Latest Articles
SPVs
How do you structure an SPV into another SPV?
This involves a legal structure where one SPV invests into another SPV. Reasons for this structure might include acquiring a secondary interest from an existing SPV.
Read more
SPVs
What are secondary SPVs?
Secondary SPVs are special purpose vehicles that invest in a secondary asset from an existing holder of a security. Sales of an asset not directly from company itself are known as secondary sales, or sales on the secondary market.
Read more
Fund Manager
Watch out school VC: the podcasters are coming
The best way to become a VC is to host a podcast and write threads on Twitter.” But that’s the reality for a new type of investor: “Content Creating Solo GP.” They don’t want board seats. They don’t want to lead funding rounds.
Read more
Fund Manager
Fast, hassle-free SPVs mean more time for due diligence
In the hottest deals, you might have 48 hours to secure your allocation. If you don’t wire the funds in time, you lose your allocation. In today’s venture landscape, that could mean losing out on 10s or 100s of millions for you and your LPs.
Read more
Analytics
The rise of opportunity funds and why fund managers might need to start using them
Fund managers and VC firms use several types of funds to carry out their investments. Each has their own advantages and disadvantages. There are flagship funds — the ones that get all the press. If you’re around the VC industry, you hear about these all the time. Then there are non-flagship funds like opportunity funds and growth funds.
Read more
Analytics
Move as fast as founders do with instant SPVs
“Hey if you’re interested we’re gonna do our first closing next week. Let us know — in the next day — if you’re in or you’re out.” The private markets now move faster than ever. Fund managers, solo GPs, and investors always knew the democratization of the private markets was coming.
Read more
Fund Manager
4 practical things LPs and fund managers need to know for tax season
What is a K-1? Schedule K-1 is an Internal Revenue Service (IRS) tax form issued annually for an investment in partnership interests to report each partner's share of the partnership's earnings, losses, deductions, and credits. This time of year can be extra stressful for fund managers because they have to track down paperwork from their portfolio companies and ensure their LPs receive K-1s in a timely manner.
Read more
Fund Manager
Keep up with these 4 VC firms focused on crypto and blockchain
It’s difficult to move as fast as the crypto world does. New projects pop up daily. Prices rise and drop in an instant. Even celebrities are throwing their proverbial hats in the ring. But underlying all of this noise is a venture scene committed to helping crypto builders build — or buidl, depending on which Discord server you’re in.
Read more
Fund Manager
Fill your moleskine journals with tips from these 5 timeless angel investing blogs
The best angel investors are tremendous writers. They’re quick to share what they’re learning, and for good reason — writing online is one of the best ways to grow an audience of LPs with capital to invest. Just ask Harry Stebbings.
Read more
Company
Allocations partners with angeles investors to support hispanic and latinx founders and investors
In the past 5 years, Latinx income has grown by 8.6%, compared to 5.1% US average. To put this in perspective: if the US Latinx GDP were its own economy, it would be the 8th largest in the world!
Read more
Fund Manager
5 best books to read If you’re forging a path in VC
Building a solid brand, fund, or investment firm — like any other business— is equal parts exciting and intimidating. Regardless of how you’re feeling, there’s good news: nobody starts with a perfect understanding of how their business will grow. And while practical experience is best, we’ve curated a list of 5 books every emerging fund manager should read.
Read more
Investor Spotlight
Investor spotlight: Alex Fisher
Alex Fisher was introduced to investing early in his career. Even as a young teenager, Alex understood the importance of long term investing. After spending time learning and grasping the basics of investing, Alex grew into a successful angel investor focused on new space and blockchain. He currently runs blockchain infrastructure for Ethereum and is a member of the Allocations Angels group. Some of his investments include Spaced Ventures, Epic Aerospace, Voyager Space, Space Forge and dozens more.
Read more
SPVs
6 unique use cases for SPVs
Private markets are quickly evolving, creating both challenges and opportunities for fund managers and their investors. At the same time, Special Purpose Vehicles (SPVs) are becoming an important tool for private market participants. Angel groups, solo GPs, emerging managers, family offices and investor communities are turning to SPVs to get deals done quickly and cost effectively.
Read more
Market Trends
The SPV ecosystem democratizing alternative investments
SPVs are fast, flexible, and shifting the landscape of private markets enabling more access and democratization. A decade ago, SPVs would have been inaccessible for many fund managers and investors due to extremely high costs and the time consuming process involved with formation and fund administration.
Read more
Company
How to write a stellar investor update
Sending an investor update is a great way to connect with your investors to drive engagement as you work to build confidence and trust in your abilities as a fund manager. If you are new to writing investor updates, it may be helpful to start with a template. Then, you can add information as you see fit, and an outline will help you stay focused as you craft your update.
Read more
Analytics
What’s going on here? 1 in 10 US households now qualify as accredited investors
Startups need fund managers. And fund managers need LPs to invest in their funds and SPVs. So it would follow that when a startup ecosystem has more LPs, there are more fund managers, and therefore more capital available for startups.
Read more
Market Trends
SPVs by sector
Allocations has powered over 20,000 investments into world changing companies. The Allocations platform empowers emerging fund managers to easily raise capital and gives normal investors the opportunity to invest in companies that are changing the world.
Read more
Market Trends
5 Benefits of a hybrid SPV + fund strategy
An SPV is a lightweight legal entity that allows you to diversify your portfolio. Investors can write smaller checks and deploy their capital faster than they would with a traditional fund. Also, an SPV has more flexible rules regarding who and how much they can invest. Many new VC funds are setting up SPVs to enable their LPs to participate on a deal-by-deal basis. This is a popular approach to build AUM and scale the number of LPs quickly for proven and emerging fund managers.
Read more
Products
What is the difference between 506b and 506c funds?
Today’s fund managers compete on speed. And when you’re building a fund, it’s important to get the small details right. The costs of getting the small details wrong can be immense. A small (but important) detail about your fund is whether it’s a 506b or 506c fund.
Read more
Fund Manager
Why Allocations is the best choice for fast-moving fund managers
For so long, the private markets have been dominated by fax machines, spreadsheets, emails, and PDFs. Tools of old. But the time is coming where this just won’t do — they’re not fast enough.
Read more
Fund Manager
When should fund managers use a fund vs an SPV?
In today’s private investment landscape, what’s most important to an emerging fund manager is getting into deals. We wrote this article for the emerging fund manager trying to figure out which investment vehicle is right for them. Specifically, this article will help you distinguish between these two (2) types of investment vehicles: The Fund The SPV
Read more
Fund Manager
10 best practices for first-time fund managers
Here's 10 things first-time fund managers can do to get to their second fund fast. The first one is most important from Day 1. 1. Get to Fund #2 fast For first time fund managers, the goal is to get to your second fund — quickly.
Read more
Analytics
Bitcoin ETFs and 2 other crypto trends to watch in 2022
Crypto is the future. Some enthusiasts think crypto will transform everything. Others think it’s a get-rich-quick scheme and that NFTs are just JPEGs. What’s the big deal?
Read more
Market Trends
Private market trends: where are fund managers looking in 2022?
In Q1 of 2022, US VCs raised at an unparalleled rate. According to Pitchbook, more money was raised for new funds in this quarter than in the entirety of 2019.
Read more
Fund Manager
5 female VCs on the rise in 2022
Let’s retire the Old Boys Club. In this article, we hope to celebrate and elevate women on the rise. The ones making waves. The ones getting the important work done.
Read more
Analytics
The new competitive edge for VCs and fund managers
Community is a pillar of modern capitalism. Founders are already starting to pick up on this. Some are even building a community before a product — as is the case with most web3 projects. In this article we build on these trends and make the case that fund managers can benefit from building community.
Read more
Analytics
4 trends in M&A to watch in 2022 (Plus 1 more that might surprise you)
2021 was a record year for M&A activity. But 2022 might be bigger. (M&A stands for ‘mergers and acquisitions’ for those unfamiliar). Despite the Covid-19 pandemic impacting large parts of the economy, some investors had better years than ever. Because they were able to borrow capital at a premium, they could invest that capital into companies with strong digital identities — a trend that has become more important as the work world goes remote.
Read more
Investor Spotlight
Investor spotlight: Olga Yermolenko
Allocations CEO & Founder Kingsley Advani, sat down with Olga Yermolenko to discuss her background as an entrepreneur and founder. Olga is a member of the Allocations Angels group and currently a Partner in Portfolia's Green & Sustainability Fund focused on investing in sustainable startups across energy, real estate, mobility, supply chain and CPG.
Read more
