05
Attracting world-class investors
Europe is seeing broader and deeper investment than ever before. Despite more competition from alternative funding sources, European VCs are adapting to the new market and competitive dynamics.
Attracting world-class investors
VC has become the leading funding mechanism for entrepreneurs, but to stay competitive, VCs have to keep innovating. As the opportunity set matures, global investors are doubling down: from seed rounds to public markets, there are now more international investors and buyers active in Europe. While investors across the board have more conviction in European tech, pension funds still lag behind on their allocation to tech.
Articles
05.1 Fundraising
European VC is beating US VC (and European PE), and outperforms now across two decades (1,3,5,10,15,20 year horizons), and appetite for the European venture capital asset class increased amongst LPs this year. Despite this, pension funds remain a relatively unrealised source of funding for GPs. LPs showed their interest in first-time funds who witnessed increased investment this year.
05.2 VC: Disrupt or be disrupted
It's clear that competition to get access to and win over the best founders is increasing - from the first cheque that is invested all the way through to the late-stage growth stage of the market.
05.3 Europe’s evolving capital markets
Across every metric, Europe’s capital markets are maturing. There are more investors of every type, at every funding stage, and from international as well as domestic funds.