This report analyzes venture capital investment in the Denver metro area from 2008 to 2012. Some key findings:
- Total venture capital funding declined sharply from $300 million in early 2008 to a low of $60 million in late 2012 due to the economic downturn, but has begun to recover in recent years.
- Denver ranked 8th among peer cities in deal count and 9th in total funding over this period.
- Funding has shifted towards earlier and later stage businesses, with less at the seed stage due to high risk.
This document introduces a new dataset on small and medium enterprises (SMEs) to fill gaps in cross-country SME data. The summary analyzes the dataset and finds:
1) Global SME lending is estimated to be $10 trillion, with 70% in high-income countries.
2) SME loans average 13% of GDP in developed countries and 3% in developing countries.
3) Differences in SME definitions across countries do not significantly impact cross-country comparisons of SME lending volumes.
The Role of Financial Technologies in the Global Economyijtsrd
The article analyses the global trends in the development of financial technologies, and their role in the development of global economy. We tried to research the existing trends in the development of financial sector and highlight the nature of the new coming innovations. Taniev A. B "The Role of Financial Technologies in the Global Economy" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Special Issue | Modern Trends in Scientific Research and Development, Case of Asia , October 2020, URL: https://www.ijtsrd.com/papers/ijtsrd35768.pdf Paper Url :https://www.ijtsrd.com/economics/financial-economics/35768/the-role-of-financial-technologies-in-the-global-economy/taniev-a-b
Taking the Investor Perspective with SenseMaker® Marcus Guest
The joint study by KPMG and RSPP in 2013 looked at foreign business investors' perspectives on the regional investment climate in Russia. Key findings included:
- Foreign investors chose Russia primarily for large market opportunities outside of energy and natural resources, showing Russia's growing diversification.
- While overall investor confidence was improving, it varied significantly between regions depending on investors' interactions with regional governments.
- Regional readiness to attract investors often failed to meet specific industry needs.
- Corruption may have been responsible for the failure of as many as 1 in 7 potential investments.
- A few regions were praised for making FDI a priority and putting investors' perspectives at the heart of their strategies.
This newsletter introduces a new publication called "EYE ON THE MARKETS" that will analyze macroeconomic trends, investment management, and equity market movements. The author argues that macro events have an overwhelming influence on stock markets, and periods of calm have been interrupted by market sell-offs due to crises in Europe, the US, and Asia. Investors need to carefully manage their portfolios and prepare contingency plans for different scenarios. Some positive factors are signs of recovery in corporate earnings, manufacturing, and technology, though continued global uncertainties remain.
The issue of getting finances for the small businesses and entrepreneurs is always been in debate and remain unresolved in the developing countries due to unavailability of qualified venture capitalists. The developing and emerging economies set the micro finance banks for this purpose, however, it is argued that the owner and entrepreneur faces many problems like collaterals, documentation, etc. This research focuses on the role of financial banks in promoting the small business and entrepreneurial culture in the Saudi Arabia in providing credit. The research applied a mixed methodology and at the first stage, qualitative data is collected and then the results of these structured interviews were used to construct a survey
questionnaire for the quantitative analysis. The result of study shows that the levels of business cooperation and information sharing and quality of business have an important significance on the success of loan application. Furthermore, the results also support that the bureaucracy of bank in terms of loan documents requirement and loan evaluation procedure can make small business hesitate when applying for loans.
Etude PwC CEO Survey banque et marchés de capitaux (2014)PwC France
http://pwc.to/1j7wgKv
D'après la 17e édition de l'étude annuelle de PwC menée auprès des dirigeants, qui intègre les contributions de 133 chefs d'entreprise du secteur bancaire dans 50 pays, 90% des dirigeants de ce secteur sont confiants quant à la croissance de leur chiffre d'affaires au cours des trois prochaines années.
Le nombre de ceux qui prévoient une amélioration de l'économie mondiale au cours des douze prochains mois a presque triplé par rapport à l'an dernier (56% actuellement contre 19% l'année dernière).
Le fait que 52% d'entre eux envisagent d'accroître leurs effectifs au cours de l'année – d'au moins 5% pour la plupart – illustre cette dynamique.
Standard Chartered Opportunity 2030 - SDG Investment MapJohn Smith
Executive summary - The USD10 trillion investment opportunity
The private sector has a critical role to play in meeting the UN’s Sustainable Development Goals (SDGs) over the next decade. Not only is it expected that private investors will contribute their share, there is a clear business case for doing so as, increasingly, investors build environmental, social and governance risk into their decision-making and seek to act in the interests of a broader range of stakeholders.
The global financial stock grew by $11 trillion in 2010 to $212 trillion total, surpassing pre-crisis levels. Nearly half of the growth came from a $6 trillion increase in global stock market capitalization. Global credit markets also grew by $5.5 trillion to $158 trillion total, with most growth coming from a $4.4 trillion increase in government debt as budget deficits rose in many countries. Bank lending grew by $2.6 trillion while bond issuance by corporations and financial institutions was mixed.
This document introduces a new dataset on small and medium enterprises (SMEs) to fill gaps in cross-country SME data. The summary analyzes the dataset and finds:
1) Global SME lending is estimated to be $10 trillion, with 70% in high-income countries.
2) SME loans average 13% of GDP in developed countries and 3% in developing countries.
3) Differences in SME definitions across countries do not significantly impact cross-country comparisons of SME lending volumes.
The Role of Financial Technologies in the Global Economyijtsrd
The article analyses the global trends in the development of financial technologies, and their role in the development of global economy. We tried to research the existing trends in the development of financial sector and highlight the nature of the new coming innovations. Taniev A. B "The Role of Financial Technologies in the Global Economy" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Special Issue | Modern Trends in Scientific Research and Development, Case of Asia , October 2020, URL: https://www.ijtsrd.com/papers/ijtsrd35768.pdf Paper Url :https://www.ijtsrd.com/economics/financial-economics/35768/the-role-of-financial-technologies-in-the-global-economy/taniev-a-b
Taking the Investor Perspective with SenseMaker® Marcus Guest
The joint study by KPMG and RSPP in 2013 looked at foreign business investors' perspectives on the regional investment climate in Russia. Key findings included:
- Foreign investors chose Russia primarily for large market opportunities outside of energy and natural resources, showing Russia's growing diversification.
- While overall investor confidence was improving, it varied significantly between regions depending on investors' interactions with regional governments.
- Regional readiness to attract investors often failed to meet specific industry needs.
- Corruption may have been responsible for the failure of as many as 1 in 7 potential investments.
- A few regions were praised for making FDI a priority and putting investors' perspectives at the heart of their strategies.
This newsletter introduces a new publication called "EYE ON THE MARKETS" that will analyze macroeconomic trends, investment management, and equity market movements. The author argues that macro events have an overwhelming influence on stock markets, and periods of calm have been interrupted by market sell-offs due to crises in Europe, the US, and Asia. Investors need to carefully manage their portfolios and prepare contingency plans for different scenarios. Some positive factors are signs of recovery in corporate earnings, manufacturing, and technology, though continued global uncertainties remain.
The issue of getting finances for the small businesses and entrepreneurs is always been in debate and remain unresolved in the developing countries due to unavailability of qualified venture capitalists. The developing and emerging economies set the micro finance banks for this purpose, however, it is argued that the owner and entrepreneur faces many problems like collaterals, documentation, etc. This research focuses on the role of financial banks in promoting the small business and entrepreneurial culture in the Saudi Arabia in providing credit. The research applied a mixed methodology and at the first stage, qualitative data is collected and then the results of these structured interviews were used to construct a survey
questionnaire for the quantitative analysis. The result of study shows that the levels of business cooperation and information sharing and quality of business have an important significance on the success of loan application. Furthermore, the results also support that the bureaucracy of bank in terms of loan documents requirement and loan evaluation procedure can make small business hesitate when applying for loans.
Etude PwC CEO Survey banque et marchés de capitaux (2014)PwC France
http://pwc.to/1j7wgKv
D'après la 17e édition de l'étude annuelle de PwC menée auprès des dirigeants, qui intègre les contributions de 133 chefs d'entreprise du secteur bancaire dans 50 pays, 90% des dirigeants de ce secteur sont confiants quant à la croissance de leur chiffre d'affaires au cours des trois prochaines années.
Le nombre de ceux qui prévoient une amélioration de l'économie mondiale au cours des douze prochains mois a presque triplé par rapport à l'an dernier (56% actuellement contre 19% l'année dernière).
Le fait que 52% d'entre eux envisagent d'accroître leurs effectifs au cours de l'année – d'au moins 5% pour la plupart – illustre cette dynamique.
Standard Chartered Opportunity 2030 - SDG Investment MapJohn Smith
Executive summary - The USD10 trillion investment opportunity
The private sector has a critical role to play in meeting the UN’s Sustainable Development Goals (SDGs) over the next decade. Not only is it expected that private investors will contribute their share, there is a clear business case for doing so as, increasingly, investors build environmental, social and governance risk into their decision-making and seek to act in the interests of a broader range of stakeholders.
The global financial stock grew by $11 trillion in 2010 to $212 trillion total, surpassing pre-crisis levels. Nearly half of the growth came from a $6 trillion increase in global stock market capitalization. Global credit markets also grew by $5.5 trillion to $158 trillion total, with most growth coming from a $4.4 trillion increase in government debt as budget deficits rose in many countries. Bank lending grew by $2.6 trillion while bond issuance by corporations and financial institutions was mixed.
Does Bank Credit Have Any Impact on Nigeria’s Domestic Investment?iosrjce
There is an extensive literature on the role of the bank lending and credit facilities in Nigeria but
most of these literature concentrate on its impact on the gross domestic product. This study focuses on the
impact of Nigeria’s banking sector on domestic investment from 1980 to 2012 bearing in mind that funding is
one of the major challenges of domestic entrepreneurs in Nigeria. A domestic investment model was adopted
and the unit root test was first applied to the data set. All the data are stationary and the ordinary least square
method was used to identify the impact of capital market activities on domestic investment in Nigeria using the
cointegration technique. Findings reveal that bank credit negatively though significantly impacted on domestic
investment in the long run while its short run impact is both positive and significant. This is an indication that
financial intermediation (captured by bank credit to private sector) is a strong driver of domestic investment in
Nigeria only in the short run. The study thus recommends amongst others, the strengthening of Nigeria’s
banking system with more funds and supervisions as well as the encouragement of both foreign and domestic
investments through government’s creation of a more conducive political and economic climate.
High-growth innovation companies in the UK anticipate impressive job growth in 2014 as they take a global approach to business expansion, according to Silicon Valley Bank's 2014 Innovation Economy Outlook study. These findings are based on Silicon Valley Bank's annual survey of more than 1,200 executives from software, hardware, cleantech and healthcare companiesin startup and growth stages of business in the US, UK and other global innovation hubs. In addition to the high rate of anticipated job creation, the study also reveals pervasive optimism, intent to access international markets for sales, and the ever-present challenge to obtain equity capital by some of the most innovative, high-growth companies in the world.
Based on a contracted assignment from the Oakland, CA chapter of the Public Banking Institute, a real-world model was created to simulate a Public Bank for that city.
A document utilizing a custom spreadsheet, based on an established simple bank spreadsheet, that considers a Public Bank's: Startup Costs, Sources of funding for both capitalization and deposits, fixed costs, operating ratios, performance metrics, loan loss scenarios, ROE & ROA. Comparisons are made to commercial banks and advantages of the public banking model are described in real results.
The main main is a hypothetical Bank of Oakland (pop. 413,000), using real data from their 2015 CAFR, 8 years of returns and dividends to repay initial equity to the pension fund.
A second result is used to test the model for New Hampshire, showing economy of scale for that State Bank.
The model spreadsheet's screenshots are included in the document.
This document analyzes the impact of foreign direct investment (FDI) on Sri Lanka's economic growth from 2005 to 2008. It aims to determine the amount of FDI contributed by different countries during this period and identify which sectors received more FDI. It also examines the key issues facing FDI in Sri Lanka and provides recommendations to enhance FDI. The analysis is based on published FDI data from Sri Lanka's Board of Investment. While Sri Lanka has generally benefited from FDI, the government and Board of Investment should consider sector-specific factors to create a sound environment for attracting more foreign investment.
This document discusses options for addressing budget shortfalls faced by state and local governments. It argues that creating public banks owned by states is a viable alternative to cutting services, raising taxes, or relying on borrowing. The Bank of North Dakota is presented as a successful model, having maintained strong credit ratings and returned profits to the state treasury for over 20 years. Establishing public banks could allow states to leverage their existing liquid assets to generate loans and income, similarly to how private banks operate, in order to stabilize revenues without federal assistance or taking on high interest debt.
The document provides an overview of recent US economic data and projections. It discusses improving indicators for GDP growth, unemployment claims, consumer spending and inflation expectations. Housing starts are gradually recovering but vehicle sales have far to go. The federal budget deficit was $1.3 trillion in 2010 and is projected to be $1.5 trillion in 2011, with the debt-to-GDP ratio expected to continue rising according to baseline forecasts.
Grant Thornton/Pitchbook PE Exits ReportMMMTechLaw
The document summarizes private equity exit activity in 2011 and 2012 trends. It found that 420 US companies were exited in 2011 through sales or IPOs totaling $104 billion, similar to 2010 levels. While exit levels remain strong, the growing gap between investment and exits is concerning as it indicates portfolio companies are being held longer. Secondary buyouts could help address the growing inventory of companies by shortening hold periods. The report aims to analyze industry-level data to better understand which sectors may see more exits or hold periods lengthen further.
Empirical Research on Performance of Private and Public Real Estate InvestmentsBrad Case, PhD, CFA, CAIA
This bibliography of published research comparing the performance of investments in private equity real estate and public real estate (REITs) shows that empirical data from the late 1970s to the present has never, ever, even once, suggested that institutional investments in private equity real estate have outperformed public real estate.
Remittances - the unsung investment factor?MarkCILN
Remittances have become a pivotal feature of many economies. Where once such monies went to pay for basics such as food and elementary schooling, there would appear to be a growing body of evidence to suggest that remittances are beginning to provide essential seed funding for entrepreneurial activity.
The document is a report on private equity exits in 2012 that contains the following key points:
- Private equity exit activity in 2011 totaled 420 deals and $104 billion, similar to 2010 levels.
- Exit activity increased in the second half of 2011 while investment activity declined.
- Private equity firms were able to execute exits across all industries and company sizes.
- Median exit valuation multiples hit a three-year high, driven by improving company performance and demand in the M&A market.
The key theme of the report is whether emerging and developed economies will converge or diverge over the decade. It finds that convergence will continue in two areas: market structures and investment approaches. For market structures, 56% expect further convergence in areas like standard of living and market depth. For investment approaches, 32% expect convergence in cognitive aspects of investing, but less in intuitive aspects like buy-and-hold investing. Overall, the report examines whether investor perceptions of emerging markets are changing, what will drive asset prices in emerging and developed economies, and what asset classes will be in most demand.
Michael Durante Western Reserve Blackwall Partners Camel RaceMichael Durante
The document discusses the outlook for the financial sector following the financial crisis. It argues that banks now have record levels of excess capital and liquidity that will be deployed aggressively, driving strong earnings growth and multiple expansion in financial stocks. The valuation of financial stocks is at historic lows compared to their historic earnings and cash flows. However, fund managers remain significantly underweight financial stocks due to the complexities of bank accounting and lingering effects of the crisis. The document advocates that the set-up is similar to the post-savings and loan crisis period of the 1990s, which saw a powerful rally in financial stocks. It evaluates specific banks like Fifth Third Bancorp using the CAMEL framework to assess their financial strength and outlook.
This document provides an overview of the Chinese shadow banking system, including comparisons to past financial crises. It identifies key risk indicators such as rising house prices and refinancing risk. Scenario analysis highlights inherent risks, and possible solutions are discussed. The shadow banking system has grown rapidly in China in recent years through various products like wealth management programs and local government financing vehicles. There is concern about interconnected risks between banks and shadow banking and a potential crisis if the situation is not monitored closely.
Income and consumption changes did not move in tandem; there was only a slightly positive correlation between changes in income and changes in consumption between 2013 and 2014.
Demand of External Finance by SMEs in Addis AbabaElias Eriksson
This document summarizes a study on the demand for external financing among manufacturing SMEs in Addis Ababa, Ethiopia. The study uses quantitative data from Ethiopian manufacturing firms from 2012-2013 to examine what factors influence their use of bank loans. It also conducts qualitative interviews with SME managers to understand their financial behaviors and perceptions of external financing. The results show that firm size and fixed assets are positively correlated with having a bank loan, while profitability and age may be negatively correlated. Interviews reveal that small, labor-intensive firms rely more on informal financing due to perceived barriers to banks, like high collateral requirements. The author recommends improving foreign currency flows, contract enforcement, and lowering perceived barriers to banks to
This document proposes a framework for microfinance institutions to measure and report their "double bottom line" of financial and social performance. It defines key terms like inputs, outputs, outcomes, and indicators. It also draws on two existing models: the United Way's logic model for measuring social outcomes and Dr. Garber's model of the microfinance investment chain. The proposed double bottom line framework places capital/investment as the input, the microfinance institution as the entity, loans as the output, and financial performance and social benefits as the outcomes with defined metrics and indicators. This framework is intended to help microfinance institutions better communicate their impacts to attract socially responsible investors.
Funding A Technology Start Up Insights Into The World Of Venture CapitalThomas Weithman
The document discusses various topics related to venture capital funding for technology startups. It provides an overview of what venture capital is and how it works. It also discusses changes in the venture capital industry, including challenges with exit markets and declining IPO activity. Additionally, it outlines opportunities for regional startups in the DC area from its strong economy, federal funding, and talented workforce. It concludes with advice for entrepreneurs on partnering with VCs and alternative funding options.
China’s growth and appetite for foreign direct investment (FDI) has made Africa its largest investment destination, according to a new report written by the Economist Intelligence Unit (EIU) for leading global law firm, Mayer Brown. The report, “Playing the Long Game: China’s Investment in Africa”, finds that whilst energy and mineral resources have attracted the most Chinese FDI, investments and activities that support Africa’s physical infrastructure is underestimated.
Exploring the opportunities and challenges facing Chinese investors in Africa, the report highlights increased African trade, more direct investment and a surge in export credit financing as the primary drivers of China’s current economic policy towards Africa and looks at the diversity and success of projects that have been financed. It also documents the perception of Chinese investment in Africa and the unique political, cultural and legal challenges of realising projects across such a diverse range of countries.
2015 banking outlook: The future is bright, but change your password Grant Thornton LLP
Organic growth will remain elusive, but banks can boost performance by focusing on honing operational efficiencies and shoring up risk management.
Learn more - http://gt-us.co/1uaqYal
An Empirical Analysis of Relationship between Private Equity Investments and ...Dr. Amarjeet Singh
During the last decade the growth in the private
equity industry in India has been phenomenal, especially in
the recent five years. Private equity industry has become the
prime interest area for many researchers and academicians in
India. Private equity industry in India is burgeoning area of
research, which inherits many explorations and untapped
potential areas of research. One such untapped area of
research is the empirical research is relationship between
Private equity investments and exits in India. The research
question which has leaded the study is that Private equity
industry being in its transition stage, does the performance
and opportunities created by the early starters has proven the
potential and invites more investors and investments? In this
line, this study is an attempt to assess the interrelationship and
causal effect in the relationship using VECM (Vector Error
Correction Model) and Granger causality model. The results
of the study confer that existence of long run causal relation
between Private Equity Investments and Private Equity Exits.
Thereby, the study emphasis the impact of private equity exits
on private equity investments in India. Private Equity Exit
opportunities for the investments made plays crucial role in
attracting Private Equity investments in India.
This document summarizes a new dataset on small and medium enterprise (SME) lending across countries. It finds that many regulators collect SME financing data, though definitions vary. The estimated global SME lending volume is $10 trillion, with 70% in high-income countries. SME loans average 13% of GDP in developed countries and 3% in developing countries. While definitions differ, these differences do not significantly impact reported SME lending volumes.
Does Bank Credit Have Any Impact on Nigeria’s Domestic Investment?iosrjce
There is an extensive literature on the role of the bank lending and credit facilities in Nigeria but
most of these literature concentrate on its impact on the gross domestic product. This study focuses on the
impact of Nigeria’s banking sector on domestic investment from 1980 to 2012 bearing in mind that funding is
one of the major challenges of domestic entrepreneurs in Nigeria. A domestic investment model was adopted
and the unit root test was first applied to the data set. All the data are stationary and the ordinary least square
method was used to identify the impact of capital market activities on domestic investment in Nigeria using the
cointegration technique. Findings reveal that bank credit negatively though significantly impacted on domestic
investment in the long run while its short run impact is both positive and significant. This is an indication that
financial intermediation (captured by bank credit to private sector) is a strong driver of domestic investment in
Nigeria only in the short run. The study thus recommends amongst others, the strengthening of Nigeria’s
banking system with more funds and supervisions as well as the encouragement of both foreign and domestic
investments through government’s creation of a more conducive political and economic climate.
High-growth innovation companies in the UK anticipate impressive job growth in 2014 as they take a global approach to business expansion, according to Silicon Valley Bank's 2014 Innovation Economy Outlook study. These findings are based on Silicon Valley Bank's annual survey of more than 1,200 executives from software, hardware, cleantech and healthcare companiesin startup and growth stages of business in the US, UK and other global innovation hubs. In addition to the high rate of anticipated job creation, the study also reveals pervasive optimism, intent to access international markets for sales, and the ever-present challenge to obtain equity capital by some of the most innovative, high-growth companies in the world.
Based on a contracted assignment from the Oakland, CA chapter of the Public Banking Institute, a real-world model was created to simulate a Public Bank for that city.
A document utilizing a custom spreadsheet, based on an established simple bank spreadsheet, that considers a Public Bank's: Startup Costs, Sources of funding for both capitalization and deposits, fixed costs, operating ratios, performance metrics, loan loss scenarios, ROE & ROA. Comparisons are made to commercial banks and advantages of the public banking model are described in real results.
The main main is a hypothetical Bank of Oakland (pop. 413,000), using real data from their 2015 CAFR, 8 years of returns and dividends to repay initial equity to the pension fund.
A second result is used to test the model for New Hampshire, showing economy of scale for that State Bank.
The model spreadsheet's screenshots are included in the document.
This document analyzes the impact of foreign direct investment (FDI) on Sri Lanka's economic growth from 2005 to 2008. It aims to determine the amount of FDI contributed by different countries during this period and identify which sectors received more FDI. It also examines the key issues facing FDI in Sri Lanka and provides recommendations to enhance FDI. The analysis is based on published FDI data from Sri Lanka's Board of Investment. While Sri Lanka has generally benefited from FDI, the government and Board of Investment should consider sector-specific factors to create a sound environment for attracting more foreign investment.
This document discusses options for addressing budget shortfalls faced by state and local governments. It argues that creating public banks owned by states is a viable alternative to cutting services, raising taxes, or relying on borrowing. The Bank of North Dakota is presented as a successful model, having maintained strong credit ratings and returned profits to the state treasury for over 20 years. Establishing public banks could allow states to leverage their existing liquid assets to generate loans and income, similarly to how private banks operate, in order to stabilize revenues without federal assistance or taking on high interest debt.
The document provides an overview of recent US economic data and projections. It discusses improving indicators for GDP growth, unemployment claims, consumer spending and inflation expectations. Housing starts are gradually recovering but vehicle sales have far to go. The federal budget deficit was $1.3 trillion in 2010 and is projected to be $1.5 trillion in 2011, with the debt-to-GDP ratio expected to continue rising according to baseline forecasts.
Grant Thornton/Pitchbook PE Exits ReportMMMTechLaw
The document summarizes private equity exit activity in 2011 and 2012 trends. It found that 420 US companies were exited in 2011 through sales or IPOs totaling $104 billion, similar to 2010 levels. While exit levels remain strong, the growing gap between investment and exits is concerning as it indicates portfolio companies are being held longer. Secondary buyouts could help address the growing inventory of companies by shortening hold periods. The report aims to analyze industry-level data to better understand which sectors may see more exits or hold periods lengthen further.
Empirical Research on Performance of Private and Public Real Estate InvestmentsBrad Case, PhD, CFA, CAIA
This bibliography of published research comparing the performance of investments in private equity real estate and public real estate (REITs) shows that empirical data from the late 1970s to the present has never, ever, even once, suggested that institutional investments in private equity real estate have outperformed public real estate.
Remittances - the unsung investment factor?MarkCILN
Remittances have become a pivotal feature of many economies. Where once such monies went to pay for basics such as food and elementary schooling, there would appear to be a growing body of evidence to suggest that remittances are beginning to provide essential seed funding for entrepreneurial activity.
The document is a report on private equity exits in 2012 that contains the following key points:
- Private equity exit activity in 2011 totaled 420 deals and $104 billion, similar to 2010 levels.
- Exit activity increased in the second half of 2011 while investment activity declined.
- Private equity firms were able to execute exits across all industries and company sizes.
- Median exit valuation multiples hit a three-year high, driven by improving company performance and demand in the M&A market.
The key theme of the report is whether emerging and developed economies will converge or diverge over the decade. It finds that convergence will continue in two areas: market structures and investment approaches. For market structures, 56% expect further convergence in areas like standard of living and market depth. For investment approaches, 32% expect convergence in cognitive aspects of investing, but less in intuitive aspects like buy-and-hold investing. Overall, the report examines whether investor perceptions of emerging markets are changing, what will drive asset prices in emerging and developed economies, and what asset classes will be in most demand.
Michael Durante Western Reserve Blackwall Partners Camel RaceMichael Durante
The document discusses the outlook for the financial sector following the financial crisis. It argues that banks now have record levels of excess capital and liquidity that will be deployed aggressively, driving strong earnings growth and multiple expansion in financial stocks. The valuation of financial stocks is at historic lows compared to their historic earnings and cash flows. However, fund managers remain significantly underweight financial stocks due to the complexities of bank accounting and lingering effects of the crisis. The document advocates that the set-up is similar to the post-savings and loan crisis period of the 1990s, which saw a powerful rally in financial stocks. It evaluates specific banks like Fifth Third Bancorp using the CAMEL framework to assess their financial strength and outlook.
This document provides an overview of the Chinese shadow banking system, including comparisons to past financial crises. It identifies key risk indicators such as rising house prices and refinancing risk. Scenario analysis highlights inherent risks, and possible solutions are discussed. The shadow banking system has grown rapidly in China in recent years through various products like wealth management programs and local government financing vehicles. There is concern about interconnected risks between banks and shadow banking and a potential crisis if the situation is not monitored closely.
Income and consumption changes did not move in tandem; there was only a slightly positive correlation between changes in income and changes in consumption between 2013 and 2014.
Demand of External Finance by SMEs in Addis AbabaElias Eriksson
This document summarizes a study on the demand for external financing among manufacturing SMEs in Addis Ababa, Ethiopia. The study uses quantitative data from Ethiopian manufacturing firms from 2012-2013 to examine what factors influence their use of bank loans. It also conducts qualitative interviews with SME managers to understand their financial behaviors and perceptions of external financing. The results show that firm size and fixed assets are positively correlated with having a bank loan, while profitability and age may be negatively correlated. Interviews reveal that small, labor-intensive firms rely more on informal financing due to perceived barriers to banks, like high collateral requirements. The author recommends improving foreign currency flows, contract enforcement, and lowering perceived barriers to banks to
This document proposes a framework for microfinance institutions to measure and report their "double bottom line" of financial and social performance. It defines key terms like inputs, outputs, outcomes, and indicators. It also draws on two existing models: the United Way's logic model for measuring social outcomes and Dr. Garber's model of the microfinance investment chain. The proposed double bottom line framework places capital/investment as the input, the microfinance institution as the entity, loans as the output, and financial performance and social benefits as the outcomes with defined metrics and indicators. This framework is intended to help microfinance institutions better communicate their impacts to attract socially responsible investors.
Funding A Technology Start Up Insights Into The World Of Venture CapitalThomas Weithman
The document discusses various topics related to venture capital funding for technology startups. It provides an overview of what venture capital is and how it works. It also discusses changes in the venture capital industry, including challenges with exit markets and declining IPO activity. Additionally, it outlines opportunities for regional startups in the DC area from its strong economy, federal funding, and talented workforce. It concludes with advice for entrepreneurs on partnering with VCs and alternative funding options.
China’s growth and appetite for foreign direct investment (FDI) has made Africa its largest investment destination, according to a new report written by the Economist Intelligence Unit (EIU) for leading global law firm, Mayer Brown. The report, “Playing the Long Game: China’s Investment in Africa”, finds that whilst energy and mineral resources have attracted the most Chinese FDI, investments and activities that support Africa’s physical infrastructure is underestimated.
Exploring the opportunities and challenges facing Chinese investors in Africa, the report highlights increased African trade, more direct investment and a surge in export credit financing as the primary drivers of China’s current economic policy towards Africa and looks at the diversity and success of projects that have been financed. It also documents the perception of Chinese investment in Africa and the unique political, cultural and legal challenges of realising projects across such a diverse range of countries.
2015 banking outlook: The future is bright, but change your password Grant Thornton LLP
Organic growth will remain elusive, but banks can boost performance by focusing on honing operational efficiencies and shoring up risk management.
Learn more - http://gt-us.co/1uaqYal
An Empirical Analysis of Relationship between Private Equity Investments and ...Dr. Amarjeet Singh
During the last decade the growth in the private
equity industry in India has been phenomenal, especially in
the recent five years. Private equity industry has become the
prime interest area for many researchers and academicians in
India. Private equity industry in India is burgeoning area of
research, which inherits many explorations and untapped
potential areas of research. One such untapped area of
research is the empirical research is relationship between
Private equity investments and exits in India. The research
question which has leaded the study is that Private equity
industry being in its transition stage, does the performance
and opportunities created by the early starters has proven the
potential and invites more investors and investments? In this
line, this study is an attempt to assess the interrelationship and
causal effect in the relationship using VECM (Vector Error
Correction Model) and Granger causality model. The results
of the study confer that existence of long run causal relation
between Private Equity Investments and Private Equity Exits.
Thereby, the study emphasis the impact of private equity exits
on private equity investments in India. Private Equity Exit
opportunities for the investments made plays crucial role in
attracting Private Equity investments in India.
This document summarizes a new dataset on small and medium enterprise (SME) lending across countries. It finds that many regulators collect SME financing data, though definitions vary. The estimated global SME lending volume is $10 trillion, with 70% in high-income countries. SME loans average 13% of GDP in developed countries and 3% in developing countries. While definitions differ, these differences do not significantly impact reported SME lending volumes.
Journal of Applied Corporate Finance • Volume 22 Number 2 A Mo.docxpriestmanmable
Journal of Applied Corporate Finance • Volume 22 Number 2 A Morgan Stanley Publication • Spring 2010 1
It Ain’t Broke: The Past, Present, and Future of Venture Capital
BT
by Steven N. Kaplan, University of Chicago Booth School of Business
and NBER, and Josh Lerner, Harvard Business School and NBER*
he U.S. venture capital (VC) industry is currently
subject to a great deal of uncertainty and contro-
versy. Some observers and practitioners believe
that the VC model is broken and that the U.S.
VC industry needs to shrink.1 In this paper, we put the U.S.
VC industry into its historical context, assess the current state
of the VC market, and discuss the implications of that history
and the current conditions for the future.
We begin by describing the fundamental problem that
entrepreneurs face and VCs need to solve in order to invest
successfully. There is a great deal of evidence to support what
is now a highly developed theory of how the U.S. VC model
provides an efficient solution to this basic problem of entre-
preneurial finance. And there is little doubt that the U.S.
venture capital industry has been very successful. A large
fraction of IPOs, including many that are now among the
most successful public companies in the world, have been
funded by VCs. And, where possible, the U.S. VC model has
been copied around the world.
Next we look at the historical patterns of commitments
to U.S. VC funds and investments in companies by those
funds. U.S. VC investments in companies have represented
a remarkably constant 0.15% of the total value of the stock
market over the past three decades—the period for which we
have reliable data. Commitments to VC funds, while more
variable, have been consistently in the 0.10% to 0.20% range.
These percentages have not changed in recent years.
Third, we consider the historical record on VC fund returns,
paying particular attention to returns of post-2000 “vintages.”
Contrary to the popular impression, we do not find that returns
to VC funds this decade have been unusually low (or high)
relative to the overall stock market. This is true despite the
relatively low number of IPOs. Overall, VC investment and
returns have been subject to boom-and-bust cycles over time.
Based on our historical analyses, we make some observa-
tions about the current situation and consider what is likely to
happen going forward. The level of commitments to and the
investment pace of VC funds since 2002 have been consistent
with the long-term historic averages. At the same time, the
returns relative to the overall stock market appear to have
been roughly average. This does not suggest to us that there
is too much money in U.S. VC, or that the VC model is
broken. Instead it appears to reflect the natural evolution of
a relatively competitive market.
In fact, given the unusual and unexplained paucity of IPOs
between 2004 and 2007, we argue there is more upside than
downside for the VC vint ...
Voted Best in Class Impact Reports Smartermoney ReviewShawn Lesser
Big Path Capital is an investment bank that assists purpose-driven companies and funds in financial transactions like acquisitions, mergers, and capital raises to ensure their social missions are preserved. They have worked on over 100 deals, more than any other impact investment bank. Big Path represents the largest impact investing network and focuses on assisting companies and funds, hosting events, and providing education to institutional investors on impact investing. The document provides an overview of Big Path Capital's services and clients as well as their mission to advance businesses that generate social and environmental good alongside financial returns.
Big Path Capital assists purpose-driven companies and funds in financial transactions like acquisitions, mergers, and capital raises to ensure their social missions are preserved. They have worked on over 100 deals, more than any other impact investing bank. Big Path represents the largest impact investing network and focuses on assisting companies and funds, hosting events, and providing education to institutional investors on impact investing strategies. The article provides an overview of impact investing and highlights several papers that have helped define and develop the field, showing how impact investing is growing beyond private investments into other asset classes.
Big Path Capital assists purpose-driven companies and funds in financial transactions like acquisitions, mergers, and capital raises to ensure their social missions are preserved. They have worked on over 100 deals, more than any other impact investing bank. Big Path represents the largest impact investing network and focuses on assisting companies and funds, hosting events, and providing education to institutional investors on impact investing strategies. The article provides an overview of impact investing and highlights several papers that have helped define and develop the field, showing how impact investing is growing beyond private investments into other asset classes.
The study is on the effect of Net capital inflow on inclusive growth in Nigeria. This study seeks to deepen the understanding on how capital inflow creates opportunity for inclusive growth in Nigeria through increase in GDP per capita. The objective of the study were to : determine the effect of Net capital inflow , Net foreign direct investment and trade openness on inclusive growth in Nigeria. The study employed the time series data in its analysis. The period of analysis spanned through 1980-2015 and the dataset required for the analysis were sourced from the Central Bank of Nigeria (CBN) Statistical Bulletin and National bureau of statistics publications. The study conducted trend analysis, descriptive analysis. The data were also tested for stationarity using the Augmented Dickey Fuller (ADF) unit root test and Ordinary Least Square (OLS) analytical techniques, cointegration test and error correction mechanism. It was evident from the unit root test that the variables were fractionally integrated while the cointegration test reveals that long run relationship exists among the variables. The findings equally reveal that capital inflow exerts significant negative influence on GDP per capita. This could be attributed to the problem of managing external capital flows which has been sub-optimal in most developing economies including Nigeria. The implication of this finding is that the perceived benefits that are associated with capital inflows tend not to hold sway in Nigeria over the sampled period which may be attributed to institutional and governance failure. Owing to the findings, this study recommends for the adoption of investment friendly policies and ensure transparency and good governance, appropriate economic management practices capable of supporting reforms in the Nigerian financial system and guide international capital inflows to ensure that the associated economic turnarounds are people-centered.
Venture Capital Investments Q1 ’06 – MoneyTree Release mensa25
Venture capital investing was $5.6 billion in Q1 2006, a 12% increase from the same period in 2005. Biotechnology investing declined 24% from the previous quarter while media and entertainment investing increased 80%. Later stage company valuations reached a 4-year high of $92 million on average. The document provides details on investments by sector, stage of development, first-time investments, and company valuations. It also includes contacts for additional information.
Intangibles: the new sources of growth (OECD project)Marcos CAVALCANTI
This project aims to study intangible assets as a new source of economic growth. Intangible assets such as research and development, software, brands, and organizational capital are growing rapidly and contributing significantly to company value and productivity. However, intangible assets are not fully measured and accounted for. The goals of the project are to improve measurement of intangibles, understand their impact on growth and business models, assess effects of the economic crisis, and identify policy challenges to promote intangible asset accumulation. The project involves the OECD and other countries and will host several events on issues related to intangible assets and growth.
THE STATE OF STARTUP ECOSYSTEM - INDIA x JAPAN 2023Joshua Flannery
This document is the result of a research and analysis by Ms. Sakshi Sharma, overseen and supervised by Joshua Flannery, CEO, Innovation Dojo Japan LLC.
Enquiries: joshua@innovationdojo.com.au
www.innovationdojo.com.au
A massive transformation is underway in the startup-funding ecosystem; the shift towards democratizing fundraising has meant that startups at every stage of the development cycle have greater access to capital than ever before. This new generation of fundraising has seen unprecedented growth of 167% in 2014, with an estimated global funding volume of $16.2billion (USD) rapidly proving to be a force capable of bridging the liquidity gap, and
reducing industry fragmentation for early stage startups.
The economic downturn of 2007 was a defining period in the fundraising ecosystem, and ultimately the marker responsible for changing the course of fundraising. Consequently, we have observed VC’s opting to de-risk their portfolios to later stage revenue generating firms, angels and super-angels are stepping in to fill the gaps where they are participating in much larger early-stage rounds, and finally, crowdfunding has seen explosive growth as an innovative new funding vehicle for very early stage startups and SMEs alike.
Venture Capital Growth in Southern California, Bree Nguyen: 2012 CSU Statewid...brzy56
This is research about Venture Capital Growth in Southern California from California State University Dominguez Hills. This research is the 2012 winner of the CSUDH Student Research Competition. It is also the winner of the 2012 CSU Statewide Student Research Competition.
Abstract:
Student Author: Bree Nguyen, CSUDH
Faculty Mentor: Dr. Tayyeb Shabbir, CSUDH
Department: Accounting and Finance
Venture Capital Growth in Southern California: Becoming Silicon Valley
Venture capital is an important driver of technology innovation and entrepreneurial undertakings in the United States and is responsible for funding high profile, revolutionary companies such as Google, Microsoft and Facebook. While venture capital is typically associated with Northern California’s Silicon Valley, in recent years, many other U.S. regions have emerged as centers for venture capital investments including Southern California.
The primary goal of my research is to conduct an analysis of venture capital growth in Southern California in terms of venture capital dollars invested in the region, its relation to Silicon Valley and the viability of creating a So Cal ”Silicon Valley”. Past efforts to “recreate” Silicon Valley have failed – these factors will be analyzed and I will argue that the young venture capital market in Southern California can succeed. My study analyzes the venture capital growth in Southern California by focusing on two of the most rapidly growing funded industries in the region, Internet and Energy, and identifying regional and industry specific determinants of growth. The results reveal that there are determinants of growth that are unique to Southern California and unique to its industries. These determinants have strong correlations when analyzed together at a regional-industry level rather than individually. This study illustrates a model of venture capital growth unique to Southern California’s Internet and Energy industries to offer a different view than by using Silicon Valley as a model and a benchmark alone.
How FinTech is Changing Personal Finance Dara Albright
Depressed interest rates and volatile equity markets are driving an unprecedented interest in retail alternative investment products. Fortunately, through the intersection of technology and regulation, new FinTech archetypes are emerging to satisfy that demand. This is the slidedeck used during the 9/21/16 webinar, “How FinTech is Changing Personal Finance” which highlighted some of these groundbreaking technologies, tools, apps, rules and investment products that are transforming the financial services industry and changing the way people invest as well as save for retirement. The webinar is available on-demand at https://www.brighttalk.com/webcast/9407/193819
June 2010 - Financial system: Long-term challengesFGV Brazil
The Brazilian Economy is one of the oldest publications for expert economic analysis of both the Brazilian and international economies. Through this publication, FGV’s Brazilian Institute of Economics and Finance (FGV/IBRE) compares different periods of the economy, assessing both macroeconomic considerations and scenarios related to finance, administration, marketing, management, insurance, statistics, and price indices.
For more information, and Brazilian economic index results, visit: http://bit.ly/1EA1Loz
The document provides an outlook on the commercial real estate market in 2016. Some key points:
1) Fundraising remained strong in 2015 and the move toward larger funds continues, with opportunistic and value-added funds performing well. The search for opportunities continues as investors seek deals in new sectors.
2) Foreign investors remain attracted to the US market as a safe haven and are partnering with smaller US funds on secondary and tertiary market deals. Regulation A+ may provide a new avenue for real estate crowdfunding.
3) Data analytics and technology are starting to transform operations, while cybersecurity needs to become a higher priority as real estate assets become more connected.
4) The relentless
This document summarizes an article from Performance magazine issue 21 on sustainable investment. It discusses how sustainable investment is growing significantly due to factors like regulatory pressures, risk management, and alignment with investor values. It profiles State Street Global Advisors and FusionATCM, which offer sustainable portfolio management solutions. The document also reviews research finding most studies link sustainability and financial performance, but measurement challenges remain.
Damon Ridley • FSC Securities Corp.
- The efficient frontier fails the test of time by Linda Ferentchak
- Wage growth mixed amid “just right” employment report
- Market high? Pie in the sky by Ian Naismith
- Maintaining a high-profile practice (Marlow Felton, Chris Felton, Transamerica Financial Advisors Inc.)
Real estate, followed by infrastructure, dominate real asset investing, according to a new global study. Learn why in our new report sponsored by BlackRock. More information: http://bit.ly/AraBlk
TOD Assessment to RTD Board of DirectorsLisa Amidon
Assessment of RTD's Role in TODs - RTD plays a crucial role in shaping development because it owns parcels around its stations. But internally, the agency’s decision-making process is a bit of mess, with a tangle of different departments wielding authority over TOD projects and policy, according to the report.
Dia term-sheet: AMENDMENT TO 1988 ANNEXATION AND INTERGOVERNMENTAL AGREEMENTLisa Amidon
Adams County, Aurora and other communities near DIA, voted unanimously in favor of amending a 1988 agreement with the city of Denver that allowed Denver to annex the land for the airport and build it.
This document summarizes commercial real estate leasing and sales data for the Denver metro area in the first quarter of 2015. It lists the top 20 office, retail, and industrial leases by square footage leased. It also lists the top metro area brokers ranked by total square footage leased and top sales brokers ranked by total sales volume. The top three office leases were by Comcast, AECOM, and Transamerica and the top retail leases were by Burlington Coat Factory, The Sports Authority, and Hobby Lobby. CBRE dominated both the leasing and sales broker rankings.
Economic growth remains robust in the Denver metro area, with 48,100 new jobs added over the past 12 months. The unemployment rate has declined to 5.1% from 6.5% a year ago. Job growth has been strongest in the professional/business services, education/health services, and tourism/hospitality industries. The regional economy continues to diversify, with expansions in manufacturing, mining/construction, and technology sectors. Business confidence remains positive based on continued growth in both the regional and national economies.
Downtown Denver is experiencing rapid growth, with 7,000 residential units and 675,000 square feet of office space currently under construction. Since 2000, Downtown Denver's residential population has grown 142% to over 17,500 residents currently. A total of $1.8 billion in public and private investment is funding 26 development projects that will further fuel Downtown Denver's growth.
This document provides information on recent and planned hotel and real estate development in downtown Denver. It notes that the current downtown hotel room inventory is nearly 8,000 rooms and is projected to grow to over 8,700 rooms by 2014 with several new hotel projects. The document also outlines over 1 million square feet of completed or planned commercial office space, over 250 planned residential units, and various retail/mixed-use projects in Denver's Union Station neighborhood by 2015, representing over $700 million in projected investment. It discusses the role of the FasTracks transit expansion program in fueling this downtown development.
Lisa Amidon's action plan aims to assist RTD in developing lifelong public transit riders by getting youth familiar with using public transportation. Her tactics include presenting her plan to RTD and Denver Public Schools to establish partnerships and sponsorships. She will set up initial meetings with RTD Director Larry Hoy and Pauletta Tonilas within 3 months to obtain buy-in. If successful, her plan would educate young riders, hold scavenger hunts to promote transit, and benefit riders, RTD, and Denver through developing future customers and promoting the city.
• Assists with marketing and financial analysis team to create marketing-related collateral pieces including offering memorandums, proposals, flyers, and postcards. • Manages and documents all property due diligence files. Uploads and maintains due diligence files on property website. Provides file access to buyer/seller as required.
- Corporate profits in the US decreased for the first time in three years in the first quarter of 2012, falling 0.3% compared to the fourth quarter of 2011. This decline was driven by a decrease in profits made outside of the US, as domestic profits increased over the same period.
- While profits remain near historical highs overall, companies have remained hesitant to increase hiring and wages since the recession. It is unclear if the soft first quarter results will lead employers to further postpone job growth.
- The decline in profits was attributed to slowing global economic growth stemming from financial problems in Europe, which may be affecting US companies.
Abhay Bhutada, the Managing Director of Poonawalla Fincorp Limited, is an accomplished leader with over 15 years of experience in commercial and retail lending. A Qualified Chartered Accountant, he has been pivotal in leveraging technology to enhance financial services. Starting his career at Bank of India, he later founded TAB Capital Limited and co-founded Poonawalla Finance Private Limited, emphasizing digital lending. Under his leadership, Poonawalla Fincorp achieved a 'AAA' credit rating, integrating acquisitions and emphasizing corporate governance. Actively involved in industry forums and CSR initiatives, Abhay has been recognized with awards like "Young Entrepreneur of India 2017" and "40 under 40 Most Influential Leader for 2020-21." Personally, he values mindfulness, enjoys gardening, yoga, and sees every day as an opportunity for growth and improvement.
2. Elemental Economics - Mineral demand.pdfNeal Brewster
After this second you should be able to: Explain the main determinants of demand for any mineral product, and their relative importance; recognise and explain how demand for any product is likely to change with economic activity; recognise and explain the roles of technology and relative prices in influencing demand; be able to explain the differences between the rates of growth of demand for different products.
Abhay Bhutada Leads Poonawalla Fincorp To Record Low NPA And Unprecedented Gr...Vighnesh Shashtri
Under the leadership of Abhay Bhutada, Poonawalla Fincorp has achieved record-low Non-Performing Assets (NPA) and witnessed unprecedented growth. Bhutada's strategic vision and effective management have significantly enhanced the company's financial health, showcasing a robust performance in the financial sector. This achievement underscores the company's resilience and ability to thrive in a competitive market, setting a new benchmark for operational excellence in the industry.
STREETONOMICS: Exploring the Uncharted Territories of Informal Markets throug...sameer shah
Delve into the world of STREETONOMICS, where a team of 7 enthusiasts embarks on a journey to understand unorganized markets. By engaging with a coffee street vendor and crafting questionnaires, this project uncovers valuable insights into consumer behavior and market dynamics in informal settings."
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby...Donc Test
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting, 8th Canadian Edition by Libby, Hodge, Verified Chapters 1 - 13, Complete Newest Version Solution Manual For Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Ebook Download Stuvia Solution Manual For Financial Accounting 8th Canadian Edition Pdf Solution Manual For Financial Accounting 8th Canadian Edition Pdf Download Stuvia Financial Accounting 8th Canadian Edition Pdf Chapters Download Stuvia Financial Accounting 8th Canadian Edition Ebook Download Stuvia Financial Accounting 8th Canadian Edition Pdf Financial Accounting 8th Canadian Edition Pdf Download Stuvia
5 Tips for Creating Standard Financial ReportsEasyReports
Well-crafted financial reports serve as vital tools for decision-making and transparency within an organization. By following the undermentioned tips, you can create standardized financial reports that effectively communicate your company's financial health and performance to stakeholders.
2. Acknowledgements
This publication was prepared by graduate students in the School of Management at Regis University. The
report was supervised by:
Dr. Luka Powanga
Professor, School of Management
Lpowanga@regis.edu
Phone: 303-458-4023
The principal researchers of this report were Bryan Wenger, Debra Buchholz, Ecaterina Fishler Korotkova,
Ganga Koirala, Janis Williams, Kate Reaney, Michal Platek, Sandra Diaz De Leon, and Veronica Arko.
Special thanks to Clare Chachere, Director in U.S. Public Relations at PricewaterhouseCoopers, for the
tremendous contribution to the project, supplying some of the information used in the report and reviewing
the report.
Disclaimer
The designations employed and the presentation of the material in this document do not imply the
expression of any opinion whatsoever on the part of the City of Denver and the Innovation Pavilion. The
information contained herein is based on current information that the researchers and the supervisor
consider reliable, but we make no representation that it is accurate or complete, and it should not be relied
upon as such. It is provided with the understanding that the School of Management is not acting in a
fiduciary capacity.
3. Table of Contents
Acknowledgements .............................................................................................................................................. 2
Disclaimer ............................................................................................................................................................. 2
Executive Summary .................................................................................................................................................. 4
Introduction ............................................................................................................................................................... 4
Five-Year Venture Capital Financing History ........................................................................................................... 5
Figure 1: Five-Year View Financing Activity ($Millions) ..................................................................................... 5
Benchmarking Denver Against Other Venture Capital Hubs ................................................................................. 6
Figure 2: Deal Counts-Metro Denver Against Other Capital Hubs (2008–2012) ........................................... 6
Figure 3: Investment Levels-Metro Denver Against Other Capital Hubs, 2008–2012 ($Millions) ............... 7
Venture Capital Financing by Stage ........................................................................................................................ 7
Figure 4: Metro Denver Financing by Stage....................................................................................................... 8
Analysis of Exit Activity in Denver ............................................................................................................................ 8
Figure 5: Number of Exit Activities (2008-2012) .............................................................................................. 9
Venture Capital Funding by Sector .......................................................................................................................... 9
Figure 6: Investments by Sector ($Millions) .................................................................................................... 10
Analysis of Denver’s Most Well-Funded Companies ............................................................................................ 11
Figure 7: Sector Investments as Percentage of Total Funding ....................................................................... 11
Figure 8: Transactions by Sector ...................................................................................................................... 12
Figure 9: Average Investment per Transaction ($millions) ............................................................................. 13
Top Venture Capital Investors in Denver............................................................................................................... 13
Notable Private Company Exits.............................................................................................................................. 13
Figure 10: Individual Company Funding ($Millions) ........................................................................................ 14
Figure 11: Funding Distribution Among Top 10 Companies ........................................................................... 15
Figure 12: Deals Consummated by Top Venture Capitalists (2009-2013) ................................................... 16
Median and Average Venture Capital Deals in Denver ........................................................................................ 16
Figure 13: Notable Venture Exits (2008-2012) ............................................................................................... 17
Figure 14: Average Deal Sizes for Exits ($Millions) ......................................................................................... 18
Figure 15: Median Deal Size ($Millions) .......................................................................................................... 18
References .............................................................................................................................................................. 19
Definitions ............................................................................................................................................................... 20
Denver Venture Capital Report – 2013
Page | 3
4. Executive Summary
This report evaluates the state of venture capital investment in metro Denver from 2008 to 2012. The report
focuses on a historical analysis, a comparison between metro Denver and other venture hubs, the funding
levels at each business stage, the distribution of funding in each sector and the exit activities.
Over the period under review, the venture capital activities experienced a sharp decline from a high of $300
million in the first quarter of 2008 to a low of $60 million in the fourth quarter of 2012, attributed to the
economic downturn. During the last two years, however, the landscape slightly improved with investments
averaging $125 million as the economy showed signs of recovering. Metro Denver ranked eighth in the
number of deals and ninth in investments when compared to nine other select venture capital hubs over the
last five years. A shift was observed in the financing patterns. More capital was channeled into early and
later business stages with minimal financing at the seed stage. This pattern could be explained by the high
risk associated with the seed stages. The capital funds in the expansion stage were low due to diminished
demand for expansion capital resulting from low economic activity. The technology and healthcare sectors
were the beneficiaries of most of that capital. A study of the exits revealed that most occurred through
mergers and acquisitions.
Introduction
The U.S. economy has, over the past decades, shifted from a manufacturing to a technology and servicesbased economy populated by small businessesi and growth companiesii. In addition, small businesses are
playing a significant role in reducing unemployment and helping local economies prosper. Small businesses
on average create 64% of the new private sector jobs, employ over 50% of all the workers and contribute
more than 50% of the national outputiii. The number of jobs created by companies established within the
last 12 months was 2.5 million in 2010. During the same year, according to the Kauffman Foundation, an
average of 0.34 percent of adults created a new business each month, equaling about 565,000 new
businesses per monthiv. In Colorado, about 97% of employer companies are small businesses and the vast
majority of them have fewer than 20 employeesv.
For this reason, the City and County of Denver views the encouragement and support of businesses as a
catalyst to creating new jobs and growing a vibrant economy. Key to this effort is a strong structure that
supports access to funding. Consequently, the Denver Office of Economic Development, in partnership with
the Innovation Pavilion, commissioned a study by Regis University students under the supervision of Dr.
Luka Powanga to review the state of venture capital in Denver over the past five years and to compare the
city with other venture capital hubs. The results of this study are outlined in this document.
Denver Venture Capital Report – 2013
Page | 4
5. Five-Year Venture Capital Financing History
Figure 1 depicts the number of deals and the total value of the deals from 2008 to 2012. During this period,
the largest activity in terms of number of deals occurred in the fourth quarter of 2011 when 28 deals were
conducted with the lowest occurring in the first quarter of 2010 when only 16 deals were consummated. The
largest total value of venture capital occurred in the first quarter of 2008 at $304 million with the lowest
value of $62 million recorded in the third quarter of 2009. Overall, venture capital investments went through
a turbulent period resulting in a sharp decline in transactions and investment levels from 2008 to 2010.
From 2010 to 2012, the situation showed signs of improvement; in general, however, the activities
remained erratic largely attributed to the country’s weak economic performance. The continued economic
performance is expected to buoy these transactions.
Figure 1: Five-Year View Financing Activity ($Millions)
$350
30
$300
25
$250
20
$200
15
$150
10
$100
$50
5
$-
0
Investments
Deals
Source: PricewaterhouseCoopers (PwC)/National Venture Capital Association (NVCA) MoneyTree™ Report;
Data: Thomson Reuters, Denver Investments by Year Q1 2008 – Q4 2012
Denver Venture Capital Report – 2013
Page | 5
6. Benchmarking Metro Denver Against Other Venture Capital Hubs
Metro Denver venture capital activity, at more than $1.3 billion, ranked eighth in number of deals and ninth
in the value of the venture capital disbursed when compared with nine other select venture capital hubs
from 2008 to 20121 as depicted in Figures 2 and 3. If metro Denver and Boulder-Longmont were combined
as one hub, they would rank fifth in number of deals and in investments. Peak years for Denver were 2008,
2011 and 2012. Denver’s ranking exceeds Boulder-Longmont’s in number of deals; however, venture
capital investments in Boulder-Longmont exceeded those in Denver. The average investment per deal in
Boulder-Longmont exceeded that in Denver by almost $890,000. Investment activity factors include the
hub’s marketing and the number of local venture capital investors. Technology-based firms that do not need
to be physically located near customers or in larger cities may locate in less established areas due to tax
incentives, lower overhead costs and space for development.
Figure 2: Deal Counts-Metro Denver Against Other Capital Hubs (2008–2012)
Boston, MA-NH
1,795
New York, NY
1,300
Seattle-Bellevue-Everett, WA
581
Washington, DC-MD-VA-WV
568
Chicago, IL
352
Austin-San Marcos, Tx
377
Atlanta, GA
305
Boulder-Longmont, CO
229
Denver, CO
242
New Haven-Meriden, CT
99
-
500
1,000
1,500
2,000
Source: PwC/NVCA MoneyTree™ Report; Data: Thomson Reuters, MSA from 2008–2012
1 The
Silicon Valley hub was not included.
Denver Venture Capital Report – 2013
Page | 6
7. Figure 3: Investment Levels-Metro Denver Against Other Capital Hubs, 2008–2012
($Millions)
Boston, MA-NH
$12,723
New York, NY
$7,803
Seattle-Bellevue-Everett, WA
$3,328
Washington, DC-MD-VA-WV
$2,996
Chicago, IL
$2,655
Austin-San Marcos, Tx
$2,268
Atlanta, GA
$1,716
Boulder-Longmont, CO
$1,442
Denver, CO
$1,309
New Haven-Meriden, CT
$322
$-
$5,000
$10,000
$15,000
Source: PwC/NVCA MoneyTree™ Report; Data: Thomson Reuters, MSA from 2008–2012
Venture Capital Financing by Stage
Figure 4 illustrates the changes in the financing patterns by stage. The investment activity has shifted
dramatically away from the expansion stage to early stage development. In 2008, expansion investments
represented 51% of total investment allocation, although this figure declined to 17% in 2012. Over the same
period, early stage investments have grown from 21% of investments in 2008 to 52% in 2012. This trend
signals good news for upstart companies needing capital in order to fund the large upfront costs of research,
development and marketing. Shifting focus toward these earlier stages will help small companies develop
while offering investors larger returns to compensate for added risk. Secondly, seed-stage companies have
seen dwindling support in recent years as these companies are still within the planning stage of
development and represent larger risk. Four percent of investments went to helping seed-stage ideas take
shape, which steadily shrunk to only 2% in 2012. This trend will make it more difficult for ventures to take
shape until the product, idea, or service is more developed.
Denver Venture Capital Report – 2013
Page | 7
8. Figure 4: Metro Denver Financing by Stage
2012 1%
17%
52%
2011 4%
18%
50%
2010 2%
28%
2009
31%
2008 5%
21%
0%
28%
20%
50%
19%
24%
26%
23%
51%
20%
Seed
30%
40%
Early Stage
60%
Expansion
80%
100%
Later Stage
Source: PwC/NVCA MoneyTree™ Report; Data: Thomson Reuters, Investments in Denver by Stage of
Development 2008 – 2012
Analysis of Exit Activity in Denver
This section discusses the activities pertaining to the options that metro Denver companies seeking to raise
capital for increasing investments, adding infrastructure or operational needs may utilize—focusing on initial
public offering (IPO), merging with another company, and acquiring a competing or similar company.
Figure 5 illustrates the number of exit activities in Denver for the 2008–2012 period. During this period, 60
exits were recorded with all but one being a result of merger and acquisition (M&A). Only one exit was due to
issuing an IPO activity (2011). During the period under review, the exit activities picked up after a decline in
2008. The decline was due to a depressed economic performance during that year. The exit activity picked
up after the economy showed signs of recovering later in the year. There were two notable IPOs between
2008 and the first quarter of 2013. The first was Bonanza Creek Energy from the energy and utilities sector,
which had an initial public offering of $170M in December 2011. The second, though outside the period
under review (2008–2012), was HF2, which went public in the first quarter of 2013 with an IPO of $153M.
As the economy strengthens, IPO and M&A activities are expected to increase.
Denver Venture Capital Report – 2013
Page | 8
9. Figure 5: Number of Exit Activities (2008-2012)
35
30
25
20
15
10
5
0
2008
2009
2010
M&A
2011
2012
IPO
Source: CBInsights, 2011
Venture Capital Funding by Sector
To carry out the analysis, the sectors were segregated into different categories following the guidelines from
the City and County of Denver:
Hardware: computers, peripherals, electronics & instrumentation
Healthcare: biotechnology, healthcare services, medical devices & equipment
Industrial: industrial, energy & semiconductors
Media & entertainment
Technology: IT services, networking & equipment, software & telecommunications
Other: business & consumer products and services, financial services, retailing & distribution2
The investment levels in each sector are given in Figure 6. The healthcare and technology sectors were the
highest funded. The industrial industry showed a decline in 2009 and 2010 and improved in the last two
years. Hardware, media & entertainment and the “other” category were the least funded.
2 (MoneyTree,
2012)
Denver Venture Capital Report – 2013
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10. Figure 6: Investments by Sector ($Millions)
$350.0
$300.0
$250.0
$200.0
$150.0
$100.0
$50.0
$Hardware
Health Care
Industrial
Media & Entertainment
Technology
Other
2008
$31.0
$192.6
$233.3
$16.5
$172.3
$56.6
2009
$16.2
$305.1
$37.6
$11.3
$159.5
$80.6
2010
$20.5
$70.7
$52.0
$22.5
$158.5
$6.8
2011
$49.0
$86.9
$16.5
$39.3
$243.5
$30.1
2012
$31.2
$84.5
$141.4
$58.3
$148.9
$29.9
Source: PwC/NVCA MoneyTree™ Report; Data: Thomson Reuters
A graphical representation of the distribution of investment in each sector as a percentage of the total
investments in each of the years under review is depicted in Figure 7. This chart clearly demonstrates that
healthcare and technology industries received the most venture capital funding, while “other” industries and
hardware received a lower percentage of the funding dollars.
To understand the funding patterns in each of the sectors, data on the number of transactions was obtained
to determine the sectors with high capital outlays. The results are documented in Figure 8. The healthcare
sector, despite dominating in the investments received, had very few transactions. This suggests that the
amount per transaction was high, which could be attributed to high capital costs per project undertaken as
seen in Figure 9. In contrast, the technology sector had the highest number of transactions, leading to the
conclusion that the value of each transaction was low. This could be explained by the low capital outlays
needed for equipment.
The data suggests that the most successful industries in Denver are healthcare and technology with
industrial and hardware following closely behind. The most lagging industries are “other” and media &
entertainment.
Denver Venture Capital Report – 2013
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11. Analysis of Denver’s Most Well-Funded Companies
This section reviews information on the most well-funded companies in Denver over the past five years
(2008-2012). From Figure 10, the funding among the top nine companies varied from $21.3 million by
Coolerado to $60.3 million by T3 Media until in 2013 when Jagged Peak Energy received $400 million from
the Quantum Energy Investors based in Houston, Texas. The capital injection from Quantum Energy investors
catapulted Jagged Peak Energy to the top slot, as it accounted for more than 50% of the total funding over
the six-year period as depicted in Figure 11.
Figure 7: Sector Investments as Percentage of Total Funding
2012 6.3%
2011
10.5%
2010
6.2%
2009
2.7%
2008
4.4%
17.1%
0%
28.6%
11.8%
30.1%
18.7% 3.5% 8.4%
21.4%
15.7%
50.0%
6.8%
33.2%
40%
6.5%
47.9%
6.2% 1.9%
27.4%
20%
52.3%
2.3%
60%
6.1%
26.1%
24.5%
80%
Hardware
8.1%
100%
Media & Entertainment
Technology
13.2%
Health Care
Industrial
2.1%
Other
Source: Computed from data obtained from PwC/NVCA MoneyTree™ Report; Data: Thomson Reuters
Denver Venture Capital Report – 2013
Page | 11
12. Figure 8: Transactions by Sector
50
40
30
20
10
0
Hardware Health Care
2008
2009
2010
2011
2012
9
3
2
6
6
20
18
11
15
15
Industrial
17
10
12
16
10
Media &
Entertainm Technology
ent
5
48
6
45
8
43
12
49
8
41
Other
8
6
5
8
9
Source: Computed from data obtained from PwC/NVCA MoneyTree™ Report; Data: Thomson Reuters
Denver Venture Capital Report – 2013
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13. Figure 9: Average Investment per Transaction ($millions)
$18.0
$16.0
$14.0
$12.0
$10.0
$8.0
$6.0
$4.0
$2.0
$Hardware
2008
2009
2010
2011
2012
Health
Care
Industrial
$3.4
$5.4
$10.3
$8.2
$5.2
$9.6
$17.0
$6.4
$5.8
$5.6
$13.7
$3.8
$4.3
$1.0
$14.1
Media &
Entertainm Technology
ent
$3.3
$3.6
$1.9
$3.5
$2.8
$3.7
$3.3
$5.0
$7.3
$3.6
Other
$7.1
$13.4
$1.4
$3.8
$3.3
Source: PwC/NVCA MoneyTree™ Report; Data: Thomson Reuters
Top Venture Capital Investors in Denver
Metro Denver’s top venture capital companies between 2009 and 2013 are given in Figure 12.
These firms tend to specialize in different sectors and business stages. Altira Group focuses on
technology companies in the oil and gas industry, while the Foundry Group, located in Boulder,
invests largely in human-computer interaction (interactive video games) with the portfolio consisting
of companies like Zynga, Sifteo, Harmonix and Orbotix.
Notable Private Company Exits
The exit activity pertains to IPO, buy-outs (BO), M&A, as well as equity investment-partnerships (EI-P).
It should be noted that companies may choose to remain private, and thus avoid the scrutiny and
Denver Venture Capital Report – 2013
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14. disclosure requirements faced by public companies. Private companies may continue to grow
through private funds acquisition if needed. The notable private company exits (Figure 13) were
developed for the 2008–2012 period based on the company valuation exceeding $10 million.
Figure 10: Individual Company Funding ($Millions)
$450.0
$400.0
$400.0
$350.0
$300.0
$250.0
$200.0
$150.0
$100.0
$50.0
$21.3
$22.0
$26.2
$28.4
$32.0
$41.3
$58.0
$60.3
$-
Source: Computed from Data from CBInsights, 2013
Denver Venture Capital Report – 2013
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15. Figure 11: Funding Distribution Among Top 10 Companies
Coolerado Inflection
3%
Energy Ewise
3%
4%
Welltok
4% Catalyst
Repository
5%
IP Commerce
6%
Jagged Peak
Energy
58%
Inspirato
8%
T3 Media
9%
Source: Computed from Data from CBInsights, 2013
Denver Venture Capital Report – 2013
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16. Figure 12: Deals Consummated by Top Venture Capitalists (2009-2013)
6
5
4
3
2
1
0
Source: www.Xconomy.com
Median and Average Venture Capital Deals in Denver
The average deal size was higher in 2008 through 2009 and declined toward 2012 (Figures 14 and
15) attributable to the sputtering economy. The median deal size followed a similar pattern. Overall,
the numbers are expected to increase as the economy continues to improve.
Denver Venture Capital Report – 2013
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17. Figure 13: Notable Venture Exits (2008-2012)
Target
Acquirer (Venture Investor)
Valuation ($M)
Associated Content
M&A-Yahoo!
$90
Inflection Energy
Good Energies
$40
Catalyst Repository
FTV Capital
$32
Thought Equity Motion
(T3 Media)
Shamrock Holdings
$25
Ping Identity
Silicon Valley Bank, Draper Fisher Jurvetson, Volition
Capital, General Catalyst Partners, SAP Ventures, Triangle
Peak Partners
$21
IP Commerce
Intel Capital, Meritage Funds, Venrock
Inspirato
Institutional Venture Partners
Inspirato
Access Venture Partners, CrunchFund, Kleiner Perkins
Caufield & Byers
PaySimple
Susquehanna Growth Equity
Inspirato
Undisclosed
Sympoz
Foundry Group, Harrison Metal Capital and Tiger Global
Management
$15
eWise Systems USA
Wellington Partners, Balderton Capital, TTV Capital
$14
Aventura
HLM Venture Partners, Excel Venture Management,
Siemens Venture Capital
$13
eWise Systems USA
Balderton Capital, Allen & Company
Inspirato
Undisclosed
$11
WealthTouch
Undisclosed
$11
Channelinsight
Rho Ventures, Sevin Rosen Funds, Sequel Venture
Partners, Vedanta Capital
$10
$20.7
$20
$17.5
$16
$15.5
$12.1
Source: www.xconomy.com
Denver Venture Capital Report – 2013
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19. References
Brooks, C. C. (2013, 01 18). Notable Lower levels in Clean Technology and Life Sciences Sectors;
Investors shift from Seed to Early States in 2012.
Business, Life Sciences, and Technology News-covering Boston, Boulder/Denver, Seattle, San Diego,
Detroit, San Fransico, New York and beyond. (2013, 04 20). Retrieved 04 20, 2013, from Xconomy,
Inc.: http://www.xconomy.com/archives/?cat=52638%2C52637&author=0
CBInsight. (2011). CBInsights. Retrieved from Information on IPOs and M&A:
https://www.cbinsights.com/deal_search.php#
Compare Denver, Early State Venture Capital firms. (2013, 04 05). Retrieved 04 05, 2013, from
Venture-Capital-Firms: http://venture-capital-firms.findthebest.com/d/b/Early-Stage/Denver
Conversation, B. (2013, 04 25). Joining the Board of Harmonix. Retrieved 04 25, 2013, from
Foundry Group: http://www.foundrygroup.com/
Farr, C. (2013, 03 06). New $150 million venture fund will support Colorado's startups. Retrieved 04
05, 2013, from Venture Beat: http://venturebeat.com/2013/03/06/new-150m-venture-fund-willsupport-colorados-startups/
Gregg, S. (2013, 03 05). The Next Silicon Valley. Retrieved 04 25, 2013, from Built in Denver:
http://www.builtindenver.com/blog/next-silicon-valley
Schonfeld, E. (2010, 05 18). What Is Yahoo Thinking? Buying Associated Content Opens Up A Whole
Can Of Worms. Hot Topics. Techcrunch by AOL Tech. Retrieved on Thursday, April 25, 2013 from
http://techcrunch.com/2010/05/18/yahoo-associated-content/
Thomson Reuters. (2012). MoneyTree Report (TM) : Denver Investments by Year Q1 1995 - Q4
2012. Denver: PricewaterhouseCoopers & the National Venture Capital Association.
Thomson Reuters. (2012). MoneyTree Report (TM): Investments in Denver by Stage of Financing Q1
1995- Q4 2012. Denver: PricewaterhouseCoopers & the National Venture Capital Association.
Thomson Reuters. (2012). MoneyTree Report (TM): MSA from 2007 - 2012. Denver:
PricewaterhouseCoopers & the National Venture Capital Association.
Denver Venture Capital Report – 2013
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20. Definitions
In this report, the following definitions were used:
Denver: Metro Denver
Business Stages:
Seed: A firm that is still on the bench and may therefore need seed or startup capital for
proof of concept, research or feasibility studies.
Early Stage: A firm that is ready to go to the market.
Expansion Stage. A firm that is immediately ready for production or currently in production
but needs capital to expand the operations. Though the company is in production, little or no
profits have been realized.
Later Stage: The firm is in production and has made profits but needs capital for expansion,
establishing new markets, new supply chains, etc.
i
Classified by the Small Business Administration as firms with less than 500 employees
Conte and Carr, “Outline of the U.S. Economy" published by the US Department of State
iii Shane Scott, How Many Jobs Do Small Employers Create?, 2009, Bloomberg Business Week.
ii
iv
v
www.sba.gov accessed March 27, 2013
http://www.denverchamber.org/Page/smallbiz, accessed March 28, 2013
Denver Venture Capital Report – 2013
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