The Risk and Return of Venture Capital
- Topics:
- Commercial Banking,
- Venture Capital
- Source:
- University of Chicago
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Overview: This paper measures the expected return, standard deviation, alpha, and beta of venture capital investments. Overcoming selection bias is the central hurdle in evaluating these investments, and it is the focus of this paper. A valuation is only observed when a firm goes public, receives new financing, or is acquired. These events are more likely when the firm has experienced a good return.
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Format: PDF | Size: 477KB | Date: Mar 2004 | Pages: 59




