Nanotechnology Now

Our NanoNews Digest Sponsors



Heifer International

Wikipedia Affiliate Button


android tablet pc

Home > News > It's Time for a Federal Fund of VC Funds

February 24th, 2009

It's Time for a Federal Fund of VC Funds

Abstract:
Thomas L. Friedman makes a strong argument for investing in the future not the past, in this Sunday's (February 23rd ) New York Times editorial "Start Up The Risk Takers". He argues that putting $20 billion to work in the areas of technology and innovation with entrepreneurs who can lead us to the future is better spent tax-payer money than $20 billion spent propping up business like the auto industry that have obsolete business models.

Let's set aside the auto industry rescue for a moment as it is not the only bailout in progress. It pales in comparison to the bank bailouts that have already been granted.

A Fund of VC Funds

Let's focus instead on Tom Friedman's notion of $20 billion set aside to invest in venture capital funds that in turn will invest in technology, alternative energy, biotech, nanotech and clean tech companies. The idea for a fund of VC funds is a promising one, but it is not focused enough to produce results, and here's my reason why. Investing a billion dollars in each of 20 venture capital firms will not necessarily produce the results we want because funds at this level are often late stage funds that need to put large amounts of capital to work. Some like Kleiner Perkins Caulfield & Byers, Sequoia Capital and Benchmark are Venture Capital funds that can do both - that is invest in early stage and have the economic power and resources to invest large sums in later stage, too. Yes, Tom Friedman is right when he says that much of the capital for these VC's came from pension funds, university endowments and the like. They are down on their portfolios too. Many are looking for sources of capital right now and not more investments. Frankly, lack of exit strategies for these investments creates a bigger downdraft now.

Source:
huffingtonpost.com

Bookmark:
Delicious Digg Newsvine Google Yahoo Reddit Magnoliacom Furl Facebook

Related News Press

News and information

Atom-thick CCD could capture images: Rice University scientists develop two-dimensional, light-sensitive material December 20th, 2014

Oregon researchers glimpse pathway of sunlight to electricity: Collaboration with Lund University uses modified UO spectroscopy equipment to study 'maze' of connections in photoactive quantum dots December 19th, 2014

Instant-start computers possible with new breakthrough December 19th, 2014

Aculon Hires New Business Development Director December 19th, 2014

VC/Funding/Angel financing/Loans/Leases/Crowdfunding

Pixelligent Closes $5.5 Million in Funding: Capital Will Be Used to Support Global Customer Growth December 12th, 2014

Eight19 secures 1m funding: Investment to develop production technology, and expand commercial activities for organic photovoltaics November 19th, 2014

Harris & Harris Group Reports Financial Statements as of September 30, 2014 November 11th, 2014

Harris & Harris Group to Host Conference Call on Third Quarter 2014 Financial Results on November 12, 2014 November 3rd, 2014

Govt.-Legislation/Regulation/Funding/Policy

Atom-thick CCD could capture images: Rice University scientists develop two-dimensional, light-sensitive material December 20th, 2014

Oregon researchers glimpse pathway of sunlight to electricity: Collaboration with Lund University uses modified UO spectroscopy equipment to study 'maze' of connections in photoactive quantum dots December 19th, 2014

Switching to spintronics: Berkeley Lab reports on electric field switching of ferromagnetism at room temp December 17th, 2014

ORNL microscopy pencils patterns in polymers at the nanoscale December 17th, 2014

Interviews/Book Reviews/Essays/Reports/Podcasts/Journals/White papers

Atom-thick CCD could capture images: Rice University scientists develop two-dimensional, light-sensitive material December 20th, 2014

Oregon researchers glimpse pathway of sunlight to electricity: Collaboration with Lund University uses modified UO spectroscopy equipment to study 'maze' of connections in photoactive quantum dots December 19th, 2014

Instant-start computers possible with new breakthrough December 19th, 2014

Iranian Scientists Use Nanotechnology to Increase Power, Energy of Supercapacitors December 18th, 2014

NanoNews-Digest
The latest news from around the world, FREE




  Premium Products
NanoNews-Custom
Only the news you want to read!
 Learn More
NanoTech-Transfer
University Technology Transfer & Patents
 Learn More
NanoStrategies
Full-service, expert consulting
 Learn More










ASP
Nanotechnology Now Featured Books




NNN

The Hunger Project







© Copyright 1999-2014 7th Wave, Inc. All Rights Reserved PRIVACY POLICY :: CONTACT US :: STATS :: SITE MAP :: ADVERTISE