"70% of all venture dollars are raised by just 16 Indian venture capital firms."
I wonder how many of these 16 firms are limited to raising from Indian LPs only. Asked another way, of the 16 firms that raised 70% of all venture dollars, how much/many was domestic-domestic only.
IMO, the domestic LP pool needs depth, without it, capital will continue to be concentrated in larger funds, which will continue to raise larger fund sizes and still see more deals.
that's the other point, seeing!=selection. I'd argue in the current market environment, everyone's getting access to most/same deals, very few are able to build independent conviction to select/deploy.
a majority of those 16 firms have little to no external domestic LP capital and I don't think any of them have only domestic LPs.
Agreed we probably need more depth in the LP pool base in India but also possibly seems like LPs in India might have an adverse selection problem (need to go dig here more)
Access alone stops being a real advantage because everyone important is already in the room early and that also means reputation, speed of decision making, and founder trust probably matter more than simply meeting companies first. It will be interesting to see whether new firms try to challenge this by raising comparable fund sizes or by building deeper relationships with a narrower set of founders.
"70% of all venture dollars are raised by just 16 Indian venture capital firms."
I wonder how many of these 16 firms are limited to raising from Indian LPs only. Asked another way, of the 16 firms that raised 70% of all venture dollars, how much/many was domestic-domestic only.
IMO, the domestic LP pool needs depth, without it, capital will continue to be concentrated in larger funds, which will continue to raise larger fund sizes and still see more deals.
that's the other point, seeing!=selection. I'd argue in the current market environment, everyone's getting access to most/same deals, very few are able to build independent conviction to select/deploy.
a majority of those 16 firms have little to no external domestic LP capital and I don't think any of them have only domestic LPs.
Agreed we probably need more depth in the LP pool base in India but also possibly seems like LPs in India might have an adverse selection problem (need to go dig here more)
yes, agreed on the adverse selection problem.
Access alone stops being a real advantage because everyone important is already in the room early and that also means reputation, speed of decision making, and founder trust probably matter more than simply meeting companies first. It will be interesting to see whether new firms try to challenge this by raising comparable fund sizes or by building deeper relationships with a narrower set of founders.