Venture Capital and Growth Equity
Free CAIA Level I lesson in Private Equity. 37 min read, ~5,539 words.
VC returns follow a power law: a few winners drive the fund and a 60% write-off rate is normal. Four stages run Pre-seed, Seed, Series A, Late-stage/Expansion; early-stage spans the first three. Cash burn runway equals current cash divided by monthly burn; companies raise new capital every 1 to 3...
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What this lesson covers
- Content
- Example 1
- Example 2
- Common Mistakes
- Check Your Understanding
- Exam Shortcuts
Learning objectives
- intro
- firms and funds
- institutional programs
- subscription lines
- lp gp lifecycle
- publicly traded gps
- exit ipos
- exit spacs
- vc overview
- vc stages
- vc risk returns
- vc return research
- vc valuations
- vc financing
- vc securities
- vc dynamics
- growth equity intro
- growth equity valuation
- growth equity deals
- buyouts overview
- buyout strategies
- buyout characteristics
- lbos
- pipes
- liquid alts
- long term performance
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