With over $9 billion in belongings beneath administration, GGV Capital is certainly one of enterprise capital’s largest and most distinguished gamers. The 22-year-old agency invests in startups from seed to progress levels throughout quite a lot of sectors, together with client, web, enterprise/cloud and fintech.
This 12 months was some of the troublesome the startup world has seen in a while, because it compelled traders and founders alike to adapt to a drastically totally different market than they loved in 2021.
To raised perceive GGV’s place throughout a difficult enterprise surroundings, I sat down with managing associate Hans Tung to get his ideas on the state of investing as we speak, why he believes that there are “many extra giant fintechs but to be constructed” and that elevating a down spherical “just isn’t the tip of the world.”
“It’s not the tip of the world if you happen to elevate a down spherical. The one factor that issues is that you find yourself having a very good end result.” GGV’s Hans Tung
Principal Robin Li additionally joined the dialog, sharing why she thinks embedded fintech goes to play an important position in monetary providers within the coming years.
An investor for over 20 years, Tung has backed the likes of publicly traded BNPL big Affirm, actual property fintech Divvy Houses, IDwall, Karat, Rupeek, Mexico’s Stori and Turtlemint. Having seen a couple of cycles, Tung is probably much less spooked by the present downturn than another VCs. Li has led Karat Monetary and Novo.
[Editor’s note: This interview has been edited for clarity and brevity.]
How has this 12 months been for you as an lively fintech investor?
Tung: We don’t attempt to time the market. So final 12 months, we didn’t over-invest. There was a number of inner push away from maintaining tempo with others. I feel it labored out properly since we’ve loads of dry powder left and extra time to be deliberate this 12 months. We even have time to double down on our present portfolio as properly. That stated, we’ve most likely slowed our tempo of investing in our world portfolio by about 50% this 12 months versus final 12 months.