A new summit connecting emerging technology fund managers with investors has been launched in London by early stage VC firms, 7Percent Ventures and Luminous Ventures.
ALLOCATE – which takes place on 19th September 2019 – is focused on connecting GPs (General Partners who set up and run venture capital firms) in Europe, with LPs (Limited Partners who invest into their VC firms). The aim is to accelerate the growth of the next generation of VC funds, who in turn will invest into Europe’s technology startups of the future.
Andrew J Scott, Founder Partner at 7percent Ventures said: “The cash-raising process for a venture capital firm has traditionally been pretty opaque. University endowments or ‘family offices’ who look after private wealth and sometimes invest into VC firms, can be hard to reach.”
Inspired by a VC pitch event in the US and the ‘pay it forward’ attitude of Silicon Valley, ALLOCATE aims to cut out the middleman and make things more efficient for LPs and fund managers, and without paying £2000 for a conference ticket to do so.
“Raising money for a VC firm can be a who-knows-who business, much like raising venture capital money for a startup was 15 years ago.” said Andrew. “Raising startup investment is now very different, much more democratised, and we feel the European VC / LP investment world needs to catch up and be the same.”
Lomax Ward, Partner at Luminous Ventures, added: “We need to support and work with new and emerging fund managers and investors in a collaborative environment. The start-up scene in Europe is getting great momentum, evidenced by more and more success stories. But the fact remains, launching an early stage venture capital fund is very tough and we have founded ALLOCATE to make it that little bit easier. Also, for LPs it will be a fantastic showcase of Europe’s leading emerging funds.”
ALLOCATE chose London because despite the uncertainty of BREXIT, the team say it remains at the centre of European startup sector. Though America still leads the world, its share of the global VC market has decreased significantly from 79% in 2008 to 53% last year, with UK investment at $2.2bn (£1.7bn) in 2008 compared to $7.9bn (£6.1bn) last year, equating to an increase of 255% over the same period.
In comparison, until recently China was in the ascendant, VC investments in China in Q2 2019 are down nearly 77% year-on-year, while European investment continues to go from strength to strength. A third of the world’s top start-up cities are in Europe.
The inaugural ALLOCATE event will be held at Conway Hall, 25 Red Lion Square, London WC1R on 19 Sep 2019. Up to 30 emerging VC fund managers will be chosen by the ALLOCATE selection committee to present their fund in a five-minute pitch to a room full of LPs, in the first event of its kind in Europe.
Speakers at the one-day event include Simon Cook, CEO and co-founder of Draper Esprit; Lisa Edgar, Managing Director US fund of funds Top Tier Capital Partners and Katie Martin, Chairwoman of Wilson Sonsini Goodrich & Rosati.
ALLOCATE is a curated event to support and accelerate the ecosystem, making it easier for LPs to find the right funds to invest in, and for GPs to find the right investors. This is done via multiple quick-fire pitches on stage – and by sharing knowledge and best practise in a relaxed, open environment.