Which of the following is NOT true with correct to venture capital (VC)funds?
A)They typically invest in young, growing firms that need equity funding but are not ready to go public.
B)More than half of all VC investing is in businesses that are being created.
C)They tend to focus on technology firms, which have the potential for high returns but also exhibit a high level of risk.
D)Because VC funds invest in fairly safe ventures, a low percentage of their ventures fail.
E)All of these are correct with respect to venture capital funds.

Question

Quizplus · Accepted Answer

Venture capital funds often invest in high-risk ventures, not "fairly safe" ones, and thus have a higher percentage of ventures that fail. This is contrary to the statement in option D.

Which of the Following Is NOT True with Correct to Venture