The Fund of Funds will invest in multiple VC funds across the industry, providing broad exposure and diversification across a range of high-performing venture capital managers and the startups they back. It will be available to both wholesale and retail investors.
FB Ventures’ Fund of Funds is not a traditional VC fund. It’s built to leverage the broader ecosystem – unlocking a vast cohort of new investors and driving more capital into the startup space.
The goal is to strengthen the Australian startup and venture capital ecosystem while providing VC managers with a new pool of capital.
FB Ventures Co-Founder Anna Nedbaylova said,” The initiative was about democratising access to venture capital, enabling wealth creation for a wider group of Australians.”
“FB Ventures’ Retail Fund of Funds offers retail investors previously unobtainable access to high-growth startups by investing across a diversified portfolio of leading VC funds, while also lowering the barriers to entry for wholesale investors,” said Nedbaylova
“Direct startup investing can be risky due to illiquidity and concentration. Our structure offers a more considered entry point by investing through top-tier, professionally managed VC funds that provide diversification, governance oversight, and disciplined investment processes.” she said.
Fellow Co-Founder Richard Mulligan said, “This model opens a new funding channel for VC funds – allowing them to broaden their investor base without increasing the administrative burden,”
“Think of us as a new institutional investor for VC funds. We act as the professional intermediary – managing the compliance, investor relations, and onboarding – so VC managers can focus on investing.”
While the aim is to lower the barriers to entry and open access for retail investors, FB Ventures is committed to full transparency around the risks, including the illiquid nature of venture capital investing.
“We’re seeing a growing level of sophistication among retail investors who want to access venture opportunities,” said Nedbaylova
“But right now, most Australians are excluded because these investments are limited to institutions and high-net-worth individuals with at least $2.5 million in assets or $250,000 in annual income,”
“Our vision is to create an inclusive space where every investor looking to diversify into private markets and venture capital can find a home and where every VC fund looking to raise capital can participate,” she said.
