In today’s pecuniary setup, Venture Capitalists give hope to entrepreneurs to believe in their ideas and create value. To throw light on intricacies of fund raising; functionality and psychic of venture capitalists, Mr. Vipin Agarwal addressed a curious gathering at Holiday Inn, Aerocity on 19th October 2019. Following is an excerpt from the session summary on our blog. To read the compete blog post, go to:
Part 1: From the past decade that went by
The tone of the session was set around deal-making and investor types. To start with, Vipin talked about VC investments in Tech in the last decade.
During the era of “India Shine” in 2004, financial institutions in India led the VC investments in India. The earliest bets in private equity were taken in technology and infrastructure – logistics, power, real estate, telecom etc. This era closed with Reliance Power IPO in 2008 which was also the time for the global slowdown.
Next phase of upsurge came in after UPA took charge of their second term in 2009. “India Digitizing” saw the rise of e-commerce culture in the country. With names like Snapdeal, Flipkart, Jabong etc., classic VC deal making embarked the stage. Around that time, more than 50 investments were done in this space which started to consolidate in 2013.
2014 saw a sudden change in landscape with “Mobile Hopes.” Lot of global players entered this sector which led to drastic fall in mobile prices. Multiple round of funding was followed by a quick round of consolidation in 2016, leading to another downcycle.
Concluding the first part of the session, Vipin presented the “Bharat Arriving” theme popular in the VC community across the country today. It’s a period nursing Indianisation of investments with focus on tier 2 and tier 3 cities. He believes that India follows the Chinese way of building a business ecosystem, that 3-4 year cyclical trend in VC industry followed by a period of stillness has been in tandem with global giants like US and China.
About CFA Society India
The Indian Association of Investment Professionals (IAIP), also known as CFA Society India, was established in Apr 2005 as an association of local investment professionals consisting of portfolio managers, security analysts, investment advisors and other financial professionals.
As one of the over 140 CFA Institute member societies, the IAIP connects local CFA Institute members to a global network of investment professionals. For the continuing up-gradation of knowledge and skills of members, IAIP conducts speaker events, workshops led by leading finance professionals.
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