Angel Investment Management and Venture Capital

Abstract

How do you model the suitable angel investing in the capital market that managing venture capital portfolio, maintaining high returns and minimizing the downside risk where the venture investments including seed, start-up, bridge, acquisition and merger, and turnaround firm utilize new idea and create innovative technologies in efficient capital market to safeguard investment opportunities? Even though possibilities of the expected rate of return is related to increase in the value of the firm, time or opportunity cost and cash flow, the expected rate of return for venture capital investing increase as the total investment risk lower and survival rate for venture capital-funded enterprises increase to compensate for diversified portfolio through productive investing in initial public offering, leveraged buyout, acquisition and merger, and company buyback. Private-public policy drive by efficient market reduce capital gap of financial resources, but the capital loss and investment risk are associated with liquidity and rate of return so angel investing valuation and investment should guarantee time to finance working capital of ongoing concern and business transaction to expect returns and realize returns. The risk of liquidity losses can be covered and reaped with excellent return through hedging strategies and diversification to build sustainable company from angel investing that supply internal fund for operation, and research and development investment