Publication Type

Master Thesis

Version

publishedVersion

Publication Date

2011

Abstract

This study is divided into three parts based on the listed companies on the Small and Medium Enterprise Board on the Shenzhen Stock Exchange in China. The first part is to study the investment performance of Venture Capital Funds. I found that the investment return in terms of investment multiple and annual rate of return is better than those in the US market, and also the VC investment portfolios outperform the public equity market. Furthermore, I compare the performance of non VC-backed IPOs and non VC-backed IPOs by using the Buy-and Hold Abnormal Return and Wealth Relatives. Both measurements show that the VC-backed are better than non VC-backed. Moreover, I try to establish a link between the performance and a set of independent variables such as investment amount, duration and etc. In the second part, I try to compare the performance of VC-backed and non VC-backed companies listed on the Small and Medium Enterprise Board on the Shenzhen Stock Exchange in the two years following the public listing.

Keywords

venture capital, IPO, multiple, annual rate of return, small and medium enterprise, China

Degree Awarded

MSc in Finance

Discipline

Corporate Finance | Portfolio and Security Analysis

Supervisor(s)

CAO, Jerry

Publisher

Singapore Management University

City or Country

Singapore

Copyright Owner and License

Author

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