Venture Capital Continues to Be Strong Performing Asset Class

Venture capital outperformed DJIA during second quarter

Arlington, VA, October 31, 2014 – Venture capital fund performance continues to be strong across most time horizons as of June 30, 2014, according to the National Venture Capital Association’s (NVCA) performance benchmark, the Cambridge Associates LLC U.S Venture Capital Index®. Although returns were down for the quarter as well as the 1-, 3-, and 15-year horizons, the declines were only slight. The 5-, 10- and 20-year horizons all showed higher returns from the previous quarter. Compared to other benchmarks, venture capital outperformed the DJIA during the second quarter, but was down compared to the NASDAQ Composite and the S&P 500. Venture capital outperformed the other leading benchmarks during the 10-, 15- and 20-year time horizons. However, with the exception of the DJIA during the 1-year time horizon, the DJIA, NASDAQ Composite and the S&P 500 all outperformed venture capital during the 1-, 3- and 5-year time horizons. (more…)

Year-To-Date Venture Capital Dollars Invested Eclipses Total Dollars Invested in all of 2013

Venture Capital Investing in Q3 Down 27% from Q2, but Number of Deals Exceeds 1,000 for the Sixth Consecutive Quarter

WASHINGTON, OCTOBER 17, 2014 – Venture capitalists invested $9.9 billion in 1,023 deals in the third quarter of 2014, according to the MoneyTree™ Report from PricewaterhouseCoopers LLP (PwC) and the National Venture Capital Association (NVCA), based on data provided by Thomson Reuters. Quarterly venture capital (VC) investment declined 27 percent in terms of dollars and 9 percent in the number of deals, compared to the second quarter when $13.5 billion was invested in 1,129 deals. The third quarter is the sixth consecutive quarter of more than 1,000 companies receiving venture capital investments in a single quarter. With more than $33.0 billion invested through the first three quarters, total venture investing in 2014 has eclipsed total venture investing in all of 2013, which totaled $30.0 billion. (more…)

Year To Date Venture Capital Fundraising Surpasses Full Year 2013 Commitment Levels

U.S. Firms Raise Nearly $6.1 Billion During Third Quarter

New York, October 9, 2014 – U.S. venture capital firms raised $6.1 billion in new commitments from 60 funds during the third quarter of 2014, a 26 percent decrease compared to the number of funds raised during the second quarter of 2014 and a 21 percent decline by dollar commitments, according to Thomson Reuters and the National Venture Capital Association (NVCA). The level of dollar commitments raised during the third quarter of 2014 increased 40 percent compared to the third quarter of last year and brings the dollar volume of capital committed to U.S. venture capital funds during the first nine months of 2014 to $23.8 billion, eclipsing full year 2013 levels. (more…)

Venture-Backed IPO Exit Activity Extends Streak Of 20+ Offerings For Sixth Consecutive Quarter

IPO Activity in First Nine Months of Year Eclipses 2013 Total

New York, New York, October 1, 2014 – Twenty-three venture-backed initial public offerings (IPOs) raised $2.6 billion during the third quarter of 2014, marking the sixth consecutive quarter to see 20 or more venture-backed IPOs, according to the Exit Poll report by Thomson Reuters and the National Venture Capital Association (NVCA). Bolstered by biotechnology offerings, third quarter IPOs pushed the total number of offerings during the first nine months to 88, eclipsing full year 2013 levels. For the third quarter of 2014, 119 venture-backed M&A deals were reported, 32 of which had an aggregate deal value of $7.9 billion, more than double the disclosed value recorded during the second quarter of this year. Average deal size during the third quarter totaled $248.2 million, a marked increase compared to the second quarter of 2014. (more…)

NVCA to FCC: Entrepreneurs Should Not Face Arbitrary Roadblocks on Internet

ARLINGTON, VA – The National Venture Capital Association (NVCA) today filed a second comment letter with the Federal Communications Commission (FCC) on the issue of net neutrality.

Bobby Franklin, President and CEO of NVCA, made clear in the letter that FCC rulemaking should not come at the expense of entrepreneurs and that anything short of fair and equitable access to users and customers through the Internet could jeopardize startup companies. (more…)

Kate Mitchell of Scale Venture Partners Rejoins NVCA Board of Directors

ARLINGTON, VA – The National Venture Capital Association (NVCA) today announced that Kate Mitchell, Co-Founder and Partner of Scale Venture Partners and former Chairman of the NVCA Board of Directors, will rejoin NVCA’s board as a director effective immediately. Mitchell’s term will expire in 2016 and comes after Adam Grosser, Managing Director of Silver Lake Kraftwerk, resigned from the NVCA board. Mitchell previously joined the NVCA board as a director in 2007 and then later served as chairman from 2010 to 2011. (more…)

Global Investor Confidence in US Soars for Third Straight Year, According to 2014 Global Venture Capital Confidence Survey

Research validates that venture capital fundraising and IPOs are on the rise, with favorable investment outlooks continuing in cloud computing and mobile technology

New York, Aug. 13, 2014 — Global investor confidence in the United States significantly increased for the third year in a row, driven by a combination of favorable capital markets, abundant investment opportunities in innovative companies and a strong investor climate, according to the 2014 Global Venture Capital Confidence Survey from Deloitte and the National Venture Capital Association. Moreover, global investor confidence also increased in the United Kingdom, Israel and Canada, but continued to decline in Brazil, China and India, according to the survey. (more…)

Changes to Regulatory and Reimbursement Policies Key to Maintaining U.S. Leadership in Medical Innovation

NVCA offers recommendations to House Energy and Commerce Committee as part of the 21st Century Cures initiative

ARLINGTON, VA – The National Venture Capital Association (NVCA) today offered recommendations to the House Energy and Commerce Committee on how best to encourage investment in medical innovation so that new treatments and cures are available to patients and the U.S. maintains its position as the global leader in medical research and development. NVCA’s recommendations were provided to the committee as part of the 21st Century Cures initiative being spearheaded by Rep. Fred Upton (R-MI), Chairman of the House Energy and Commerce Committee, and committee member Rep. Diana DeGette (D-CO). (more…)

Changes to Regulatory and Reimbursement Policies Key to Maintaining U.S. Leadership in Medical Innovation

NVCA Offers Recommendations to House Energy and Commerce Committee as Part of the 21st Century Cures Initiative

ARLINGTON, VA – The National Venture Capital Association (NVCA) today offered recommendations to the House Energy and Commerce Committee on how best to encourage investment in medical innovation so that new treatments and cures are available to patients and the U.S. maintains its position as the global leader in medical research and development.  NVCA’s recommendations were provided to the committee as part of the 21st Century Cures initiative being spearheaded by Rep. Fred Upton (R-MI), Chairman of the House Energy and Commerce Committee, and committee member Rep. Diana DeGette (D-CO). (more…)

Venture Capital Fund Performance Continues to Strengthen Amid Growth Prospects and Exit Market

Venture Capital Outperformed DJIA, NASDAQ Composite and S&P 500 in Q1 2014

Arlington, VA, July 31, 2014 – Venture capital fund performance continued to make gains across most time horizons as of March 31, 2014, according to the National Venture Capital Association’s (NVCA) performance benchmark, the Cambridge Associates LLC U.S Venture Capital Index®. Despite returns being down on a quarter over quarter basis, the 1-, 5-, 10- and 20-year horizons all showed higher returns compared to the previous quarter. The 15-year horizon was down and the 3-year horizon was unchanged. Compared to other benchmarks, venture capital outperformed the DJIA, NASDAQ Composite and the S&P 500 during Q1 2014. In addition, venture capital outperformed the other leading benchmarks during the 1-, 3-, 10-, 15- and 20-year time horizons. However, during the 5-year time horizon, the DJIA, NASDAQ Composite and the S&P 500 all outperformed venture capital. (more…)