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VC Optimism Returning But More Pain Ahead In Their Portfolios

Hunter Walker

Our estimates were not out of line with new data from top firms like USV who, according to reports, “ marked down the value of seven of its funds by nearly 26%.” ” What are my major assumptions for why there’s more markdowns to come in the aggregate for the last decade of venture portfolios? Valuations.

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On the Road to Recap:

abovethecrowd.com

Many have noted that the aggregate shareholder value created by all of the Unicorns will vastly overshadow the losses from the inevitable failed unicorns. These mutual funds “mark-to-market” every day, and fund managers are compensated periodically on this performance. Late 2015 also brought the arrival of “mutual fund markdowns.”

IPO 40