Index Ventures’ Trio of New Funds Leads to $3 Billion, and More TikTok (TechCrunch)

TechCrunch’s coverage of the same Index raise.

Why it was kept

The passages Kyle kept on Index’s check sizes, Martin Mignot’s focus, and the firm’s generational transition.

As Kyle captured it

• Index Ventures’ trio of new funds leads to $3 billion, and more TikTok Thread: Index of the Future
  • While Index’s check size is growing slightly bigger to keep up with competition, partner Mark Goldberg said that the firm is staying disciplined so it doesn’t fall prey to FOMO rounds or buzzy valuations.
    • “There have been situations where two years ago, I would have engaged,” in a competition for a late-stage round, he said. “And now I say that we probably are not going to compete … because at the heart of the matter, I think capital is a commodity.”
    • “Tiger Global and other crossover funds” have created a new capital product, which means that Index’s ability to compete must look different than just offering a ton of money.
    • “If you’re just looking for capital, we’re probably not going to be the best product for you,” Goldberg added.
  • Martin Mignot has been spending time looking at Africa as a potential investment area that continues to be underresourced. He hinted that an official initiative focused on Africa startups may be underway.
  • Index appears to be going through a period of experimentation when it comes to the services offered to portfolio companies.
  • “It’s not something where I think the next deal comes from the TikTok account, but it’s one of those initiatives where … I think it will pay dividends” in helping Index reach a younger audience that isn’t active on tech Twitter or Clubhouse.