David Clark

It is often said that Impact investing does not deliver financial returns. At C4D Partners, we are proving this wrong. Our Fund 1 has already achieved a 51% DPI on the India portfolio within 6 years of fund life, delivering a robust IRR. We’re not just about investing for impact, but also prioritizing strong, sustainable financial returns. We carefully select companies that are cash flow positive and demonstrate a clear path to profitability within a couple of years of our investment. This has enabled us to keep our mortality rate under 20%, lower than the industry average. Our approach - We invest in early-growth stage companies that are well-governed and on a clear path to positive cash flows, and be there for the long haul. Our approach comprises not just capital infusion, but active involvement in fostering a culture of transparency, operational excellence and sustainable value creation. We position our investments for sustainability and success in an ever-evolving market. If you’re a startup or investor interested in partnering with us, or just curious to learn more, let’s connect. Mirakle Couriers, Ecotasar, LabourNet, Saahas Zero Waste, Aarohan , 1BRIDGE, Ananya Finance, Freyr Energy Services Pvt Ltd #VentureCapital #Startups #SMEs #GrowthCapital #InvestmentStrategy #C4DPartners

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We at LeapFrog Investments are strong believers in the India story for impact investments. As I mentioned to Jaden, India has a lot of potential. It’s not a five-year story, it’s hopefully a 25-year story.... the reasons being growth, depth of talent, digital public infrastructure, and the depth of capital markets. Thanks to Jaden Paul for the interview in Business Standard. Read it here: https://lnkd.in/gyV-UTAv

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Crease lines have appeared on foreheads following a recent Securities and Exchange Board of India (SEBI) related article on the disclosure of #SideLetters ( in comments) This prompted me to advance my planned piece for the #LP Series In an AIF Trust (VC-managed fund), an LP's rights are akin to those of any shareholder, such as those in Reliance Industries Limited—every share purchased confers the same rights But does this equality hold true in the VC world ? Lets examine this proposed step by #SEBI ✅ What are #SideLetters? These are private agreements between : ✳️An LP and a VC firm ✳️'Advisors' and a VC firm ✳️Founding partner and 'Advisors' unbeknownst to other members of IC ! Categories of #SideLetters : ✳️Reasonable and Transparent: ✅LP #1 invests Rs 100cr in a fund and is charged a lower annual fee of 1.5%, compared to 2% for smaller LPs ✅Large LP #2 pays a performance fee (carry) of 10%, while smaller ones pay 20% These terms are executed with the AIF trust ( where LPs pool their monies) and are reflected as different unit classes in the #PPM registered with SEBI and shared with all LPs. No problems with these ✳️Doubtful and Opaque : ✅Managing Partner of VC Fund A invests in VC Fund B personally. When VC Fund A invests in a portfolio company of Fund B marking it up, could this lead to a conflict of interest ? 😑 ✅Partner of a Global VC A holds a 10% share of Carry in VC Fund B as part of an engagement letter, which involves promoting Fund B in influential circles they move around in ! This Partner is not on their website or fund pitch deck 😶 ✅An LP lodges a complaint via SCORES due to material changes, and the VC firm signs a #SideLetter capping their commitment incl a confidentiality clause Unlike the #transparent contracts executed with the AIF trust ( under purview of SEBI), these are made with the VC firm (LLP or Pvt Ltd company) to escape disclosure requirements, leading to ✳️Non-disclosure or incomplete disclosure ✳️Conflicts of interest ✳️Misuse of fees and expenses ✳️Changes in investment conditions As the industry evolves, with increasing funds, LPs, and employees, SEBI's latest move to enhance disclosure and protect LP interests is commendable It aims to professionalize and truly Institutionalise the sector, bringing it closer to the standards of Public Mutual Funds #LPs evaluating VC firms or questioning their current ones should consider this key question: ✅ Can you share all #sideletters executed by your VC Firm entity with any LP/ Advisor / Fund Manager/ Any other person that have a bearing on the deployment of my Funds ( incl incentives to team) and its returns ? ✅ Did any member of the IC/ Key persons/ Designated partner of the VC firm purchase any shares of any folio company or any other Fund under their name or their related parties, without making a full disclosure and permission from LPs ? #transparency #VCreset2024 #venturecapital #governance

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Impact Investors Council (IIC), recently released its report on 'India Impact Investment Trends 2023' at our India Room event in Singapore. In this short video, Divya Pinge, Head of Research and Varun Reddy, Asst Manager - Research & Programs, at Impact Investors Council (IIC), take you through a synopsis of the report. For your soft copy of the report, please write to us at : [email protected]

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Narratives drive public markets. And as George Soros noted with respect to market movements, narratives are also reflexive. The narrative itself feeds into ancillary threads of support for the macro narrative. DISH Network equity performance has been driven by a single overarching narrative of negativity. Simply put, the narrative states that a fourth network is not a viable business and that by pursuing a vision of such, DISH Network is destroying value in the form of malinvestment in network capital expenditures and associated negative operating cash flows. This negative hyper-reflexive narrative has turned to profound negativity that a cloud-based Open RAN network architecture has any unique value. It has been extended to the belief that the business will ultimately file for bankruptcy. This is where the reflexivity takes a comical twist. Analysts have intellectually contorted their belief about the company that in such an inevitable bankruptcy, due to some miraculous twist is fate, and defying precedent, that the company would be forced to sell their spectrum at a deep discount to book value (25% to 50% per the analysts at Morgan Stanley). This belies the fact that there is now a scarcity of spectrum and material excess demand beyond what is presently in the market INCLUSIVE OF DISH Network This is how markets work. Narratives are formed and as they take root, subordinate threads become easier to believe as the primary narrative has become common knowledge. Narratives have never equated to value. Technology markets often suffer from becoming victimized by Amaras Law. Amara's law is a statement that people tend to overestimate the short-term impact of new technologies while underestimating their long-term effects. In markets, this often leads to bubbles. The enthusiasm around AI is undergoing this effect. For DISH Network perhaps what we are seeing is Ergen’s Law. Ergen’s Law states that markets tend to misprice value migration driven by structural and technological change. When an industry structure and supporting technological architecture and business models have been in existence for the duration of an analysts career, seeing change is quite difficult. In fact the change is so profound as to call into question fundamental assumptions about market reality. Narratives change. Asset value has a persistence that withstands all market sentiment shifts. The best managers focus on asset value not security prices. The value of the DISH Network spectrum alone is materially higher than the negative market narratives indicate. The race is long and is far from over. The markets mispricng of the assets of DISH Network will create a terrific case study down the road. But for today, we have a narrative fever dream to witness. Enjoy the show.

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Great insights about the evolution of Venture Capital. One of the drivers for this growth is technology. We have seen it in the public markets decades ago. Back then, you could only purchase a share of a listed company through a banker. Today, we can all buy & sell a $5 fractional share in any listed company through our phone. This same movement is happening in the private markets, for both Venture Capital and Angel Investing. We see this within Epic Angels. Because of technology, our angels can invest with as little as $1,000. Yes, that is all! Getting started with Angel Investing can be daunting. Want to know more about this? Join one of our free webinars where we take you through the basics of Angel Investing: https://lnkd.in/gaqB5ZUg We will even show you how you can already be an angel investor with amounts as low as $100 through platforms like Republic (US), Invesdor Benelux (Europe), Birchal (Australia). Thanks for sharing Illai Gescheit #EpicInvestor #angelinvesting #venturecapital

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What better way to demonstrate product-market fit than to learn about customer journeys before and after your platform? At Grip Invest, mass-affluent retail investors are migrating part of their portfolios from FDs to uniquely curated SDIs / Bonds manufactured by the platform. This ties into our thesis that the TAM for such a play is not the typically perceived 'alternatives' TAM but a cut of the humongous $2.5T FD market, which has never really been disrupted. A large set of retail customers understand now that there is a gap between FD returns and equity markets, and a risk-adjusted portfolio can be built here. Thanks Forbes India for this insightful piece. Congrats Nikhil Aashish Vivek for the tremendous execution.

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*News Headlines from Business News Agencies:* *Business Standard* 📝 Oil buyers, producers dialogue needed for market stability: Hardeep Puri 📝 India's semiconductor design sector booms despite Q2 hiring dip: Report 📝 Taj Gvk Hotels Q3 PAT jumps 39% YoY to Rs 17 crore 📝 SAT Televenture to acquire Tikona Infinet for Rs 669 cr in cash, stock deal 📝 Sebi allows MFs to invest in foreign funds with Indian securities exposure 📝 Kotak Alternate Asset Managers to raise Rs 1,600 cr via healthcare PE fund 📝 Coal Minister urges CIL to boost production and reduce import reliance 📝 TechEagle launches eight drone hubs with healthcare partners across India 📝 Fitch affirms IIFL Finance's rating after RBI lifts ban on gold-loan biz 📝 October weather did not favour Ukraine's winter crops: Scientists 📝 Exide Industries Q2 result: PAT falls 13.66% to Rs 233.4 cr on higher costs 📝 UAE opens its annual oil-and-gas summit, pledges to increase output *Economic Times* 📝 CIL should prioritise augmenting coal production, supplies to reduce import: Minister 📝 Aptus has appointed Atul Jain as Managing Director and Chief Executive 📝 China's Haier Group plans JV with JSW Group envisaging Rs 1K cr investment 📝 BFSI office leasing continues to surge as digital growth points to new record in 2024 📝 India to emerge as a Global South leader in AI global governance: Abhishek Singh 📝 India re-elected as President of International Solar Alliance till 2026 📝 Bajaj auto domestic 2-wheelers sales dropped 8 pc in Oct (YoY), exports surge 22 pc 📝 Ashok Leyland total sales fell 9% to 15,310 units in Oct 📝 Bangladesh fast tracks payment to Adani Power after supply cut 📝 Welspun Corp gets Rs 1,300 cr pipe supply order in US 📝 India to revamp power demand forecasting for better planning 📝 Crystal Crop acquires I&B Seeds to expand vegetable, flower seed business *Mint* 📝 RBI likely selling dollars to support rupee amid equity outflows: Report 📝 IRFC Q2 Results: Net profit rises 4% YoY to ₹1,613 crore, revenue up 2% 📝 Indian rupee touches all-time low due to equity outflows from domestic market 📝 Lulu Retail Holdings expects to raise $1.43 billion from its Abu Dhabi IPO 📝 DLF’s New ‘Ultra-Luxury’ Project to Have the Costliest Apartments in India 📝 Reliance Jio IPO may hit Indian market in 2025: Report 📝 NBFCs brace for slower growth as asset stress, fund costs pinch 📝 Skillmatics likely to go for India listing in 3 years: CEO Dhvanil Sheth 📝 SBI Mutual Fund average AUM surges to record ₹11 lakh crore in Q2 📝 Bosch to cut over 7,000 jobs as it lowers growth forecast for 2024 📝 InCred plans insurance, mutual fund arms as it seeks to diversify offerings

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If investment funds had their MCU; Endowment fund would be the ultimate badas5 ‘Wolverine’ – single focus, driven & unshakable Endowment funds serve as permanent pools of capital that generate ongoing income to support a cause in perpetuity The oldest Endowment Fund in the world is - University of Oxford set up in 1249 at the death of William of Durham The initial fund in today’s value was $240,000. It has lasted 775+ years at a conservative withdrawal of $8,000 per year The Harvard University endowment is the largest academic endowment fund in the world, with a $49.44 billion as on June 2022 Endowment funds have three key elements:    🔹 Investment policy: Outline for asset allocation strategy 🔹 Withdrawal policy: Guideline for money to be withdrawn 🔹 Usage policy: Rules on how the withdrawn income is used These Funds are managed by an appointed board or trustees or investment committees These are better then other philanthropic models:  🔹 Provide a predictable and reliable source of income, to cover Op-ex without relying on annual donations or Gov. grants 🔹 The principal amount remains intact & only the generated income is spent 🔹 Monies are invested in diversified portfolios designed to grow over time to support the organisation's mission in perpetuity 🔹 The structure & transparency makes organisations more attractive to donors   Indian Institute of Technology, Delhi is the first to start the endowment fund in India on the lines of Oxford, Harvard & Yale University India has 54 central universities and in the 2023-24 budget the Gov. set aside Rs 11,252.56 crore to create an endowment fund for them Indian Institute of Management Ahmedabad too is focusing on increasing its fund value & the Tata Trusts set up the Ratan Tata Endowment Foundation in September 2022 Now that we understand the benefits of the so-called Wolverine of funds, my question to you is – How would the scenario change if more corporations choose to structure their philanthropic ventures through such endowment funds? In the context of India, endowment funds hold big potential. 🔹 Universities & colleges can leverage these for scholarships, research programs, and infrastructure development   🔹 They provide a sustainable source of funding for NGOs working on critical issues like poverty alleviation, healthcare & environmental conservation   🔹 With proper management, temples and cultural institutions can utilise endowment funds to preserve heritage sites, support religious activities & promote wholesome growth of local communities India has been a land of giving Endowments offer a way to move ahead from the traditional ‘Hundi’ model of philanthropy to a structured & transparent approach, ensuring that donations are invested wisely and generate a steady stream of income to support the cause for generations to come What areas besides education & research can endowment funds have a greater impact? - Spark conversations by sharing your thoughts #EndowmentFunds

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India’s investment landscape is witnessing a transformative shift, with quantitative strategies taking center stage. As highlighted in Nuvama Group’s latest AltLens report, in India, Quant PMS & MF AUM has 𝐬𝐮𝐫𝐠𝐞𝐝 338𝐱 𝐨𝐯𝐞𝐫 𝐭𝐡𝐞 𝐥𝐚𝐬𝐭 𝐝𝐞𝐜𝐚𝐝𝐞, 𝐰𝐢𝐭𝐡 𝐚 𝐂𝐀𝐆𝐑 𝐨𝐟 86% 𝐨𝐯𝐞𝐫 𝐭𝐡𝐞 𝐩𝐚𝐬𝐭 𝐭𝐡𝐫𝐞𝐞 𝐲𝐞𝐚𝐫𝐬. Category III Alternative Investment Funds (AIFs) following Quant Approach have achieved a phenomenal 93% 𝐲𝐞𝐚𝐫-𝐨𝐧-𝐲𝐞𝐚𝐫 𝐠𝐫𝐨𝐰𝐭𝐡 𝐢𝐧 𝐜𝐨𝐦𝐦𝐢𝐭𝐦𝐞𝐧𝐭𝐬 𝐫𝐚𝐢𝐬𝐞𝐝, reflecting a growing appetite for systematic, data-driven investment approaches. Quant-based strategies are emerging as a game-changer, leveraging advanced analytics, mathematical models, and robust algorithms to navigate market volatility and inefficiencies. Globally, quant funds manage ~$16 trillion, with one in five hedge fund managers following a quant approach and the top five hedged funds globally being quantitative. At Wright Research, we are proud to lead this revolution with our cutting-edge quant strategies that combine factor investing, machine learning, and robust financial research. Our innovative approach aims to deliver alpha with precision, scalability, and resilience. With our PMS we have shown a return of 80%+ in 16 months beating the benchmark by 40% and building a sticky corpus of 380 cr. 🌟 𝐖𝐡𝐲 𝐝𝐨𝐞𝐬 𝐈𝐧𝐝𝐢𝐚 𝐛𝐞𝐥𝐢𝐞𝐯𝐞 𝐭𝐡𝐚𝐭 𝐐𝐮𝐚𝐧𝐭 𝐈𝐧𝐯𝐞𝐬𝐭𝐢𝐧𝐠 𝐭𝐡𝐞 𝐅𝐮𝐭𝐮𝐫𝐞? - Eliminates emotional biases like fear and greed - Adapts to dynamic market conditions with discipline - Offers downside protection and differentiated exposures As India aligns with global best practices, we believe the quant revolution is poised to redefine the investment ecosystem. Are you ready to explore the future of investing? https://lnkd.in/dQ6aB5hr #QuantInvesting #WrightResearch #DataDrivenInvesting #AIF #IndiaInvestments #Innovation

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Two sets of data in the Indian mutual fund industry that must be disclosed on a regular basis. (1/2) CC: SEBI 1) Net SIP flows. Today's story by Abhishek kumar of Business Standard newspaper, is an eye-opener. At a time when we're celebrating gross SIP flows in mutual funds crossing the Rs 20,000 crore mark, people are also closing their SIP accounts. The story points to a trend that investors are timing their SIPs also. "In an economy that is set to double in the coming years, stopping SIPs will take investors out of this growth path," @mohanty_swarup said. If AMFI discloses the net and gross inflow/outflow, it must disclose net and gross SIP flows as well. Graphic source: Business Standard newspaper. 2) Benchmark indices for debt funds. Equity indices are available on public platforms. But debt mutual fund indices aren't. Why? Recently when I did a story on debt fund benchmarking, I had to request both CRISIL and NSE for debt fund indices, for me to slice and dice the data. CRISIL shared the data when I requested. NSE did not. I am told that this is a business opportunity for debt index providers; index details are available to those who subscribe.

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WhiteOak Capital Mutual Fund has launched its latest new fund offer (NFO), the 'WhiteOak Capital Digital Bharat Fund,' an open-ended equity scheme that focuses on technology and technology-related companies. The NFO is open for subscription till on October 4, 2024. The primary objective of the fund is to offer long-term capital appreciation by investing primarily in equity and equity-linked instruments of technology-focused companies. * Our reliance on technology continues to grow as we seek innovative solutions to everyday challenges.  * Technological advancements are revolutionizing business operations, driving efficiency and innovation across industries.  * In India, new-age businesses are leading 'Digital Bharat' by leveraging cutting-edge technology to enhance innovation, efficiency, and inclusivity. These agile and digital-first companies are transforming traditional industries with AI, ML, and IoT.  * They redefine customer experiences, streamline operations, and expand market reach. From fintech firms improving access to financial services through digital platforms to e-commerce giants reaching remote areas, these businesses play a crucial role in creating a connected digital economy.  * Advancements in cloud computing, data analytics, and automation further foster innovation in healthcare, education, agriculture, and logistics, contributing to the vision of ‘Digital Bharat’.  * The ‘WhiteOak Capital Digital Bharat Fund’ aims to capitalize on this trend by investing in technology and tech adjacent companies, aiming for long-term wealth generation. As India's digital economy expands, the fund is poised to leverage the evolving tech landscape, offering investors a pathway to benefit from ongoing digital transformation The WhiteOak Capital Digital Bharat Fund is designed to capitalize on the rapid growth of India’s digital economy. Here are some key reasons why it might be an attractive investment: Focus on Technology: The fund primarily invests in technology and tech-adjacent companies, which are expected to drive significant growth in India’s economy. Long-term Wealth Generation: By targeting sectors poised for expansion, the fund aims to generate long-term wealth for investors. Experienced Management: The fund is managed by a team of experienced professionals, including Ramesh Mantri, Trupti Agarwal, Dheeresh Pathak, and Piyush Baranwal, who bring a wealth of knowledge and expertise. Diversification: While the primary focus is on technology, the fund also has the flexibility to invest in other sectors, debt securities, and money market instruments, providing a balanced approach to risk and return. N J Fin Plan recommends to invest- Insure, based on your financial goals & risk appetite. To open E-wealth account with N J Fin Plan http://p.njw.bz/55096 N J Financial Planning Off No.15, Kappeesh Mall, Near Mulund Railway Station, M G Road, Mulund West, Mumbai 400 080 +98924 22480 / [email protected] www.njfinplan.com

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A series where we highlight Gemba Capital's Portfolio companies' every week. Simple post - no gyaan and no bakwaas :) This week meet Pramod Rao and Abhishek Nalin from Threado AI Kamini Shivalkar Aditya Vargante Govind Lohia Vipul Rawal ↗️ ️Anupreet Singh 📈 Sujoy Chakravarty #meetourportfolio #earlystage #venturecapital #startups #tech #india #portfolio

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Investor interest and growth witnessed by impact investing globally in the last decade have been robust. However, ambiguity exists regarding AIF vehicles addressing this space. Countering this, SEBI in India introduced Social Impact Funds (SIFs). SIFs are structured to invest in both for-profit and non-profit organisations. While we appreciate this thoughtful step toward strengthening the impact investing space in the country, there are certain questions that should be addressed to enable SIF to deliver optimal outcomes for all stakeholders. My latest article, co-authored by Ajay Raja (Senior Analyst, C4D Partners), raises these important questions and suggests changes that we believe will enhance the robustness and effectiveness of the SIF structure, ensuring a more balanced approach to social investment to generate impact combined with financial returns. Read the full article here: https://lnkd.in/gtgjWDhY #impactfund #socialimpactfund #impactinvesting #india #sebi #aif #sif #privateequity #venturecapital #investments #c4dpartners #wemindthegap

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How do Balnibari Cucumbers relate to the Indian #elections? This blog links Jonathan Swift's fictional experiments to the media frenzy around India's #political landscape. Despite dramatic headlines, India’s tradition of #coalition governance and its robust economic growth remain steadfast, much like the metaphorical cucumbers. Dive into the full story here: https://lnkd.in/e4QuzSZF

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Expanding the Indian indexing market. While it will be interesting to see if balanced index funds (they call them “hybrid passive”) offered under SEBI mandated asset mixes (75-25, 50-50, 25-75) will be successful in India, it is a positive step that the regulators are moving to allow new indexed-based product categories to be offered as both funds and ETFs. In addition, they are lowering certain barriers to make it easier for product issuers to come to market. India has traditionally been an “active” market, but the index industry is growing very fast. It will be better for SEBI to allow the new product categories without being too prescriptive on product design. This will allow the market to decide which products will be successful rather than a regulator. As Indian investors become more financially savvy, one can expect indexed based products and advisory services to grow. This growth can occur quite quickly as evidenced by the hyperbolic growth of indexed-based derivatives in India. Success will continue to require ample education and low-cost transparent product structures. Given the population and growing wealth, the opportunities in India are large.  For years, the industry was focused on China, but India is the real growth story. #indexinvesting #ETF #index #india

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INDIA NEARLY 50 FOREIGN DIRECT INVESTMENT PROPOSAL STUCK WITH 17 MINISTRIES AND NOW DEPARTMENT FOR PROMOTION OF INDUSTRY AND TRADE ASKED THEM TO CLEAR THE SAME BECAUSE MAXIMUM 12 WEEKS PERIOD ALREADY CROSSED ) The Department for Promotion of Industry and Internal Trade (DPIIT) has called on 17 government departments to expedite decision-making on nearly 50 Foreign Direct Investment (FDI) proposals that have exceeded the mandated 12-week approval timeline. Around 46 FDI applications have crossed the government's prescribed limit without receiving clearance, reported BS, citing sources. Of those, 27 proposals have undergone security vetting by the Ministry of Home Affairs but still await a final decision from the respective administrative ministries. In a letter to the departments, the DPIIT emphasised the need to adhere to standard operating procedures and timelines for processing FDI proposals. The department specifically sought intervention from the Department of Economic Affairs under the Ministry of Finance to ensure time-bound approvals for the pending applications. A DPIIT spokesperson clarified that while the department facilitates the reception of FDI applications through an online portal, the final decision rests with the concerned administrative ministry. The sluggish pace of clearing investment proposals risks denting India's attractiveness as an investment destination, potentially hampering economic growth and job creation. Prompt action by government agencies could help unlock the economic benefits associated with increased foreign capital inflows. https://lnkd.in/grXRtznC

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