Mukul Mohanty’s Post

Lots happening in the UK with the Mansion House compact trying to unlock more institutional capital into the venture ecosystem and good to see some of the smartest minds using CVC as a tool to help unlock this. Congrats Ben and Ant at Aviva on their creation of a VC and Strategic Capital’ investment desk within Aviva Investors’ private markets function, which seems to be a first for a major financial services group to use its CVC team to expand to manage other funds https://lnkd.in/ek4rqYdb Whereas Schroders without a strategic CVC has pointedly avoided talking about venture capital in its shift towards private equity and other alternative, private assets when it teamed up with Phoenix to try and help meet the compact, according to the FT https://lnkd.in/eHAZNkFD (At some point they might get a VC funds of funds team in place but later this decade for that one suspects) But one of the most exciting moves is by Douglas's VC firm Future Planet Capital (disclosure: GCV is a shareholder) to set up the British Co-Investment Fund in partnership with pensions services provider Mobius Life https://lnkd.in/e4ExmSNU This fund and backing tech platform creates an opportunity to open up coinvestment rights and direct dealmaking beyond proprietary clients and hence bring in corporate and other strategic capital. Visionary thinking and the timing is good as the London Stock Exchange Group (LSEG) seems to struggle to develop liquidity through its Floww platform H/T Greg, and pressure is building given Nasdaq and NYSE's developments (most recently Caplight and OPEN creating the NYSE OPEN Venture Unicorn Index, a new benchmark designed to track the performance of 50 large, US-based companies). The UK under Rt Hon Rachel Reeves, Jonathan Reynolds MP and with the expert advice from the civil service as it thinks through the new National Wealth Fund and implications more broadly in this area H/T Francis, Jonathan, Aekta, Sam, Julio, Paul, Roger,

44% of VC capital raised this year went to just two firms. With increasing consolidation in VC, Equal Ventures' Rick Zullo shares his perspective on the outlook for the industry if we continue down this path. "The VC ecosystem is like all other ecosystems – players evolve to survive/thrive or risk fading away into extinction... As emerging managers experience a financing crunch, capital is consolidating behind mega funds, risking the very survival of our industry." Read more: https://lnkd.in/gzF2yFHv #VC #MarketTrends

LPs have lots of investment options these days. With the growing number of emerging funds, and high interest rates, LPs can sort through a variety of #investment opportunities. That means it’s all about making it easier for them to say yes, and be a real part of the fund. When speaking with LPs during the process of raising #capital, many mentioned that they don’t want to be an afterthought once the capital is committed. They want to be real partners.  For me, it’s not just about offering LPs favorable terms, but rather hooking them into the fund so that they feel they are more than just a “check”. As my friend Rosie Bradbury mentioned in her insightful PitchBook story… within the venture world, co-investing has taken off full steam. And for LPs flooded with the decks of emerging and established managers, “fee-free, carry-free co-investing” can get LPs over the finish line.   Co-investing has been an integral part of our model at 97212 Ventures. Our unique approach of offering co-investing rights on a no-fee, no-carry basis to our LPs has been well-received, with many of our LPs investing directly into some of our portfolio companies. It’s truly a win-win. A huge thank you to Rosie Bradbury for including my thoughts in this piece. #venturecaptial #investing #nyctech https://lnkd.in/eSRgA2mX

In February 2023, the British Private Equity & Venture Capital Association (BVCA) and Venture Capital Association (VCA) introduced revised model documents for early-stage investments. Now, over a year later, our venture capital team have delved into the significant deal term changes that have emerged since these revisions. Leveraging two years of comprehensive data as the most active law firm in advising on VC transactions in the UK, the firm’s insights are uniquely positioned to analyse these market updates. Read more about the findings, here: https://lnkd.in/gKk8b4DD #venturecapital #shoosmiths #BVCA

GoalVest Advisory, a female-founded registered investment advisor, has launched its Venture Growth Fund, granting high-net-worth investors access to sought-after venture deals. The fund aims to provide registered investment advisors (RIAs) and their clients with much-needed exposure to the rapidly growing Venture Growth asset class, where companies tend to remain private for longer periods. 'The fund's strategy will follow GoalVest's existing formula of using multi-channel deal sourcing to create a portfolio diversified across multiple market trends, including AI, SaaS, Climate Tech, Defense, Fintech, and Consumer,' said Sevasti Balafas, Founder & CEO of @goalvestadvisory. GoalVest expects to raise at least $50 million for the closed-end fund, offering accessible minimums of $250,000, shorter lock-up periods, and a de-risked portfolio targeting mid-to-late stage venture-backed companies. 'The timing is ideal for these investments given the depressed valuations in private markets,' said Blair Cohen, Chief Investment Officer. 'We have routine access to high-quality deals and a strong performance track record.' #venturecapital #riaadvisors #goalvestadvisory #privateequity

The market for venture secondaries continues to look super interesting given ongoing illiquidity for private VC backed companies.

A very positive report from Proskauer Rose LLP on the European Venture Capital market, confirming the Channel Islands continue to be the leading jurisdictions for the formation and servicing of VC structures. The data also shows US initiators are deploying capital in Europe, fuelling the growth of the European venture capital markets. #venturecapital #vc #privatefunds #alternativeassets #privateassets #jerseyci Jersey Finance

"Fewer and less profitable exits mean less capital making its way back to LPs"   Preqin has just released its latest VC Global Report. Interesting but not surprising takeaways on 2024: - Venture capital hamstrung by lackluster exits - Distributions have not kept up with needs of LPs - Significant amount of residual capital in vintages older than 2014 (as a refresher, there is still $2tn+ of value locked into VC funds globally)   First consequence is a sharp decline in fundraising (both in terms of amount raised and # of funds closed).   In its Q2 Letter to LPs, Lux Capital forecasted that as many as 30-50% of VC firms may face extinction.   Top-tier VCs have already cracked the code, leveraging the secondary market as a portfolio management tool. While some VCs may see GP-led transactions as a potential distraction from fundraising, there is an increasing understanding that properly executed GP-leds can benefit both prospective and current fundraising efforts in multiple ways.   It’s only a matter of time before European VCs follow in the footsteps of their American counterparts, adopting GP-led transactions as a key strategy.

Our colleague Julie Pulda, CFA contributed to an article for Forbes by Maren Bannon alongside LPs across the US and Europe, including institutions, fund of funds, and family offices. The question on most minds in the VC community: Will things change next year? Read the full article to learn about Julie’s insights on under-tapped opportunities for investors. #VC #VentureCapital #2025 #ImpactInvesting #Investing #Forbes Aakar Vachhani Hana Yang Adam Marchick Anu Adebajo Daryn Dodson Dominic Maier Layne Johnson Albert Azout Charlotte Palmer Mark Schmitz

Word of the day: #Venture #Capital “Venture capital (VC) is a form of private equity that funds startups and early-stage emerging companies with little to no operating history but significant potential for growth. Fledgling companies sell ownership stakes to venture capital funds in return for financing, technical support and managerial expertise. VC investors typically participate in management, and help the young company’s executives make decisions to drive growth [...]. Portfolio companies get access to the VC fund’s network of partners and experts. Moreover, they can depend on the VC firm for assistance when they try to raise more money in the future. Venture capital is an alternative investment that’s typically only available to institutional and accredited investors. Pension funds, big financial institutions, high-net-worth investors [...] and wealth managers typically invest in VC funds". Source: https://lnkd.in/eDjDP_Gt Forbes Forbes Advisor Rebecca Baldridge, CFA Benjamin Curry