The year 2018 was an eventful and significant year in the venture capital and private equity industry. Research regarding the VC and PE industry emphasize the importance of venture capital and private equity, active policy work improves investors’ and entrepreneurs’ operating environment and the number of members is increasing. Read more about FVCA and the industry below!
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A brand reform was done in 2018. The association changed its name into “Pääomasijoittajat ry” and revised its appearance and website. The amount of website visitors increased 44%.
The managing director of the association has been Pia Santavirta since 1.3.2016 and the operations manager is Jonne Kuittinen. Early in the year Pauliina Martikainen started working in communications and policy work and Markus Nyberg started with the member services and as an analyst intern. In the fall, Annemari Kirppu joined the team as the Head of Analytics and Sustainable Finance, preparing for filling in for Jonne Kuittinen, as his paternal leave began in January 2019. Karin Hentunen became a part of the team in the fall and she is responsible for member services and assists the managing director with legal matters. Anna Brchisky began working in communications at the end of the year as Martikainen began her study leave.
The board of the FVCA handles decision making, monitoring the association and organizing its operations. The Chairman of the board runs the meetings and the managing director acts as the secretary.
The board sets up new committees at need to develop the association’s operations. The committees report to the board about matters in discussion. The board also accepts new members.
In the annual meeting on 22.3.2018 it was decided that Juha Tukiainen (MB Rahastot Oy) continues as the Chairman of the board. The board also got two new members: Jan Mattlin (Capman Oyj) and Anita Ojala (Juuri Partners Oy). The board convened seven times during 2018.
In addition to the board, seven actual committees and one ad hoc committee operated in the association in 2018. The committees gathered altogether 25 times.
In 2018 the following committees operated:
Venture Capital Committee
The members of the committees are presented at the association’s website.
According to the strategy, FVCA’s member services are basic services, public relations and lobbying and communication.
In 2018, the association established a new communication service: weekly newsletter. Every Sunday, members of the association receive an email about the news in the venture capital and private equity industry.
The Investor search engine is the most visited page on the association’s website. In 2018 the search engine was renewed, and the general information of the firms was updated. Members can find all the member-, news- and event letters and the materials of FVCA’s seminars from the Extranet website.
In 2016, the operation of FVCA was renewed. After that, the number of members has increased remarkably.
Are you interested in joining our association’s growing membership? Read more about becoming a member here!
In 2018, the association received 8 new full members and 12 new associate members. In the beginning of 2019, the number of members keeps increasing.
Introduced members in 2018
Introduced funds in 2018
In addition tothe above, the following members joined: Boyden, Investoole, EduImpact Fund, Loudsprings, Business Finland VC, FIM Private Equity Funds, Prudentus Capital, August Associates & Nordic Game Fund Management.
In 2018, FVCA organized 17 events. Most of the events were seminars, held in collaboration with our members. Altogether over 1000 members participated in our events during the year.
The main event of the year, FVCA’s Spring Seminar, was held on 12.4 in Clarion with an attendance of 350 guests. The main partner in cooperation of the event was PwC.
In Spring Seminar 2018 we awarded distinguished people in the VC and PE industry:
The Venture Capitalist of the Year award – Sami Lampinen, Inventure
The Communications of the Year award– Artturi Tarjanne, Nexit Ventures
The Blog of the Year award – Jyrki Tähtinen, Borenius
The Viral Act of the Year award – Jonne Kuittinen, Finnish Venture Capital Association
In the spring seminar 2018 FVCA and PwC held together the annual Growth Builder contest. The winner of the contest was a Finnish growth company Unisport, which designs, produces and delivers comprehensive solutions to indoor and outdoor sport facilities.
The principles of responsible investing have become an increasingly important part of the venture capital and private equity industry. At FVCA we have integrated them as a part of our Code of Conduct as well as our Transparency and Disclosure Guidelines and they were accepted as a part of FVCA’s rules in the annual meeting in 2017. The updated rules and guidelines took effect on 1.6.2018.
FVCA’s principles of responsible investing are on our website (only in Finnish)!
FVCA’S guidelines for transparency and disclosure are intended to serve as a standard for transparency and disclosure of the venture capital and private equity industry in Finland. These guidelines were accepted in the annual meeting on 22.3.2018 and they took effect on 1.6.2018.
These transparency and disclosure guidelines are a central part of developing an accountable venture capital and private equity industry and are set to build greater understanding and trust towards the industry through active dialogue.
Find out more about FVCA’s rules and guidelines from here!
Finnish Venture Capital Association does policy work in Finland and in the EU to support the VC and PE industry.
The top three goals for policy work in 2018 were:
1) More private capital for growth
2) Regulation needs to be supportive to foster international competitiveness
3) Boost companies’ growth and internationalization
The association gave nine official statements during 2018. All statements can be found from the website.
Additionally, FVCA has given numerous unofficial comments to ministries about promoting employment and growth. These statements are meant to assist in preparing regulation in both Finland and EU.
In accordance with 2018’s research plan, the association carried through a new study in collaboration with KPMG. The study showed that VC and PE backed portfolio companies’ average growth has been 6 times faster in terms of revenue and 15 times faster in terms of employees compared to peer companies from same industries and of the same size.
The law concerning foreign fund of funds entered into force on 20.3.2019 – success in improving and empowering possibilities for growth!
In April 2018 we informed that Finland would fall behind in drawing foreign capital into Finland. As a barrier for growth was our national legislation, which was not tempting for foreign fund of funds’ investments. The investments to Finnish venture capital and private equity funds led to a risk of double taxation whereas in competing countries the problem does not exist. This amendment finally welcomes foreign fund of funds to invest in Finland!
During 2014-2018 Finnish venture capital and private equity funds received 2,9 billion euros, and 30% of that came from foreign fund investors. We expect the share of foreign fund investors to grow as a result of the law change.
Information about the law change:
Finnish Venture Capital Association joined the Invest Europe Public Affairs Executive -group in January 2019. Invest Europe Public Affairs Executive states Invest Europe’s views on policy work concerning the VC and PE industry. The German, the UK and French national associations have a seat each and a rotating seat is reserved for the association of the country holding the six-monthly EU Presidency. Finland is a part of the group now that the Presidency of the Council of the European Union is getting closer. A membership in the group boosts the association’s influence at EU-level and increases cooperation with other PE and VC industry’s operators in Europe.
The most important topics under discussion are Brexit, AIFMD-regulation’s re-evaluation and changing the marketing regulation, changing Solvency II to help investing to venture capital and private equity funds and sustainable finance.
Cooperation with Nordic countries has become remarkably closer. Nordic associations met in Helsinki in May and in Brussels in September in the Invest Europe’s meeting. The purpose of the meetings was to promote shared policy work and to carry out a Nordic Venture Capital market study.
In addition to the 2018’s research plan, FVCA carried out Nordic Venture Capital study in collaboration with the Swedish, Danish and Norwegian VC and PE associations and Copenhagen Economics. The advance information of the study was released on 3.12.2018 in Slush’s Nordic policy-maker event and on 4.12. in the domestic policy-maker event. The final study was released in February 2019 on a separate Nordic website, Nordics.vc. Nordics.vc is dedicated to providing information on the development and opportunities in the Nordic VC market. Read more about the study from https://nordics.vc/
In addition to the Nordic cooperation, FVCA has activated with the colleagues in Baltic countries. Estonia’s venture capital and private equity ecosystem has grown and developed remarkably during the past few years and numerous startups have become unicorns. In the picture, FVCA’s team is visiting Estonia’s VC and PE association EstVCA in November 2018.
Moreover, in the beginning of 2018 the association received its first Baltic member, Estonian Tera Ventures. In collaboration with Tera Ventures, Fondia, Miltton and Butterfly Ventures we organized our first event regarding the Baltic investing environment in September. Read more about Tera Ventures from their member introduction.
Finnish Venture Capital Association, as its members’ communicational channel, publishes and shares information about new venture capital and private equity funds, investments into startups and growth companies and other essential events, statistics and studies related to the industry.
Follow us on Twitter, LinkedIn and Instagram to stay up to date! Our username is @FVCAfi on all channels.
In 2018 the association released 18 own press releases and organized two press conferences. Here are few highlights from the past year:
More press releases can be found from the Newsroom!
FVCA published 50 blogposts during 2018.
In 2018, writing blogs was the most popular way to inform about the current themes to Venture Capital and Private Equity investors and FVCA’s stakeholders. The association published 50 blog posts. FVCA also started two new blog series:
1. “Polkuni pääomasijoittajaksi” (My journey to a VC and PE investor), which dives deep into the various backgrounds of Finnish VC and PE investors
2. “Yrittäjän suusta” (Entrepreneurs tell), which describes the relationship between the investors and the companies as well as about how the investor has helped the company to grow.
In accordance to previous years, the Growth Builder -contest held in spring is an important way to inform about the collaboration between the investors and companies. In 2018 the Growth Builder -contest was held together with PwC’s talented team. The winner of the contest was Unisport from Vaaka Partners’ portfolio.
Read more blog posts from the Newsroom!
In 2018 FVCA published a new blog series ”Polkuni pääomasijoittajaksi” (My journey to a VC and PE investor). In the blog series Finnish VC and PE investors tell about their various career journeys, and how they are able to use their knowledge in helping Finnish companies grow and succeed.
Get familiarized with the blog series by reading these:
“Monesti ajatellaan liian suoraan maaliin” – kansainvälinen neuvottelija Anita Ojala, Juuri Partners (24.10.2018) (Only in Finnish)
”En ikinä pääsisi töihin meille” – Tienraivaaja Tuomo Raasio, CapMan (5.10.2018) (Only in Finnish)
New Mentor Group has been launched by FVCA, Tesi and Business Finland Venture Capital!
A new Mentor Group for the Venture Capital and Private Equity industry in Finland has been created to help out new Venture Capital and Private Equity funds, newcomers in the industry and people who are interested in the scene. The meetings with the mentors are meant to be informal – grabbing a lunch, sharing thoughts about a current issue in the industry or helping out with challenges that might come up. Above all, the mentors are supposed to give support and help to teams that have already started or people who are interested about the VC and PE industry. We warmly welcome anyone, especially students with different backgrounds to apply for a mentor from the Mentor Group.
We will organize an event for people who are interested in the industry and AaltoENT’s training will also be a great introduction to the VC and PE industry!
Read more about the Mentor-program from the Association’s website!
FVCA is looking for the most impactful Master Thesis of 2019!
For 2019, we launched a Master Thesis -competition, which is looking for new and inspiring insights about the Venture Capital and Private Equity industry. The Master Thesis can be about VC and PE industry’s societal impact, valuation or anything with a significant meaning to the industry. Our new competition looking for the most impactful Master Thesis started in January. The competitor’s study background doesn’t matter since we encourage students to find impactful and meaningful information about the industry.
The winning Master Thesis will be awarded in FVCA’s Christmas Seminar, where the thesis writer will share their ideas with over a hundred decision-makers from the Venture Capital and Private Equity industry. The winner will also be awarded by FVCA with 2,500 euros.
Read more about the competition here!
Over 200 companies per year – our new guide gives advice for entrepreneurs on how to secure a spot in venture capital or private equity investor’s portfolio.
In February 2018 the association launched a guide for startups and growth companies to help them find the right investor. The guide enables entrepreneurs to easily understand the basics of the investment process, and to assess whether a PE or VC investment could be a suitable alternative to grow one’s company further.
The guide is now available both in English and Finnish on FVCA’s website.
Are you interested in becoming a member? Read more about it from here!
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Anna, Karin, Pia, Lyydia & Annemari