VC Market: 3 takeaways from ‘23 and 4 predictions for ‘24 78 implied HN points • 04 Jan 24 💼 Business Venture Capital Startups Predictions Funding Investments Global VC investments decreased in 2023, especially in European tech. Funding for European early-stage companies remained steady, with higher valuations at pre-Series A companies. In the New Nordics, climate tech attracted the most funding, with predictions for a fundraising frenzy in 2024 and higher bar for early-stage funding.
Venture Capital is a MEAN business 78 implied HN points • 13 Dec 23 💼 Business Venture Capital Returns Investment strategy Venture Capital generally outperforms every other asset class but has wider variance in returns Half of VC funds beat the stock market, but bottom quartile funds likely lose money The average VC fund is average; top quartile performance may not be sufficient to succeed
VC 201 - The VC Success Equation 58 implied HN points • 14 Oct 23 💼 Business Venture Capital Investing Success Strategies Optimism is important in venture capital to avoid costly mistakes of omission. Probabilistic thinking is crucial in evaluating investment opportunities. Contrarianism can help in standing out and achieving outsized returns in VC.
VC 101 - Cultivating a Venture Mindset 2 HN points • 21 Feb 23 💼 Business Venture Capital Investing Decision-making Success Feedback loops Venture capital involves big swings and high risks for potentially large returns. Investing in startups is simple in theory but challenging in practice due to the uncertainty of outcomes. In venture capital, feedback loops are long, and success can hinge on making a few key decisions.