The venture capital landscape is shifting dramatically, particularly for small firms and emerging managers who are struggling to secure funding amidst high interest rates and economic instability. The total funding for U.S. emerging managers plummeted to $17 billion in 2022 from $64 billion in 2021. Influential investors like family offices and wealthy individuals are hesitant, while university endowments face pressure from political entities. Despite these challenges, some firms like Chemistry, co-founded by Kristina Shen, are finding ways to succeed, showcasing the resilience among certain new players in the market.
There's a crisis brewing for the next generation of venture capitalists, as hundreds of small firms struggle to raise funds amid economic uncertainty.
Emerging managers have seen funding decline drastically, from $64 billion in 2021 to just $17 billion last year, indicating a worrying trend in venture capital.
Collection
[
|
...
]