Fundraising by global venture capital funds in the fourth quarter of 2022 fell to a nine-year low. Investments in funds fell 65% compared to the third quarter and were the lowest since 2013.
Investments in venture funds in the fourth quarter of 2022 were minimal compared to the same period in the last nine years. The Wall Street Journal writes about this, citing analyst data.
At the end of the last quarter of 2022, venture funds raised $20.6 billion, 65% less than in the third quarter of the same year.
Private equity firms themselves are narrowing the target of their private equity funds. For example, Tiger Global Management cut it from $6 billion to $5 billion for its new fund, The WSJ notes. This is more than two times less than the volume of the last fund opened by the company in 2021-2022.
The publication notes that in the last ten years, the volume of fundraising by venture funds has increased against the background of investor interest in this type of investment. Now the pace has slowed due to rising inflation, expensive loans and a decline in the number of new loans.
Author:
Kirill Bilyk
Source: RB
I am a professional journalist and content creator with extensive experience writing for news websites. I currently work as an author at Gadget Onus, where I specialize in covering hot news topics. My written pieces have been published on some of the biggest media outlets around the world, including The Guardian and BBC News.
