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Download the Paper (354 K, PDF file) - July 11, 2003 Tell a colleague about it. Printing Tips: Select 'print as image' in the Acrobat print dialog if you have trouble printing.

ABSTRACT:
In this paper we build an index of value for venture capital. Our approach overcomes the problems of intermittent, infrequent pricing of private company deals by using a repeat valuation model to build the index, and it corrects for selection bias in the reporting of values. We use a unique data set from Sand Hill Econometrics. The index measures the return and risk for venture capital. Its covariance with other asset classes from 1987-1999 enables us to explore the role of venture capital in diversified portfolios during a period of increased importance of venture capital in the economy.

SUGGESTED CITATION:
John M. Quigley and Susan E. Woodward, "An Index for Venture Capital" (July 11, 2003). Economics Department, University of California, Berkeley, Working Paper E03-333.
http://repositories.cdlib.org/iber/econ/E03-333