What are LPs looking for in emerging fund managers in this current market environment?

Asked by:

Community Member

Jul 21, 2023

Hi everyone - as we all know, the venture fundraising scene has changed dramatically in the last year or so due to market conditions, global volatility/conflicts, interest rate growth, and so forth, In the future, after I get some experience under my belt, I do envision myself raising a fund. With that being said, and assuming the market environment remains as-is for the foreseeable future, has anyone observed what LPs are looking for in emerging fund managers amidst the existing fundraising climate? If anyone has heard directly from LPs, that would be great insight as well!

New Fund Emerging Manager Fundraising Limited Partners LPs

Add a comment

1 answer

Mike Suprovici

Accepted Answer

Jul 21, 2023

Assume that everything you hear in the media about Venture Capital is wrong. Journalists are working off bad data and the opinions of a few old VCs that are becoming irrelevant. VC Lab accelerator participants had the best fundraising month in our history in June 2023.

As far as what LPs are looking for, that's an absolutely impossible question to answer because it really depends on the thesis of the VC and they archetype of the LP.

Good to know! Kudos to the VC Lab accelerator participants for crushing on fundraising! I agree; the media/tech journalists tend to be of the doom-and-gloom type. I have heard that some LPs are doubling down and expanding their venture allocation to take advantage of the cooled-down valuations, but again, not sure how objective that is, if that's largely thesis-driven, etc..

What are LPs looking for in emerging fund managers in this current market environment?

Log In

Apply to VC Lab Cohort 13