A socially oriented non-financial development institution and a major organizer of international conventions, congress, exhibitions, business, social and sporting, public, and cultural events.

The Roscongress Foundation is a socially oriented non-financial development institution and a major organizer of international conventions; exhibitions; and business, public, sporting, and cultural events. It was established in pursuance of a decision by the President of the Russian Federation.

The Foundation was established in 2007 with the aim of facilitating the development of Russia’s economic potential, promoting its national interests, and strengthening the country’s image. One of the roles of the Foundation is to comprehensively evaluate, analyse, and cover issues on the Russian and global economic agendas. It also offers administrative services, provides promotional support for business projects and attracting investment, and helps foster social entrepreneurship and charitable initiatives.

Each year, the Foundation’s events draw participants from 208 countries and territories, with more than 15,000 media representatives working on-site at Roscongress’ various venues. The Foundation benefits from analytical and professional expertise provided by 5000 people working in Russia and abroad. In addition, it works in close cooperation with 160 economic partners; industrialists’ and entrepreneurs’ unions; and financial, trade, and business associations from 75 countries worldwide.

The Roscongress Foundation has Telegram channels in Russian (t.me/Roscongress), English (t.me/RoscongressDirect), and Spanish (t.me/RoscongressEsp). Official website and Information and Analytical System of the Roscongress Foundation: roscongress.org.

RC personal account
Восстановление пароля
Введите адрес электронной почты или телефон, указанные при регистрации. Вам будет отправлена инструкция по восстановлению пароля.
Некорректный формат электронной почты или телефона
Sberbank Venture Pulse
25 May 2018
12:00—13:30
KEY CONCLUSIONS
Venture funds are actively developing

We see the funds grow in volume. This is a big trend. In general, there is a significant number of large funds now. In any case, when interest rates are practically at zero, if anyone promises some form of profitability, everyone is just starts massively pumping those companies with money — Rodolfo Gonzalez, Partner, Foundation Capital .

Large companies create their own venture funds

Large companies - such as Google, IBM, Intel create their own venture corporations. "Sberbank" has its own venture fund. We even see small companies like Slack create their own venture capital funds. This is a small company estimated at a billion dollars, but they already have a USD 50 million venture fund — Lev Khasis, First Deputy Chairman of the Executive Board, Sberbank .

Over the past few years we have seen that corporations, regardless of their field: aerospace, cement, medicine, weapons produce - they all have small funds they don’t really talk about Sometimes it's easier to buy a technology than to develop it inside, so they do it — Douglas A. Trafelet, Managing Director, Vice President of Sales, PitchBook Data .

They (the world's largest companies - Ed.) are buying either a product or a customer base. There are some deals when they buy teams, people, but it's rare, and company estimates in these cases will be low. They could of course develop this (products - Ed.) themselves, but they analyse ROE, the return on equity, and from the point of view of recoupment they believe that it will be more profitable than developing something in-house. Even more acquisitions are driven by buying a clientele, rather than buying a product — Leonid Boguslavsky, Chairman, ru-Net.

Digital technologies are an attractive sphere for venture investments

The next five years we will focus on blockchain, perhaps not just on the crypto currency. We think that the blockchain for transaction validation and for validating possession of assets like real estate or intellectual property could be an interesting progress. Also, personal data - this will also be very important. We think that start-ups will help individuals own and control their data on the Web and protect their confidentiality. Artificial intelligence is also an area in which we are very interested. It will evolve together with financial technologies — Anurag Chandra, Partner, Fort Ross Ventures.

Artificial Intelligence. This is the fifth industrial revolution. Digitalization, cybernification. <...> Artificial intelligence, unmanned vehicles – 10–15 years will go into implementation, but you need to invest now. And the companies that were made 2-3 years ago will dominate — Сang Quach, Managing Partner, Stern Ventures .

Quality characteristics of companies matter for venture investments

We think about three things: hands, heart and head. The head is the intellectual potential of the company, does the leadership has it? Heart: are they motivated, do they want to protect the company’s best interests? And hands: do they really want to work. We look at the team and answer these three questions. And if these three elements collide, then everything is fine — Сang Quach, Managing Partner, Stern Ventures .

We focus on the quality of entrepreneurs and the size of the market. These are the two main factors of success or failure — Amit Shah, Partner, Artiman Ventures .

At the first meeting, I never say: “show me your financials”. I ask entrepreneurs to briefly talk about their main business processes. And then if it is alright, the financial results follow — Leonid Boguslavsky, Chairman, ru-Net.

ISSUES
Investors prefer established companies

Venture capitalists have set records in almost all sizes of transactions. But the number of transactions with unicorn companies with a market value of more than $ 1 billion started to decline — Lev Khasis, First Deputy Chairman of the Executive Board, Sberbank .

The number of transactions on so-called earliest stage investors, the seed and the angels, went down significantly. I think that investors are looking at companies that are more established, more developed. These are already rounds A, B, C. People try to avoid the earliest stages of investing in start-ups — Douglas A. Trafelet, Managing Director, Vice President of Sales, PitchBook Data .

The gap between non-professional and institutional investors

There is a difference between the rounds of angels-investors or family friends and A series investors. Unprofessional investors do not reserve the additional capital that the company needs to reach the required level and become attractive. This is the gap between non-professional investors and institutional investors — Anurag Chandra, Partner, Fort Ross Ventures.

In India, in Singapore, one of the main challenges in the series (investment - Ed.) is B, because there are very few funds that can invest in the B series. And therein lies the huge gap between India and other markets. In the US, by the way, the situation is also so-so, but not so bad as it is in India — Amit Shah, Partner, Artiman Ventures .

SOLUTIONS
The best way to enter a venture business is to invest through funds

If you are just starting to invest <...> it is better to use a venture fund, because there is a lot of work here. You need to find a company, analyse it and then invest — Amit Shah, Partner, Artiman Ventures .

95% of the time you will fail, all start-ups you invest in will go bankrupt. Imagine, you go hunting to the woods. Do you need to take one bullet with you or 20? If you have 20 bullets, the, probably you will hit something. But if you only have one bullet and you miss, then you will stay hungry. Therefore, if you only have one bullet, invest in funds — Сang Quach, Managing Partner, Stern Ventures .

To invest directly, you need to become a venture capitalist, you need to have entrepreneurial experience. You need to build a team, because you’re not going to make it on your own. And you need to raise a certain amount of money. Your portfolio needs to have 10 investments tops. And if you can not afford more than 10 investments, then it's best you invest in funds — Leonid Boguslavsky, Chairman, ru-Net.

The material was prepared by the Russian news agency TASS