US venture capital fundraising has hit a six-year low, with the industry raising just $8.8bn in Q1 2016. This is down 37% from Q4 2015, and is the lowest amount raised since Q4 2009, following the financial crisis. The low level of fundraising is likely due to uncertainty in the market, with investors taking a more cautious approach and holding back on committing capital. However, despite the decline in fundraising, the amount invested in US start-ups continues to grow, reaching $17.5bn in Q1 2016, the highest level in a year. This suggests that investors are still interested in the sector, but are focused on investing in existing portfolio companies rather than making new commitments.
nullThe Slump: US Venture Capital Hits a 6-Year Fundraising Low”
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