Venture capital needs to be returned not to be blinded by high returns

The venture capital abbreviation is VC, in our country is a conventional has the specific connotation the concept of, in fact translating it into venture capital more appropriate. The generalized venture capital refers to all investments with high risk and high potential returns ; in the narrow sense, the venture capital is the investment of manufacturing and managing technology-intensive products on the basis of High-tech . According to the American Venture Capital Association, Venture Capital is a kind of equity capital invested by professional financiers in a new, rapidly developing, and potentially competitive enterprise.

Zhidong-Once there is the Chinese Securities Industry godfather, the venture capital industry more than 10 years ago, Shenzhen Oriental Hui Fu Venture Capital Management Co., Ltd. as chairman of the company, in Nanjing to participate in the investment bank innovative Growth enterprise Financial services promotion. At the meeting, in view of the development of venture capital and prospects, he issued the following feeling: venture capital needs to return to the root, do not just want to make a lot of money to earn fast, be confused by high returns.

At present, venture capital funds invest in a company, mainly through the listing of enterprises to exit, and then to obtain income. After the opening of the gem, this way to create a large number of billionaires, the wealth-creating effect also attracted a large number of funds into the venture capital industry. For now, the rate of return on venture capital's initial IPO is falling. Data show that the 2012-year quarter, the country's 50 venture capitalists through the listing of 31 companies, the realization of 62 withdrawal, the average book return of 3.72 Times times, the chain reduction of 2.26 times times, again to create the new two-year low.

Zhidong that the two-tier market downturn, leading to the risk of venture capital IPO exit yield decline is normal, which will make the current stage of venture capital cooling, and thus accelerate the market reshuffle. For professional venture capital organizations, now is a good time to develop. "In fact, many of the venture capital institutions that have been set up in the past two years do not have investment projects. Because the venture capital industry, easy to understand, it is not easy to go deep. He said, "If you want to invest in late, near-listing projects, just want to make a lot of money to make a quick buck, often do not get the favor of enterprises, and investment costs higher." Therefore, in the project choice, has the vision the venture capital organization is gradually increasing to the Prophase project, the Seed Stage project investment dynamics. ”