Consistent Performing Venture Capital Fund Managers – January 2014

by Hayley Wong

  • 17 Jan 2014
  • PE
  • VC

Analyzing a GP’s track record is often an important stage in an investor’s due diligence process when deciding which private equity fund managers to invest with. Preqin’s Performance Analyst online service has performance data for over 1,600 venture capital funds, and this data can be used to produce a list of consistent performing venture capital fund managers. To measure the consistency of a fund manager, an average quartile ranking score of the manager’s venture capital funds are calculated for each firm. Only managers that have been actively raising venture capital funds since 2007 or are currently fundraising are considered, and furthermore the funds are restricted to fund managers that have raised at least three venture capital funds. To calculate the average quartile ranking score - funds which are top quartile are given a score of one, second quartile funds a score of two and so on, and then an average is calculated from these scores. 

There are four firms that achieve the best possible score of 1.00 and they are all US-based firms: Benchmark Capital, Paul Capital, Pittsford Ventures Management and Sequoia Capital. The next best average score is 1.33, there are eight US managers that achieve this score (5AM Ventures, BlueRun Ventures, Matrix Partners, Merlin Nexus, OrbiMed Advisors, Partners for Growth, PTV Sciences and Storm Ventures), and there are three firms that are located outside of the US: South Korea-based AJU IB Investment; Partech International Partners, which is based in France; and Wellington Financial which is headquartered in Canada. To view the complete list and for the ability to filter by both fund type and geographic fund focus, please visit Preqin’s Performance Analyst online service. 

This analysis examines the most consistent performing venture capital fund managers and does not seek to endorse the fund managers listed, but instead aims to simply and effectively illustrate those that have performed the most consistently. It should also be noted that past success does not guarantee similar future success.

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