VC for the masses?

VC for the masses?

Source Node: 2047994

One of the biggest news of the past few days in the entrepreneurial finance world has been the partnership between Crowdcube and Octopus Investments. Its aim is to allow retail investors (i.e. ordinary people) to create their own portfolios by investing in one of the VCT funds provided by Octopus via Crowdcube for as little as £500.

Ruth Handcock, board director at Octopus Investments, said: “Retail investors have been largely locked out of the private company access that many institutional investors have enjoyed. This needs to change and it’s up to the investment industry to break down those barriers.” 

Democratizing VC? Uhm… If on the one hand, the crowdfunding industry is searching for growth as the market is going through a consolidation phase (we discussed this here and here) at the same time, the VC industry could be looking for ways to diversify its activities in a delicate passage. Could this signal a paradigm shift? Just very preliminary thoughts on such a complex matter. I can’t wait to see how things will develop.

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