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Strategies & Market Trends : The New Economy and its Winners -- Ignore unavailable to you. Want to Upgrade?


To: paul_philp who wrote (16163)2/19/2003 8:21:33 PM
From: Lizzie Tudor  Read Replies (2) | Respond to of 57684
 
interesting...

However, venture funds that were invested at the peak of the dotcom bubble have so far shown only losses and most in the industry expect their ultimate performance to be negative.

At the peak of the bubble- I agree nobody can make money at the valuations being dished out then. Procket Networks, for example had a valuation of 1.5 billion I believe.

But since then, say the 2002 period and beyond, my guess is VCs will score big, only because valuations are so low and we are on the edge of worldwide internet adoption. You really can't beat this climate as an investor in early stage companies, don't you agree? The only thing is, the public companies are trading at even lower valuations due to the bear so public and private equity markets are probably battling for the same cash. And the market for technology products needs to improve at least a little so the big guys will let the small companies take the crumbs again.
Lizzie