Venture Capital
Backing innovation and change on a global scaleAt the forefront of global innovation for more than two decades
In a world ruled by disruption, Schroders Capital has consistently and successfully backed the young companies driving change. Our deep-rooted network and data-driven approach help deliver exposure to future technology leaders.
As disruption takes place on a global scale, we take a global approach to venture investing and are deeply connected in the key markets. We combine industry expertise with deep data analysis to identify and support technology, tech-enabled and biotech businesses that have the potential to become market leaders. We gain access to often exclusive investment opportunities by applying the full spectrum of investment types. For this, we leverage our network with world-leading venture capitalists and entrepreneurs.
$1bn+ and 160+ companies
Between 2010 and 2022 our venture capital investments have had exposure, either directly or indirectly, to one in two of the largest liquidity events involving venture-backed businesses.
Investing globally in technology, tech-enabled and biotech companies
We seek and invest from the seed and early stage to the growth stage and are often among the first institutional backers of game-changing companies.
Our investment approach is global, with a focus on the key markets for company creation and innovation including the US, China, South Korea, India and Europe.
We focus on disruptive technologies and business models and on companies that address large markets with the potential to become leading players. We invest across the full spectrum of investment types including direct, co-investments, primary and secondary investments.
Long-established global network supported by deep data analysis and an institutional set-up
Over the last 20 years, we have refined our approach to global venture and growth capital investing by complementing our strong global network and deep sector expertise with advanced data analysis and an institutional set-up and framework, resulting in a strong track record.
Successful track record
We have built an enviable track record of identifying and supporting the businesses of the future
Strong network
With investment teams on the ground in three continents, we have established deep-rooted relationships with the world’s leading venture and growth capital managers
Advanced data analysis
We are an early adopter in applying data analysis techniques to investing in venture capital; our proprietary data science tools, refined over many years, support our deal sourcing and evaluation of investments
Institutional framework
The global venture capital team operates within the institutional governance frameworks of Schroders Capital and the broader Schroders group, providing investors with reassurance and peace of mind
Improving society through innovation
Many of our investments have had a positive and lasting impact on society. This is most visible in biotech, where the businesses we have supported directly and indirectly have helped to save and improve countless lives.
Our leadership
With strong local footprints across the globe, our investors trust us to source what we consider the most sought-after investment opportunities.
Key Investment Risks
Volatility risk: The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested.
Liquidity risk: There may be very limited liquidity available via the secondary market of the proposed Fund given the underlying private credit assets and investors should consider an investment only if they intend to hold it for the life of the proposed Fund. Liquidity of the underlying investments might not be sufficient to meet investor subscription and redemption requirements.
Interest rate risk: A rise in interest rates generally causes bond prices to fall.
Credit risk of underlying issuers/lenders: A decline in the financial health of an issuer/lender can cause the value of its bonds/ loans to fall or become worthless.
Currency risk: The fund can be exposed to different currencies. Changes in foreign exchange rates could create losses.
Counterparty risk: The counterparty to a derivative or other contractual agreement or synthetic financial product could become unable to honour its commitments to the proposed fund, potentially creating a partial or total loss for the proposed fund.
Derivatives risk: A derivative may not perform as expected, and may create losses greater than the cost of the derivative.
Concentration risk: The proposed Fund may be concentrated in a limited number of geographical regions, industry sectors, markets and/or individual positions. This may result in large changes in the value of the fund, both up or down, which may adversely impact the performance of the fund.
Gearing risk: The proposed fund may borrow money to invest in further investments. Gearing will increase returns if the value of the investments purchased increase in value by more than the cost of borrowing, or reduce returns if they fail to do so.
Valuation risk: The underlying private credit assets may be subject to inadequate pricing reliability. In addition, property-based vehicles invest in real property, the value of which is generally a matter of a valuer’s opinion.
Industry/country risk: Legislative changes, changes in general economic conditions and increased competitive forces may affect the value of investments. Additional risks may include greater social and political uncertainty and instability and natural disasters.
Infrastructure asset risk: Infrastructure assets expose investors to additional risks, in particular construction risk (e.g. construction delays, cost overruns, etc.) and deployment risk (e.g. capital being deployed in several instalments during construction period rather than upfront for brownfield investments).