The development of venture capital in Latin America and the Caribbean: a comparative perspective

Venture capital (VC) contributes to the financing of high-growth companies. In Latin America and the Caribbean, this capital is lower than in China and India as well as the developed economies. Nonetheless, between 2005 and 2011, regional VC investments grew by 30% per year. Venture capital investme...

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Detalles Bibliográficos
Autores principales: Stein, Ernesto H., Wagner, Rodrigo A.
Formato: Texto
Lenguaje:English
Publicado: 2019
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Acceso en línea:http://hdl.handle.net/11362/44979
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Sumario:Venture capital (VC) contributes to the financing of high-growth companies. In Latin America and the Caribbean, this capital is lower than in China and India as well as the developed economies. Nonetheless, between 2005 and 2011, regional VC investments grew by 30% per year. Venture capital investments in Latin America and the Caribbean tend to be larger, focus less on high-technology industries and are more likely to be funded from abroad than those in benchmark regions. Transactions in Latin America and the Caribbean are made by less experienced investors and in fewer rounds than in comparator countries. Venture capital growth has been quite procyclical. The evidence shows that VC investments are in the early stages of development, with apparently more money than high-technology ideas.