1. System risk
This risk is widespread. Different projects will face different risks, but the degree is different, and diversified investment cannot be solved. Obviously:
Market risk, that is, the possibility that venture capitalists will face losses due to market uncertainty, is one of the most important risks faced by venture capitalists and venture enterprises. Including: first, market entry risk. For example, users often take a wait-and-see attitude when using new products, which leads to too long market entry time, overstocked products of venture enterprises, blocked capital turnover and difficult exit; Second, the market capacity risk. For example, after new products enter the market, the market is insufficient, the market value of new products is difficult to realize, and the investment cannot be recovered; Third, market environmental risks, such as harsh intellectual property environment and rampant plagiarism, will seriously affect the market share and return on investment of new products.
2. Non-systematic risk
Non-systematic risk refers to the possibility that the securities company itself will lead to the decline of securities prices for some reason. Only exists in a relatively independent scope or a single industry. It comes from the microscopic factors within the enterprise. This kind of risk comes from securities or industry-specific events, such as bankruptcy, default, etc., and has no systematic connection with the whole securities market. This is an unexpected risk or residual risk other than system risk in the total investment risk.
Institutional arrangement of governance structure of venture enterprises. The difference between venture capital and other investments is that venture capital is a long-term investment. After investing, venture capitalists should participate in the management process of venture enterprises; This is also one of the value-added services of venture capitalists. Generally speaking, venture capitalists will serve as one or more directors of the invested enterprise, and promote the development of venture enterprises with rich financing and management experience, so as to obtain greater benefits;
Investment company is a broad concept, which is engaged in a financial intermediary service. Investment companies pool the funds of individual investors and invest in stocks, bonds, futures, equity or other assets with their own investment ability and experience.
In reality, the organizational forms of investment companies are diversified, including trust companies, financial companies of enterprise groups, investment banks and fund companies of securities companies, investment departments of commercial banks and insurance companies, etc. , all belong to the scope of investment companies, and the names of investment companies are also inconsistent.
Some are investment companies, some are investment consulting companies, or investment consulting joint-stock companies, and some are asset management companies and fund management companies. Investment companies basically pool the funds of many individual investors for investment. Then, as an ordinary individual investor, the primary purpose of giving money to an investment company for investment is to obtain income. However, the safety of funds is the premise, so investors should conduct background checks on investment companies, which investors must learn to do before investing.
The background investigation of investment companies can be completed through routine investigation and professional investigation. Conventional surveys can be conducted by investors themselves.