibles, real estate, or any valuable thing to profit from fluctuations in its price as opposed to buying it for use or for income - dividends, rent etc. ... Speculation involves the buying, holding, and selling of stocks, bonds, commodities, currencies, collectibles, real estate, derivatives or any valuable financial instrument to profit from fluctuations in its price as opposed to buying it for use or for income via methods such as dividends or interest. ...

Institutional investors
Insurance companies
Investment banks
Hedge funds
Mutual funds
Pension funds
Private equity funds
Venture capital funds
Banks
Credit Unions
Trusts
Prime Brokers
An institutional investor is an investor who is an institution like a bank, insurance fund, retirement fund, or mutual fund manager. ... Insurance, in law and economics, is a form of risk management primarily used to hedge against the risk of a contingent loss. ... Investment banks help companies, governments and their agencies to raise money by issuing and selling securities in the primary market. ... A hedge fund is a private investment fund charging a performance fee and typically open to only a very limited range of qualified investors. ... A mutual fund is a form of collective investments that pools money from many investors and invests their money in stocks, bonds, short-term money market instruments, and/or other securities. ... This article does not cite any references or sources. ... A private equity fund is a collaboration of funds that directs a private companys or individuals equity, either in the stock market or in real estate. ... “Banker” redirects here. ... A credit union is a cooperative financial institution that is owned and controlled by its members. ... A trust company has been referred to as a near-bank; while technically it differs from a bank in mandate and services offered, it also provides banking services such as chequing accounts, savings and loans, investments and credit cards. ... Prime Brokerage is a service sold by investment banks to hedge funds. ...


Finance series
Financial market
Participants
Corporate finance
Personal finance
Public finance
Banks and Banking
Financial regulation
This article does not cite any references or sources. ... This article does not cite any references or sources. ... There are two basic financial market participant catagories, Investor vs. ... Domestic credit to private sector in 2005 Corporate finance is an area of finance dealing with the financial decisions corporations make and the tools and analysis used to make these decisions. ... Personal finance is the application of the principles of finance to the monetary decisions of an individual or family unit. ... Public finance (government finance) is the field of economics that deals with budgeting the revenues and expenditures of a public sector entity, usually government. ... “Banker” redirects here. ... Financial supervision is government supervision of financial institutions by regulators. ...

 v  d  e 

Venture capital is a type of private equity capital typically provided by professional, outside investors to new, growth businesses. Generally made as cash in exchange for shares in the investee company, venture capital investments are usually high risk, but offer the potential for above-average returns. A venture capitalist (VC) is a person who makes such investments. A venture capital fund is a pooled investment vehicle (often a limited partnership) that primarily invests the financial capital of third-party investors in enterprises that are too risky for the standard capital markets or bank loans. Venture capital can also include managerial and technical expertise. Most venture capital comes from a group of wealthy investors, investment banks and other financial institutions that pool such investments or partnerships. This form of raising capital is popular among new companies, or ventures, with limited operating history, who cannot raise funds through a debt issue. The downside for entrepreneurs is that venture capitalists usually get a say in company decisions, in addition to a portion of the equity. Private equity is a broad term that refers to any type of equity investment in an asset in which the equity is not freely tradable on a public stock market. ... In finance pooling is the process of grouping together loans. ... A limited partnership is a form of partnership similar to a general partnership, except that in addition to one or more general partners (GPs), there are one or more limited partners (LPs). ... In brief, financial capital is money used by entreprenuers and businesses to buy what they need to make their products (or provide their services). ... The capital market is the market for long-term loans and equity capital. ... “Banker” redirects here. ... A loan is a type of debt. ...

Contents

History

Beginnings of modern venture capital

Although many other similar investment mechanisms have existed in the past, General Georges Doriot is considered to be the father of the modern venture capital industry. Georges Doriot was one of the first American venture capitalists. ...

  • In 1946, Doriot founded American Research and Development Corporation (AR&DC), whose biggest success was Digital Equipment Corporation. When Digital Equipment went public in 1968 it provided AR&D with 101% annualized Return on Investment (ROI). ARD's $70,000 USD investment in Digital Corporation in 1957 grew in value to $355 million USD.[citation needed] It is commonly accepted that the first venture-backed startup is Fairchild Semiconductor, funded in 1959 by Venrock Associates. Venture capital investments, before World War II, were primarily the sphere of influence of wealthy individuals and families. One of the first steps toward a professionally-managed venture capital industry was the passage of the Small Business Investment Act of 1958. The 1958 Act officially allowed the U.S. Small Business Administration (SBA) to license private "Small Business Investment Companies" (SBICs) to help the financing and management of the small entrepreneurial businesses in the United States. Passage of the Act addressed concerns raised in a Federal Reserve Board report to Congress that concluded that a major gap existed in the capital markets for long-term funding for growth-oriented small businesses. Facilitating the flow of capital through the economy up to the pioneering small concerns in order to stimulate the U.S. economy was and still is the main goal of the SBIC program today. [citation needed]

Generally, venture capital is closely associated with technologically innovative ventures and mostly in the United States.[1] Due to structural restrictions imposed on American banks in the 1930s there was no private merchant banking industry in the United States, a situation that was quite unique in developed nations. As late as the 1980s Lester Thurow, a noted economist, decried the inability of the USA's financial regulation framework to support any merchant bank other than one that is run by the United States Congress in the form of federally funded projects. These, he argued, were massive in scale, but also politically motivated, too focused on defense, housing and such specialized technologies as space exploration, agriculture, and aerospace. US investment banks were confined to handling large M&A transactions, the issue of equity and debt securities, and, often, the breakup of industrial concerns to access their pension fund surplus or sell off infrastructural capital for big gains. The DEC logo Digital Equipment Corporation was a pioneering American company in the computer industry. ... This article or section is in need of attention from an expert on the subject. ... Fairchild Semiconductor introduced the first commercially available integrated circuit (although at almost the same time as one from Texas Instruments), and would go on to become one of the major players in the evolution of Silicon Valley in the 1960s. ... Year 1959 (MCMLIX) was a common year starting on Thursday (link will display full calendar) of the Gregorian calendar. ... Venrock is a pioneering venture capital firm formed in 1969 to build upon the successful investing activities of the Rockefeller family that began in the late 1930’s. ... Combatants Allied powers: China France Great Britain Soviet Union United States and others Axis powers: Germany Italy Japan and others Commanders Chiang Kai-shek Charles de Gaulle Winston Churchill Joseph Stalin Franklin Roosevelt Adolf Hitler Benito Mussolini Hideki Tōjō Casualties Military dead: 17,000,000 Civilian dead: 33,000... The Small Business Administration, or SBA, is a United States Government agency that provides support to small businesses. ... Face The 1930s (years from 1930–1939) were described as an abrupt shift to more radical and conservative lifestyles, as countries were struggling to find a solution to the Great Depression, also known in Europe as the World Depression. ... This article does not cite any references or sources. ... A developed country is a country that is technologically advanced and that enjoys a relatively high standard of living. ... This article does not cite any references or sources. ... Lester Carl Thurow is a former dean of the MIT Sloan School of Management and author of numerous bestsellers on mainstream economics. ... Alan Greenspan, former chairman, United States Federal Reserve. ... Type Bicameral Houses Senate House of Representatives President of the Senate President pro tempore Dick Cheney, (R) since January 20, 2001 Robert C. Byrd, (D) since January 4, 2007 Speaker of the House Nancy Pelosi, (D) since January 4, 2007 Members 535 plus 4 Delegates and 1 Resident Commissioner Political... The AK-47 has been produced in greater numbers than any other assault rifle and has been used in conflicts all over the world. ... Houses in Fishpool Street, St Albans, England For other meanings of the word house, see House (disambiguation). ... Space exploration is the physical exploration of outer space, both by human spaceflights and by robotic spacecraft. ... Look up aerospace in Wiktionary, the free dictionary. ... The phrase mergers and acquisitions (abbreviated M&A) refers to the aspect of corporate strategy, corporate finance and management dealing with the buying, selling and combining of different companies that can aid, finance, or help a growing company in a given industry grow rapidly without having to create another business... Securities are tradeable interests representing financial value. ... A pension (also known as superannuation) is a retirement plan intended to provide a person with a secure income for life. ... Infrastructural capital refers to any physical means of production or means of protection beyond that which can be gathered or found directly in nature, i. ...


Not only was the lax regulation of this situation very heavily criticized at the time, this industrial policy differed from that of other industrialized rivals—notably Germany and Japan—which at that time were gaining ground in automotive and consumer electronics markets globally. However, those nations were also becoming somewhat more dependent on central bank and elite academic judgment, rather than the more diffuse way that priorities were set by government and private investors in the United States. An industrial policy is any government regulation or law that encourages the ongoing operation of, or investment in, a particular industry. ... Car redirects here. ... Consumer electronics is electronic equipment intended for use by everyday people. ...


The growth of Silicon Valley

Slow Growth in 1960s & early 1970s, and the First Boom Year in 1978


During the 1960s and 1970s, venture capital firms focused their investment activity primarily on starting and expanding companies. More often than not, these companies were exploiting breakthroughs in electronic, medical or data-processing technology. As a result, venture capital came to be almost synonymous with technology finance. Venture capital firms suffered a temporary downturn in 1974, when the stock market crashed and investors were naturally wary of this new kind of investment fund. 1978 was the first big year for venture capital. The industry raised approximately $750 thousand in 1978.


Highs & Lows of the 1980s


In 1980, legislation made it possible for pension funds to invest in alternative assets classes such as venture capital firms. 1983 was the boom year - the stock market went through the roof and there were over 100 initial public offerings for the first time in U.S. history. That year was also the year that many of today's largest and most prominent firms were founded.


Due to the excess of IPOs and the inexperience of many venture capital fund managers, VC returns were very low through the 1980s. VC firms retrenched, working hard to make their portfolio companies successful. The work paid off and returns began climbing back up.


The dot com boom

The late 1990s were a boom time for the globally-renowned VC firms on Sand Hill Road in the San Francisco Bay Area. A number of large IPOs had taken place, and access to "friends and family" shares was becoming a major determiner of who would benefit from any such IPO; Common investors would have had no chance to invest at the strike price in this stage.[citation needed] For the band, see 1990s (band). ... The Sand Hill Road freeway exit. ... USGS satellite photo of the San Francisco Bay Area. ... Wikipedia does not yet have an article with this exact name. ... The strike price, or exercise price, is a key variable in a derivatives contract between two parties. ...


The NASDAQ crash and technology slump that started in March 2000 shook some VC funds significantly by the resulting disastrous losses from overvalued and non-performing startups. By 2003 many firms were forced to write off companies they had funded just a few years earlier, and many funds were found "under water"; (the market value of their portfolio companies were less than the invested value) Venture capital investors sought to reduce the large commitments they had made to venture capital funds. By mid-2003, the venture capital industry would shrivel to about half its 2001 capacity. Nevertheless, PricewaterhouseCoopers' MoneyTree Survey shows that total venture capital investments hold steady at 2003 levels through the second quarter of 2005. The revival of an Internet-driven environment (thanks to deals such as eBay's purchase of Skype, the News Corporation's purchase of MySpace.com, and the very successful Google.com and Salesforce.com IPOs have helped to revive the VC environment with over $60billion in debt. NASDAQ in Times Square, New York City. ... 2000 (MM) was a leap year starting on Saturday of the Gregorian calendar. ... (1) Startup (or start-up, aka System startup) refers to the short period of time, or system state a computer is in, immediately after switching it on. ... Year 2003 (MMIII) was a common year starting on Wednesday of the Gregorian calendar. ... Year 2003 (MMIII) was a common year starting on Wednesday of the Gregorian calendar. ... eBay headquarters in San Jose eBay North First Street satellite office campus (home to PayPal) eBay Inc. ... This article or section contains too much jargon and may need simplification or further explanation. ... 1211 Avenue of the Americas (Sixth Avenue), where News Corporation is based News Corporation (abbreviated to News Corp) (NYSE: NWS, NYSE: NWSa, ASX: NWS, LSE: NCRA) is one of the worlds largest media conglomerates. ... MySpace. ... Googles main pages unusually spartan design, uncluttered appearance and quick loading time have contributed greatly to the sites mass appeal. ... Salesforce. ... Wikipedia does not yet have an article with this exact name. ...


Venture capital fund operations

Roles within a VC firm

Venture capital general partners (also known in this case as "venture capitalists" or "VCs") are the executives in the firm, in other words the investment professionals. Typical career backgrounds vary, but many are former chief executives at firms similar to those which the partnership finances and other senior executives in technology companies. In the commercial and legal parlance of most countries, a General partnership or simply a Partnership refers to an association of persons or an unincorporated company with the following major main features: Formed by two or more persons The owners are all liable for legal actions and debts the company... Chief Executive Officer (CEO) is the job of having the ultimate executive responsibility or authority within an organization or corporation. ...


Investors in venture capital funds are known as limited partners. This constituency comprises both high net worth individuals and institutions with large amounts of available capital, such as state and private pension funds, university financial endowments, foundations, insurance companies, and pooled investment vehicles, called fund of funds. L.P. redirects here. ... A pension (also known as superannuation) is a retirement plan intended to provide a person with a secure income for life. ... A financial endowment is a transfer of money or property donated to an institution, with the stipulation that it be invested, and the principal remain intact. ... Insurance, in law and economics, is a form of risk management primarily used to hedge against the risk of a contingent loss. ... In finance pooling is the process of grouping together loans. ...


Other positions at venture capital firms include venture partners and entrepreneur-in-residence (EIR). Venture partners "bring in deals" and receive income only on deals they work on (as opposed to general partners who receive income on all deals). EIRs are experts in a particular domain and perform due diligence on potential deals. EIRs are engaged by VC firms temporarily (six to 18 months) and are expected to develop and pitch startup ideas to their host firm (although neither party is bound to work with each other). Some EIR's move on to roles such as Chief Technology Officer (CTO) at a portfolio company. Due diligence is a term used for a number of concepts involving either the performance of an investigation of a business or person, or the performance of an act with a certain standard of care. ...


Structure of the funds

Most venture capital funds have a fixed life of 10 years, with the possibility of a few years of extensions to allow for private companies still seeking liquidity. The investing cycle for most funds is generally three to five years, after which the focus is managing and making follow-on investments in an existing portfolio. This model was pioneered by successful funds in Silicon Valley through the 1980s to invest in technological trends broadly but only during their period of ascendance, and to cut exposure to management and marketing risks of any individual firm or its product. A view of downtown San Jose, the self-proclaimed Capital of Silicon Valley. ... This article does not cite any references or sources. ...


In such a fund, the investors have a fixed commitment to the fund that is "called down" by the VCs over time as the fund makes its investments. There are substantial penalities for a Limited Partner (or investor) that fails to participate in a capital call.


Compensation

In a typical venture capital fund, the general partners receive an annual management fee equal to 2% of the committed capital to the fund and 20% of the net profits (also known as "carried interest") of the fund; a so-called "two and 20" arrangement, comparable to the compensation arrangements for many hedge funds. Strong Limited Partner interest in top-tier venture firms has led to a general trend toward terms more favorable to the venture partnership, and many groups now have carried interest of 25-30% on their funds. Because a fund may run out of capital prior to the end of its life, larger VCs usually have several overlapping funds at the same time; this lets the larger firm keep specialists in all stages of the development of firms almost constantly engaged. Smaller firms tend to thrive or fail with their initial industry contacts; by the time the fund cashes out, an entirely-new generation of technologies and people is ascending, whom the general partners may not know well, and so it is prudent to reassess and shift industries or personnel rather than attempt to simply invest more in the industry or people the partners already know. A hedge fund is a private investment fund charging a performance fee and typically open to only a very limited range of qualified investors. ...


Raising substantial venture capital

Venture capital is not generally suitable for all entrepreneurs. Venture capitalists are typically very selective in deciding what to invest in; as a rule of thumb, a fund may invest in as few as one in four hundred opportunities presented to it. Funds are most interested in ventures with exceptionally high growth potential, as only such opportunities are likely capable of providing the financial returns and successful exit event within the required timeframe (typically 3-7 years) that venture capitalists expect. For the sequel to the computer game Entrepreneur, which has no article of its own, see The Corporate Machine. ... A rule of thumb is an easily learned and easily applied procedure for approximately calculating or recalling some value, or for making some determination. ...


This need for high returns makes venture funding an expensive capital source for companies, and most suitable for businesses having large up-front capital requirements which cannot be financed by cheaper alternatives such as debt. That is most commonly the case for intangible assets such as software, and other intellectual property, whose value is unproven. In turn this explains why venture capital is most prevalent in the fast-growing technology and life sciences or biotechnology fields. High tech refers to technology that is at the cutting-edge—the most advanced technology currently available. ... Biology studies the variety of life (clockwise from top-left) E. coli, tree fern, gazelle, Goliath beetle Biology is the science of life (from the Greek words bios = life and logos = word). ... The structure of insulin Biological technology is technology based on biology, especially when used in agriculture, food science, and medicine. ...


If a company does have the qualities venture capitalists seek such as a solid business plan, a good management team, investment and passion from the founders, a good potential to exit the investment before the end of their funding cycle, and target minimum returns in excess of 40% per year, it will find it easier to raise venture capital.


Main alternatives to venture capital

Because of the strict requirements venture capitalists have for potential investments, many entrepreneurs seek initial funding from angel investors, who may be more willing to invest in highly speculative opportunities, or may have a prior relationship with the entrepreneur. An angel investor or business angel is an individual who provides capital for a business start-up, usually in exchange for ownership equity. ...


Furthermore, many venture capital firms will only seriously evaluate an investment in a start-up otherwise unknown to them if the company can prove at least some of its claims about the technology and/or market potential for its product or services. To achieve this, or even just to avoid the dilutive effects of receiving funding before such claims are proven, many start-ups seek to self-finance until they reach a point where they can credibly approach outside capital providers such as VCs or angels. This practice is called "bootstrapping". Bootstraps are companies that are started by their founders with their own personal money, without any external financing. ...


There has been some debate since the dot com boom that a "funding gap" has developed between the friends and family investments typically in the $0 to $250,000 range and the amounts that most Venture Capital Funds prefer to invest between $1 to $2m. This funding gap may be accentuated by the fact that some successful Venture Capital funds have been drawn to raise ever-larger funds, requiring them to search for correspondingly larger investment opportunities. This 'gap' is often filled by angel investors as well as equity investment companies who specialize in investments in startups from the range of $250,000 to $1m. The National Venture Capital association estimates that the latter now invest more than $30 billion a year in the USA in contrast to the $20 billion a year invested by organized Venture Capital funds.[citation needed] Angel Investors (or simply Angels) are affluent individuals who provide capital for business start-ups, usually in exchange for an equity stake. ...


In industries where assets can be securitized effectively because they reliably generate future revenue streams or have a good potential for resale in case of foreclosure, businesses may more cheaply be able to raise debt to finance their growth. Good examples would include asset-intensive extractive industries such as mining, or manufacturing industries. Offshore funding is provided via specialist venture capital trusts which seek to utilise securitization in structuring hybrid multi market transactions via an SPV (special purpose vehicle): a corporate entity that is designed solely for the purpose of the financing. Securitization is a financing process in which a corporate entity moves assets to an ostensibly bankruptcy-remote vehicle to obtain lower interest rates from potential lenders--because the assets cannot be seized in a bankruptcy proceeding, the risk is less for lenders and they are willing to offer a lower... A special purpose entity (SPE) (formerly special purpose vehicle) is a firm created by a company to fulfill narrow or temporary objectives. ...


Venture capital and development

Venture capital can be used as a financial tool for development, within the range of SME finance, by playing a key role in business start-ups, existing small and medium enterprises (SME) and overall growth in developing economies. Venture capital acts most directly by being a source of job creation, facilitating access to finance for small and growing companies which otherwise would not qualify for receiving loans in a bank, and improving the corporate governance and accounting standards of the companies. This article or section is in need of attention from an expert on the subject. ... Small and medium enterprises or SMEs are companies whose headcount or turnover falls below certain limits. ...


Venture capital is used as a tool for economic development in areas such as Latin America and the Caribbean.


Geographical differences

US firms have traditionally been the biggest participants in venture deals, but non-US venture investment is growing.


United States

Venture capitalists invested some $6.6 billion in 797 deals in U.S. during the third quarter of 2006, according to the MoneyTree Report by PricewaterhouseCoopers and the National Venture Capital Association based on data by Thomson Financial.


A recent National Venture Capital Association survey found that majority (69%) of venture capitalists predict that VC investments in U.S. will level between $20-29 billion in 2007. The National Venture Capital Association (NVCA) is the leading trade association representing the venture capital industry in the U.S. The NVCA represents the venture industry in public policy debates in Washington, DC, and promotes high professional standards, professional development, and interaction amongst member firms. ...


Canada

Canadian technology companies have attracted interest from the global venture capital community in part as a result of a generous program of tax credits for scientific research and development. These tax credits are only available to Canadian controlled private companies (CCPCs). A CCPC must be incorporated in Canada. This creates a tension with many U.S.-based investors, since Canadian tax laws contain numerous irritants that have historically made exits from Canadian companies difficult for U.S.-based venture capital investors.


Canada also has a fairly unique form of venture capital generation in its Labour Sponsored Investment Funds (LSIF). These funds, also known as Labour Sponsored Venture Capital Corporations (LSVCC), are generally sponsored by labor unions and offer tax breaks from government to incite investors to purchase the funds. LSIFs are only permitted to invest in companies incorporated in Canada. However, innovative structures have been developed to permit LSIFs to direct in Canadian subsidiaries of corporations incorporated in jursidictions outside of Canada. A Labour Sponsored Investment Fund or LSIF is a fund managed by investment professionals and invested in small to mid-sized Canadian private companies. ... A tax exemption is an exemption to the tax law of a state or nation in which part of the taxes that would normally be collected from an individual or an organization are instead forgone. ...


Europe

Europe has a large and growing number of active venture firms. Capital raised in the region in 2005, including buy-out funds, exceeded €60mn, of which €12.6mn was specifically for venture investment. The European Venture Capital Association includes a list of active firms and other statistics. In 2006 the top three countries receiving the most venture capital investments were the United Kingdom (515 minority stakes sold for €1.78bn), France (195 deals worth €875m), and Germany (207 deals worth €428m) according to data gathered by Library House.[2] A leveraged buyout (or LBO, or highly-leveraged transaction (HLT), or bootstrap transaction) occurs when a financial sponsor gains control of a majority of a target companys equity through the use of borrowed money or debt. ... The Library House Ltd (Library House) is an investment research and consulting company based in Cambridge, England, founded in 2002 by Doug Richard. ...


India

The investment of capitalists in Indian industries in the first half of 2006 is $3 billion and is expected to reach $6.5 billion at the end of the year.


Venture Capital Fund
The Reserve Bank of India, in regard to foreign exchange management act, frames the policy. The regulations of RBI for venture capital funds are that a SEBI registered venture capital fund investor can invest with the general permission of the RBI into Venture Capital Fund or Indian venture capital undertakings, according to the rules and regulations as specified by RBI notifications from time to time. The RBI headquarters in Mumbai The RBI Regional Office in Mumbai The RBI heaquarters in Delhi. ...


China

In China, venture funding more than doubled from $420 thousand in 2002 to almost $1 million in 2003. For the first half of 2004, venture capital investment rose 32% from 2003. By 2005, lead by a wave of successful IPOs on the NASDAQ and revised government regulations, China-dedicated funds raised US$4 million in committed capital.


Further reading

  • Gompers, Paul, and Josh Lerner, "The Venture Capital Cycle", 2nd ed., MIT press, 2004.
  • What Are Venture Capitalists Looking For in an RFID Start-up?, RFID Radio

See also

An angel investor or business angel is an individual who provides capital for a business start-up, usually in exchange for ownership equity. ... Business valuation is a process applied by qualified valuation experts to determine the fair market value of an owner’s interest in a business. ... Domestic credit to private sector in 2005 Corporate finance is an area of finance dealing with the financial decisions corporations make and the tools and analysis used to make these decisions. ... Dragons Den is a television programme which originated in Japan where the format is owned by Sony. ... To meet Wikipedias quality standards, this article or section may require cleanup. ... A Labour Sponsored Investment Fund or LSIF is a fund managed by investment professionals and invested in small to mid-sized Canadian private companies. ... ... Topics in finance include: // Finance an overview Arbitrage Capital (economics) Capital asset pricing model Cash flow Cash flow matching Debt Default Consumer debt Debt consolidation Debt settlement Credit counseling Bankruptcy Debt diet Debt-snowball method Discounted cash flow Financial capital Funding Financial modeling Entrepreneur Entrepreneurship Fixed income analysis Gap financing... This list provides an alphabetical index of articles on finance related topics. ... This article does not cite any references or sources. ... The National Venture Capital Association (NVCA) is the leading trade association representing the venture capital industry in the U.S. The NVCA represents the venture industry in public policy debates in Washington, DC, and promotes high professional standards, professional development, and interaction amongst member firms. ... The development of free software requires extensive resources. ... Private equity is a broad term that refers to any type of equity investment in an asset in which the equity is not freely tradable on a public stock market. ... // The private equity secondary market (also often called private equity secondaries or secondaries) refers to the buying and selling of pre-existing investor commitments to private equity and other alternative investment funds. ...

References

  1. ^ Venture Capital Industry Overview presentation for 1Q07, Dowjownes VentureSource based on data from Dow Jones VentureOne/Ernst&Young
  2. ^ Financial Times Article based on data published by Library House
  • Campbell, Katherine. Smarter Ventures: A Survivor's Guide to Venture Capital Through the New Cycle. Financial Times Management Press. ISBN 0-273-65403-9
  • VentureSource. Venture Capital Industry Overview, 1Q07. Dow Jones VentureSource.

External links

Leave a Knowcycle calling card at Wikiversity for research collaborations in:
Venture Capital

  Results from FactBites:
 
National Venture Capital Association (3168 words)
Venture capital investing has grown from a small investment pool in the 1960s and early 1970s to a mainstream asset class that is a viable and significant part of the institutional and corporate investment portfolio.
In truth, venture capital and private equity firms are pools of capital, typically organized as a limited partnership, that invests in companies that represent the opportunity for a high rate of return within five to seven years.
The venture investor is usually conservative in the valuation of companies, but it is common to find that early stage funds may have an even more conservative valuation of their companies due to the long lives of their investments when compared to other funds with shorter investment cycles.
Venture capital - Wikipedia, the free encyclopedia (1150 words)
A venture capital fund is a pooled investment vehicle (often a partnership) that primarily invests the financial capital of third-party investors in enterprises that are too risky for the standard capital markets or bank loans.
Venture capital is a phenomenon most closely associated with the United States and technologically innovative ventures.
Capital raised in the region in 2005, including buy-out funds, exceeded €60bn, of which €12.6bn was specifically for venture investment.
  More results at FactBites »

 
 

COMMENTARY     


Share your thoughts, questions and commentary here
Your name
Your comments

Want to know more?
Search encyclopedia, statistics and forums:

 


Press Releases |  Feeds | Contact
The Wikipedia article included on this page is licensed under the GFDL.
Images may be subject to relevant owners' copyright.
All other elements are (c) copyright NationMaster.com 2003-5. All Rights Reserved.
Usage implies agreement with terms, 1022, m