Venture Capital Outlook

Anu discusses the future of venture capital returns, suggesting that while new funds may perform well, mid-vintage funds could struggle due to increased competition and an oversupply of capital chasing fewer high-quality companies. Emphasizing the importance of fundamentals, Anu believes that successful funds will focus on niche markets and product differentiation to attract investors. The conversation highlights a shift in market expectations since 2021, as the number of true outlier companies remains limited.