<article>Singapore&#8217;s <a style="color: #000080;" href="http://www.dealstreetasia.com/tag/capbridge/" target="_blank" rel="noopener noreferrer">CapBridge</a> has announced that it is launching a $100 million pre-IPO (initial public offering) fund in collaboration with <a style="color: #000080;" href="http://www.gordian-capital.com/" target="_blank" rel="noopener noreferrer">Gordian Capital</a>.</article>

Singapore&#8217;s <a style="color: #000080;" href="http://www.dealstreetasia.com/tag/capbridge/" target="_blank" rel="noopener noreferrer">CapBridge</a> has announced that it is launching a $100 million pre-IPO (initial public offering) fund in collaboration with <a style="color: #000080;" href="http://www.gordian-capital.com/" target="_blank" rel="noopener noreferrer">Gordian Capital</a>.
This growth-stage VC fund that aims to link startups with institutional investors, is a sub-trust fund under the CapBridge Investment Trust (CIT), said to be a rules-based trust investing in private securities.
Incepted in 2015, CapBridge is an online capital-raising platform that enables institutional and accredited investors to invest in growth-stage enterprises companies via venture capital financing and pre-IPO placement. It is partnered with the SGX and Clearbridge Accelerator.
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In an <a style="color: #000080;" href="http://www.businesstimes.com.sg/technology/capbridge-unveils-worlds-first-rules-based-trust" target="_blank" rel="noopener noreferrer">exchange</a> with The Business Times, CapBridge chief executive officer (CEO) Steven Fang explained: &#8220;The rules-based nature of CIT &#8216;automates&#8217; the selection criteria and removes the need for active discretionary management, which reduces the fund&#8217;s expense load.&#8221;
CIT will not be competing with venture capital (VC) funds but will operate in a complementary co-investment role. According to Fang, it will be targeting investments alongside top-tier VC firms. With its launch of Thursday, 16 February 2017, CIT will establish a series of sub-trust funds, with the pre-IPO fund being its first fund. According to CIT, over the next five years it will target investments in venture-backed enterprises in pre-IPO investments.
Private investors traditionally lack access to the asset class which the venture-backed securities of technology enterprises represent. Despite their volatility and risk, venture capital assets &#8211; which are generally unavailable and lacking in transparency &#8211; represent an asset class which generates significant returns.
Dr Fang said, &#8220;Given the efficiency of a rules-based trust structure, the pre-IPO fund has the potential to expedite pre-IPO capital raising, making Singapore an attractive fund-raising destination for growth companies.&#8221;
Despite the uncertainty of the global economic climate, <a style="color: #000080;" href="https://www.iesingapore.gov.sg/Media-Centre/News/2016/6/VC-funding-growth-strong-in-S-E-Asia-despite-slowing-global-economy" target="_blank" rel="noopener noreferrer">VC funding in Southeast Asia</a>, and <a style="color: #000080;" href="http://sbr.com.sg/sites/default/files/singaporebusinessreview/print/Venture%20Capital%20in%20Singapore_SBR%20June%20July%202016.pdf" target="_blank" rel="noopener noreferrer">Singapore by extension</a>, continues to remain favourable. The city-state&#8217;s environment remains resilient relative to the rest of Asia due to abundant dry powder, a pro-business setting that favours entrepreneurs and the growing focus of local startups to leverage on economic growth narrative and expanding middle class of the Southeast Asian region.
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Also Read:
<a style="color: #ff0000;" href="http://www.dealstreetasia.com/stories/32312-32312/">Singapore: Online fundraising platform venture Capbridge secures MAS license</a>
<a style="color: #ff0000;" href="http://www.dealstreetasia.com/stories/sgx-gives-s1-5m-grant-to-develop-equity-crowdfunding-platform-capbridge-8282/">SGX gives S$1.5m grant to develop equity crowdfunding platform CapBridge</a>
<a style="color: #ff0000;" href="http://www.dealstreetasia.com/stories/singapores-tech-ipo-push-wont-bring-back-glory-days-52020/">Singapore’s tech IPO push won’t bring back glory days</a>

CapBridge has partnered Gordian Capital to launch a $100 million pre-IPO fund under CapBridge Investment Trust.

Singapore: CapBridge launches $100m VC fund

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