PMG VENTURE CAPITAL

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Venture capital produces the most extreme return distribution of any asset class — a small number of investments and a small number of funds generate returns that the large majority of participants never see. Understanding that power law dynamic, and what it means for LP allocation, manager selection, and portfolio construction, is the starting point for serious analysis of the asset class.

PMG Venture Capital publishes weekly research for institutional investors, family offices, and alternative investment professionals who want evidence-based coverage of venture capital — examining the market as it is rather than as the fundraising cycle presents it.

UK and European venture capital market conditions — deal volume, valuation trends, sector concentration, and how the competitive position of major hubs is evolving. The 2021 vintage reckoning — unrealised marks, the IPO backlog, and what fund-of-fund NAVs may still be carrying from the peak.

AI investment — capital concentration, valuation methodology, and what public market comparisons imply for unrealised private marks. Deep tech — where capital is genuinely scarce and where the funding gap narrative is overstated. Climate tech — the distribution of capital between software-adjacent solutions and hard decarbonisation, and where technology risk is being underpriced.

Defence tech capital flows and the LP governance questions they raise. Corporate venture capital and its procyclical behaviour. Venture debt in a higher rate environment — covenant intensity, dilution mechanics, and refinancing risk. Down rounds, flat rounds, and the dilution quarterly statements are not always reflecting.

Performance measurement — power law return distribution, fund access constraints, and why most institutional venture allocations are not in the funds that drive asset class returns. Tax policy — EIS, SEIS, and regulatory risk embedded in venture fund models built around tax-advantaged structures.

Every article is strictly neutral and analytical, drawing on published research from PitchBook, Dealroom, British Business Bank, NVCA, Cambridge Associates, and KPMG Venture Pulse. 

We do not manage money and have no commercial relationships with venture fund managers.

New analysis published every week.