#OpenLP Aug 2020 -- Tips for Emerging Managers, Fundraising Outlook, and Private IPOs

The 4 P’s of Fundraising for Emerging Managers

Raising capital as a first-time venture capital manager (or “VC”) is always challenging – primarily due to a lack of track record and performance coupled with not knowing or having access to prospective limited partners (those entities or individuals who invest in venture funds or “LPs”).

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Should You Raise A Fund? An LP’s View On Challenges And Alternatives

The last few years of this capital cycle have paved the way to an explosive growth of first-time funds in alternative assets including venture capital and crypto. As an LP, I had the chance to speak candidly with many aspiring fund managers in the early stages of thinking about raising a fund. This post surfaces underestimated challenges and reasons why starting a fund is not always the best choice...

Discussing Portfolio Construction with LPs: The Surface, the Math, the Execution

Portfolio Construction is one of the most complex and underestimated aspects in Venture Capital. It is complex for three reasons:

Private IPOs are Here to Stay (For Now)

The topic of Private IPOs is getting a lot of interest and is something we have examined before. We have spent the last 18 months thinking about what a new normal might look like as companies choose to remain private for longer. While we do not have a crystal ball, we think that the Private IPO is here to stay (for now).

The Unspoken Rules of Limited Partner Investing

A limited partner (LP) invests money into a fund with the hope of great financial returns, but with no day-to-day involvement or control over that fund.

Liquidity Tools for Emerging VC Managers

We deconstruct the opportunities to provide liquidity to micro VCs and emerging managers. Our analysis explores two questions...

A Conversation about Expanding Diversity & Inclusion in Silicon Valley and Beyond

The data tell the story: Less than 1% of venture capital in the United States is invested in companies led by Black entrepreneurs. Add "female" as a data filter and it drops to 0.2%. Amid reckoning with legacies of racial injustice, we wanted to examine how a lack of representation in the startup ecosystem hinders access to...

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What you need to know about fundraising this year

We’re a little over half-way through 2020 and COVID-19, rollercoaster equity markets and record unemployment rates have dominated the 2020 fundraising narrative. The fundraising discussion seems to shift daily from gloom and doom to cautious optimism that the COVID fallout won’t be as bad as predicted.

Diaspora Ventures explains how AngelList’s rolling venture funds work

A few days ago, Ilan Abehassera and Carlos Diaz announced Diaspora Ventures, their new VC fund.The duo plan to invest in French founders who have a global mindset: They might be based in France and willing to relocate to the U.S., in the U.S. already or they might be starting a remote company from day one.

Venture Capital Realizes that its Race Problem Extends Beyond Each Firm

As firms pledge their support to the Black community and launch diversity initiatives, there is also acknowledgement that the industry is not a meritocracy.