This morning’s roundup of the latest venture capital news and analysis across the Web:
How Low Can We Go? - As expected, 10-year investment returns are falling faster than Pink in a robe. Research firm Cambridge Associates released its quarterly report this morning that shows returns from the past 10 years (the typical life of a venture fund) is at 8.41%, falling from 14.3% in the previous quarter and 40.2% a year earlier. Funds from 1999 have paid just 0.63 times the amount of capital paid in by limited partners, while 2000 funds have paid just 0.38 times. It’s worth noting there are still hundreds of companies out there that raised venture capital at least 10 years ago, so those numbers have the potential to go up - whether or not these companies will be able to exit at strong prices is an open question.
To read the full, original article click on this link: The Daily Start-Up: Venture Returns Are Free Fallin’ - Venture Capital Dispatch - WSJ
Author: Scott Austin
