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but VC investment was at a high while interest rates were low, and we now see a contraction in venture investment now that interest rates are rising?
by uLogMicheal 3y ago
but VC investment was at a high while interest rates were low, and we now see a contraction in venture investment now that interest rates are rising?
- disgruntledphd2 3y agoYeah and what gets funded will change. Ultimately higher interest rates mean that time to profitability should decrease in order to make it an attractive investment. Honestly though, VC is such a tiny, tiny percentage of the investment world that maybe this won't happen (but the vast majority of funds are gonna fail to return their capital as they were funded in a ZIRP world and need to invest in a world with higher interest rates).