Shrinking Canada VC market

The Canada’s Venture Capital & Private Equity Association released a report yesterday (May 12th) that the venture capital market continues to fall in the first quarter of 2009, continuing the shrinking trend from 2008.

In the Canadian landscape, only $ 275 million was invested, down from 25% from the $367 million from the first quarter of 2008. Also, the number of deals shrink from 136 to 102 (Q1 09′/Q1 08′) and the average value per deal is $2.7 million.

The US venture capital market raised $US 4.3 billion in Q1 2009, however Canada’s market only raised $ 149 million.

This is a great signal that something should change in the Canadian venture capital market. 

Read the CVCA’s report here: http://www.cvca.ca/files/News/CVCA_Q1_2009_VC_Release_FINAL.pdf

National Venture Capital Association (NVCA) reported that venture capital performance showed positive returns across all investment horizons 3 years and longer for the period ending December 31, 2008.

As you can see in the table, venture returns across all horizons outperformed public market indices, NASDAQ and the S&P 500, through December 31, 2008.

Venture Capital Funds Return Are Still High Compared to NASDAQ or S&P 500

You can read more from NVCA website:

http://www.nvca.org/index.php?option=com_docman&task=doc_download&gid=424&Itemid=93

Swedish Startups

This is an event that happens somewhere in Sweden for the Swedish Startups group. http://swedishstartups.ning.com/