Question

What kind of specialised financial institution is venture capital fund?

Answer 1

These institutions are called Venture Capital Funds (VCFs). VCF is aninvestment fund that manages money from different investors seeking to provide capital in startup and small- and medium-size enterprises that have strong growth potential

Answer 2

Answer:

Venture capital (VC) is a sort of private equity and financing provided by i nvestors to start up enterprises and small businesses with the potential for long term growth.

Explanation:

The majority of venture capital is often provided by wealthy individuals, investment banks, and other financial organisations. The money of investors looking to purchase private equity holdings in start-ups and small- to medium sized businesses with significant growth potential is managed by venture capital funds, which are collective investment vehicles. These investments are typically described as having a very high risk/high return profile. Venture Capital (VC) is the term used to describe investment given by investors to small or newly established companies that have a promising future.

A venture capital fund is a type of private equity that is funded by institutional and private investors, including investment banks, insurance providers, and pension funds.

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