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Venture capital funds face an ongoing liquidity drought

In Q3, venture capital fundraising continued to dip, as funds struggled to raise capital and liquidity concerns intensified.

Venture Capital Journal research reveals a 45% drop, with global funds amassing $76.3 billion in Q1 to Q3, compared to $139.4 billion in 2022.

The number of closing funds dropped significantly, from 910 in 2022 to 432 this year. Q3 was especially challenging, with only $18.2 billion raised, despite an increase in the number of venture firms closing.

While average fund sizes decreased to $190 million, they remain relatively high compared to previous years.


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