Unveiling a Surge in Optimism among Venture Capital Investors

Venture capital investors are becoming more optimistic about the performance of their portfolios, according to a survey by Preqin. The survey found that 38% of investors anticipate better performance in venture capital portfolios in 2024, up from 12% the previous year. However, fund managers still face challenges in raising capital due to shifting investor sentiment. Despite this, pricing dislocation may present long-term opportunities for strategically positioned investors. The survey also revealed that VC fundraising has seen a downturn, with a 53.2% decrease in funds raised compared to 2022. Healthcare was a standout sector, with trade sales being the predominant exit strategy. Overall, 50% of respondents plan to maintain their venture capital allocation unchanged in 2024.